Section 8 Fair Market Rent (FMR) for ZIP 17085 - 2027

FY 2027 Fair Market Rent Rates

The median home value in ZIP 17085, located in Lebanon County, Pennsylvania, is $307,000 according to recent data from Broker One. This figure provides a basis for understanding the local real estate market, although specific details regarding the median days on market (DOM) and the percentage of price cuts are currently unavailable.

For Section 8 investors, the HUD Fair Market Rent (FMR) for the fiscal year 2024 stands at $1230. However, without current market rent data for ZIP 17085, it's challenging to provide an exact comparison. Based on the typical trends in similar markets, voucher tenants in this area would likely cashflow at the FMR rate, but the precise extent depends on the actual market rent.

To derive the rent-to-price ratio, we use the median home value of $307,000 and the FMR of $1230. Assuming a standard mortgage scenario, the annual rent required to cover the mortgage and expenses would be significantly higher than $1230. Therefore, the rent-to-price ratio indicates that the HUD FMR is insufficient to cover the costs associated with owning a property valued at the median in this ZIP code.

The strongest investment angle in ZIP 17085 appears to be stability, given the consistent median home value and the likelihood of steady cashflow from voucher tenants at the FMR rate. Stability ensures long-term reliability and reduces the risk of significant financial fluctuations, making it particularly attractive for small-portfolio investors and landlords.

Data Sources: FMR data from HUD (2027).

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.