Section 8 Fair Market Rent (FMR) for ZIP 17521 - 2027
Location: Lancaster, PA | Metro: Lancaster, PA MSA
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $1,150 |
| 1 Bedroom | $1,250 |
| 2 Bedrooms | $1,550 |
| 3 Bedrooms | $1,970 |
| 4 Bedrooms | $2,040 |
| 5 Bedrooms | $2,366 |
| 6 Bedrooms | $2,650 |
| 7 Bedrooms | $2,862 |
| 8 Bedrooms | $3,005 |
To determine if you should invest in ZIP code 17521 (Unknown, PA) for Section 8 properties, follow these steps:
Step 1: Can the Fair Market Rent (FMR) of $1330 cover your debt service?
- Yes: If the FMR can comfortably cover the monthly mortgage payment and other expenses associated with owning a rental property, proceed to Step 2.
- No: If the FMR cannot cover your debt service, investing in ZIP 17521 is not advisable under the Section 8 program.
Step 2: How does the market rent compare to the FMR?
- Above: If the market rent exceeds the FMR, consider the potential for higher returns outside of Section 8, but recognize that you will be limited to renting at the FMR level when participating in the program.
- At: If the market rent matches the FMR, the Section 8 program could provide steady income without leaving much room for profit beyond what is covered by the FMR.
- Below: If the market rent is below the FMR, the Section 8 program could offer a better rate compared to the local rental market, making it a favorable option.
Step 3: Is there sufficient demand to justify investment?
- It Depends: Without specific percentages of renters and days on the market (DOM), it's difficult to assess the demand accurately. However, generally speaking, if a significant portion of residents are renters and the DOM is relatively low, indicating quick turnover, then the demand is likely strong enough to support a Section 8 investment.
Note: The decision tree cannot be fully completed due to missing data on market rent, percentage of renters, and DOM. These factors are crucial for a thorough analysis. To make an informed decision, you must gather this information and apply it to the decision tree outlined above.
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.