Location: State College, PA | Metro: State College, PA MSA
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 | $1,070 |
| 1 Bedroom | $1,080 |
| 2 Bedrooms | $1,270 |
| 3 Bedrooms | $1,590 |
| 4 Bedrooms | $1,680 |
| 5 Bedrooms | $1,949 |
| 6 Bedrooms | $2,183 |
| 7 Bedrooms | $2,358 |
| 8 Bedrooms | $2,476 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,590 | $221,025 | 0.72% | D |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 16826 in fiscal year 2024 is set at $1160. This figure represents the maximum amount that a landlord can charge for rent under the Section 8 program, which is a federally funded initiative designed to help low-income families afford housing. It's important to note that the FMR is not necessarily the amount you will receive; it serves as an upper limit for rent charges.
In comparison, the average rent for the area, according to Census ACS data, is $988. This indicates that the FMR is higher than the typical market rate, potentially offering landlords a slightly better financial return when participating in the Section 8 program.
The local renter share stands at 20.3%, meaning that about one-fifth of the households in ZIP 16826 are renters. This statistic suggests a moderate level of demand for rental properties in the area, making it a reasonable choice for those looking to enter the rental market, especially with Section 8 tenants.
If you're considering purchasing a property to serve as a Section 8 rental, the median home value in ZIP 16826 is around $204,084. This figure gives you a benchmark for the potential acquisition cost of a property in this area. Keep in mind that property values can vary significantly based on condition, location, and other factors.
Before committing to a Section 8 rental in ZIP 16826, verify that the property meets all necessary requirements for the program. This includes passing a Housing Quality Standards (HQS) inspection, which ensures the property is safe and habitable for tenants. Once you've confirmed the property's compliance, you can proceed with confidence, knowing that your investment aligns with federal guidelines and local market conditions.
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.