Location: Clearfield County, PA | Metro: Clearfield County, PA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $730 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,340 |
| 4 Bedrooms | $1,340 |
| 5 Bedrooms | $1,554 |
| 6 Bedrooms | $1,740 |
| 7 Bedrooms | $1,879 |
| 8 Bedrooms | $1,973 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 16840 in Clearfield County, PA, reveals several key points for potential Section 8 real-estate investments.
The first question addresses whether the rent math works. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $980. However, due to the lack of specific market rent data, it's challenging to make a direct comparison. Assuming the FMR aligns closely with the actual market conditions, the rent math should work in favor of landlords who can secure tenants through the Section 8 program.
Regarding the affordability of acquisition, the median home value in ZIP 16840 is $107,214. This figure suggests that purchasing properties here could be relatively affordable compared to other areas. However, without data on the average days on market (DOM) and the percentage of homes that require price cuts, it's difficult to assess how competitive the property market is. Landlords should consider these factors when evaluating the cost and time required to acquire properties.
Tenant demand is another critical factor. With a total population of 476, 13.2% of whom are renters, there is a limited pool of potential tenants. This means that landlords must carefully manage their properties to attract and retain tenants. The small number of renters indicates that competition for tenants might be fierce, especially if the number of rental units exceeds the demand.
In conclusion, while the median home value makes acquisition relatively affordable, the limited population size and low renter share pose challenges for sustained tenant demand. The success of Section 8 investments in ZIP 16840 hinges on the alignment between the FMR and local market conditions, as well as the ability to effectively manage a smaller pool of potential tenants. Landlords should proceed with caution, focusing on property management efficiency and leveraging the $980 FMR to ensure financial viability.
Data Sources: FMR data from HUD (2027). 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.