Location: York-Hanover, PA | Metro: York-Hanover, 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 | $840 |
| 1 Bedroom | $960 |
| 2 Bedrooms | $1,210 |
| 3 Bedrooms | $1,620 |
| 4 Bedrooms | $1,670 |
| 5 Bedrooms | $1,937 |
| 6 Bedrooms | $2,169 |
| 7 Bedrooms | $2,343 |
| 8 Bedrooms | $2,460 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,210 | $276,586 | 0.44% | F |
| 3BR | $1,620 | $376,909 | 0.43% | F |
| 4BR | $1,670 | $463,313 | 0.36% | F |
U.S. Census Bureau data (2024)
A skeptical investor might question whether the Fair Market Rent (FMR) of $1,020 for ZIP 17363 (Stewartstown, PA) in fiscal year 2024 will sufficiently cover the mortgage on a home priced at $387,011. To address this concern, let's consider the average mortgage payment for a home in this area. According to recent data, the average mortgage payment in Stewartstown, which includes principal, interest, taxes, and insurance, can vary widely based on factors such as the down payment, interest rate, and term of the loan. However, using a standard 30-year fixed-rate mortgage with a 4% interest rate and a 20% down payment, the monthly payment would be approximately $1,548. This means that the FMR of $1,020 would fall short of covering the mortgage payment.
The investor may also wonder if there is sufficient renter demand in ZIP 17363, given that only 13.4% of the population are renters. Data suggests that the percentage of renters in Stewartstown is indeed lower than the state average. While this could indicate a smaller pool of potential tenants, it also implies that the competition for rental properties is likely less intense, potentially allowing landlords to maintain higher occupancy rates.
A final objection might be whether Section 8 vouchers will keep pace with the market rents, which average around $1,000. Unfortunately, the data does not provide a direct comparison between the value of Section 8 vouchers and the average market rents in ZIP 17363. However, it is worth noting that the voucher program aims to cover a significant portion of the rent, often up to 70% of the FMR. In Stewartstown, this could mean vouchers covering around $714 per month, leaving the landlord to collect the remaining balance from the tenant. Given the relatively low market rents compared to other areas, landlords accepting Section 8 vouchers may find the difference easier to manage.
In summary, while the FMR of $1,020 may not fully cover the mortgage payment on a $387,011 home, the lower-than-average renter demand percentage does not necessarily translate to poor investment prospects. Furthermore, although the data does not directly compare voucher amounts to market rents, the average market rent of $1,000 is within a manageable range for landlords participating in the Section 8 program.
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.