Location: Harrisburg-Carlisle, PA | Metro: Harrisburg-Carlisle, 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 | $1,000 |
| 1 Bedroom | $1,100 |
| 2 Bedrooms | $1,370 |
| 3 Bedrooms | $1,760 |
| 4 Bedrooms | $1,800 |
| 5 Bedrooms | $2,088 |
| 6 Bedrooms | $2,339 |
| 7 Bedrooms | $2,526 |
| 8 Bedrooms | $2,652 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,370 | $129,868 | 1.05% | B |
| 3BR | $1,760 | $135,474 | 1.3% | A |
| 4BR | $1,800 | $143,888 | 1.25% | A |
| 5BR | $2,088 | $122,523 | 1.7% | A+ |
U.S. Census Bureau data (2024)
The ZIP code 17104 in Harrisburg, PA, is a densely populated area with a significant portion of its residents being renters. With a total population of 18,541, nearly 54.4% of the households are rented, indicating a strong demand for rental properties. The median household income in this area stands at $46,510, which is relatively modest compared to other urban centers. This economic profile is reflected in the median home value of $130,466, suggesting an affordable housing market.
Moving into the realm of rent economics, the Fair Market Rent (FMR) for ZIP 17104 as of fiscal year 2024 is set at $1,130. In contrast, the market rent, as measured by the Zillow Observed Rent Index (ZORI), is $1,225. This discrepancy highlights the potential for landlords to capture a premium above the government-set rates when renting to tenants who do not rely on Section 8 vouchers.
Given these figures, ZIP 17104 is well-suited for both hands-off voucher operators and hands-on value-add buyers. For hands-off operators, the stability provided by the Section 8 program ensures a steady stream of income at the FMR rate, with minimal tenant turnover and maintenance responsibilities. Meanwhile, for those interested in a more active role, there's room to increase property values and rents, potentially capturing the additional $95 per month difference between FMR and market rent. This can be achieved through renovations, strategic management, or targeting non-voucher tenants.
In summary, ZIP 17104 offers a balanced opportunity for landlords and small-portfolio investors, catering to both passive and active investment strategies. Whether focusing on the security of government-backed rents or aiming to leverage market conditions, the neighborhood presents a viable option for real estate investment.
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.