Location: Harrisburg-Carlisle, PA | Metro: Chambersburg, 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 | $1,120 |
| 2 Bedrooms | $1,390 |
| 3 Bedrooms | $1,810 |
| 4 Bedrooms | $1,880 |
| 5 Bedrooms | $2,181 |
| 6 Bedrooms | $2,443 |
| 7 Bedrooms | $2,638 |
| 8 Bedrooms | $2,770 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,390 | $229,405 | 0.61% | D |
| 3BR | $1,810 | $302,861 | 0.6% | F |
| 4BR | $1,880 | $377,164 | 0.5% | F |
| 5BR | $2,181 | $448,229 | 0.49% | F |
U.S. Census Bureau data (2024)
The ZIP code 17257 is situated in Shippensburg, PA, a neighborhood that is part of a larger community with a total population of 29,204 residents. The area has a significant rental market, with 32.5% of the population being renters, indicating a steady demand for rental properties. The median household income in this region is $71,181, suggesting that most residents have stable financial situations. However, the median home value stands at $302,762, which is notably higher than the average income, implying that homeownership may be challenging for some residents.
From an investment perspective, the rent economics in ZIP 17257 are favorable. The Fair Market Rent (FMR) for the area in fiscal year 2024 is set at $1,150, while the market rent, as measured by Zillow's Observed Rental Index (ZORI), is $1,072. This difference means that properties participating in the Section 8 program can charge slightly above the market rate, providing a modest buffer against potential market fluctuations.
Given these factors, ZIP 17257 is suitable for both hands-off voucher operators and hands-on value-add buyers. For hands-off operators, the presence of a consistent rental market and the ability to charge FMR rates without significant management overhead makes it an attractive option. On the other hand, for those looking to actively manage their properties, the opportunity to potentially increase property values over time and improve living conditions for tenants can lead to long-term gains.
In summary, ZIP 17257 offers a balanced environment for Section 8 investments, with a solid rental demand and economic conditions that support both passive and active strategies. The combination of stable income levels and slightly above-market rental rates under the Section 8 program provides a reliable framework for generating returns.
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.