Location: Lancaster, PA | Metro: Lancaster, PA MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,060 |
| 1 Bedroom | $1,150 |
| 2 Bedrooms | $1,430 |
| 3 Bedrooms | $1,820 |
| 4 Bedrooms | $1,880 |
| 5 Bedrooms | $2,181 |
| 6 Bedrooms | $2,443 |
| 7 Bedrooms | $2,638 |
| 8 Bedrooms | $2,770 |
The median home value in ZIP 17534, which is part of the Lancaster, PA MSA metro, is $205,000. This figure is derived from recent data sources and reflects the typical cost of a home in this area. Given that the HUD Fair Market Rent (FMR) for voucher tenants in ZIP 17534 is set at $1330 for FY 2024, it is important to compare this against the actual market rents to determine the cash flow potential.
Market rent data for ZIP 17534 is currently unavailable, but based on the median home value, we can estimate a rent-to-price ratio. Assuming a typical rent-to-price ratio of 1% for this region, the implied monthly rent would be approximately $2050. This is significantly higher than the HUD FMR of $1330, indicating that voucher tenants will likely only cash flow in premium units, such as those with lower maintenance costs or in prime locations.
The lack of specific market rent data means that the exact cash flow situation cannot be determined precisely, but the strong implication is that standard units will not generate positive cash flow at the HUD FMR rate. Investors should focus on units that offer additional amenities or are in better condition to attract tenants willing to pay closer to the market rate.
In terms of days on market (DOM) and price-cut shares, these metrics are also unavailable, making it difficult to assess the speed of sales and the frequency of price reductions. However, given the relatively stable nature of the Lancaster, PA MSA metro, it is reasonable to assume that the rental market remains steady, offering some stability to investors.
The strongest investor angle in ZIP 17534 is stability, due to the consistent median home values and the reliable demand for rental properties, even if cash flow is limited to premium units.
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.