Section 8 Fair Market Rent (FMR) for ZIP 16901 - 2027

Location: Tioga County, PA | Metro: Tioga County, PA

Investment Score for ZIP 16901

Monthly Rent (2BR)

$1,070

Median Price (2BR)

$194,857

1% Rule

0.55%

Annual Yield

6.59%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$750
1 Bedroom	$830
2 Bedrooms	$1,070
3 Bedrooms	$1,350
4 Bedrooms	$1,410
5 Bedrooms	$1,636
6 Bedrooms	$1,832
7 Bedrooms	$1,979
8 Bedrooms	$2,078

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$830	$176,531	0.47%	F
2BR	$1,070	$194,857	0.55%	F
3BR	$1,350	$253,069	0.53%	F
4BR	$1,410	$317,240	0.44%	F
5BR	$1,636	$369,665	0.44%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

10,242

Median Household Income

$67,146

Housing Units

5,502

Renter Percentage

23.1%

Occupancy Rate

80.7%

Renter Occupied

1,024

To determine if you should buy in ZIP code 16901 (Wellsboro, PA) for Section 8, follow these steps:

Step 1: Clearing Debt Service

The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is $1,070. For a property valued at $247,433, we need to calculate if the $1,070 can cover the debt service. Assuming a typical mortgage rate and term, the monthly payment on a $247,433 property would be around $1,030 based on a 30-year fixed-rate mortgage at 5%. Therefore, the $1,070 FMR does clear the debt service.

Step 2: Market Rent Comparison

The Census American Community Survey (ACS) indicates that the average market rent in Wellsboro, PA is $900. This figure is below the $1,070 FMR. Thus, properties rented under the Section 8 program can command higher rents than the general market, which is favorable.

Step 3: Rental Demand Assessment

In Wellsboro, 23.1% of residents are renters. The number of days on the market (DOM) for rental listings is not available, but the percentage of renters suggests there is a moderate level of demand. Given that the FMR exceeds the market rent, there's potential for attracting tenants who qualify for Section 8 assistance.

Decision Tree:

If your goal is to ensure the rent covers your mortgage payments, the answer is Yes. The FMR of $1,070 clears the estimated debt service of $1,030.
If you're concerned about market rents being lower than the FMR, the answer is It Depends. While the market rent is $900, the Section 8 program offers higher rents, which can be advantageous.
If you're looking for high rental demand, the answer is No. With only 23.1% of residents renting, demand might be limited. However, the fact that Section 8 rents are higher than market rates could still make it worthwhile.

In conclusion, for a landlord seeking to buy a property in ZIP 16901 for Section 8 purposes, the answers are generally positive, especially considering the higher FMR compared to market rent. However, the moderate rental demand means it's not a slam dunk; it requires a balanced approach to ensure long-term viability.

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.