Location: Warren County, PA | Metro: Warren County, PA
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $840 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,360 |
| 4 Bedrooms | $1,460 |
| 5 Bedrooms | $1,694 |
| 6 Bedrooms | $1,897 |
| 7 Bedrooms | $2,049 |
| 8 Bedrooms | $2,151 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,360 | $186,252 | 0.73% | D |
U.S. Census Bureau data (2024)
The analysis for ZIP code 16350 reveals a significant financial opportunity for landlords and small-portfolio investors through the Section 8 program. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $970, while the current market rent, as per Census ACS data, stands at $797. This creates a gap of $173, representing approximately 17.8% of the market rent.
The discrepancy where FMR exceeds market rent means that landlords can benefit from higher rental income when compared to the open market. Specifically, landlords who accept Section 8 vouchers can expect to receive a rental rate closer to the FMR, which is $970, rather than the lower market rate of $797. This makes the ZIP 16350 a prime location for a yield play, as investors can secure higher returns on their properties due to the government subsidy bridging the gap between what voucher holders can pay and the FMR.
In ZIP 16350, only 11.8% of residents are renters, indicating a smaller pool of potential voucher recipients. However, the median home value of $175,903 and median income of $69,792 suggest that the majority of residents can afford market-rate housing, leaving ample room for Section 8 tenants without significantly impacting the overall market. Accepting Section 8 vouchers allows landlords to tap into a stable source of income that exceeds the typical rental rates, making it a strategic investment choice.
Moreover, the lower percentage of renters implies less competition for voucher tenants, which can be advantageous for securing long-term, reliable tenancy. The financial advantage of receiving $970 in rent versus the market rate of $797 ensures a steady cash flow, which is critical for maintaining property values and covering operational costs.
To summarize, the $173 difference between the FMR and market rent in ZIP 16350 presents a compelling case for landlords and small-portfolio investors to consider accepting Section 8 vouchers. This strategy not only increases rental income but also aligns with the broader economic context of the area, where the majority of residents are homeowners with sufficient income to cover living expenses.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.