Location: Lancaster, PA | Metro: Lancaster, 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 | $1,040 |
| 1 Bedroom | $1,130 |
| 2 Bedrooms | $1,400 |
| 3 Bedrooms | $1,790 |
| 4 Bedrooms | $1,840 |
| 5 Bedrooms | $2,134 |
| 6 Bedrooms | $2,390 |
| 7 Bedrooms | $2,581 |
| 8 Bedrooms | $2,710 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,790 | $309,401 | 0.58% | F |
U.S. Census Bureau data (2024)
ZIP code 17550, located within the Lancaster, PA Metropolitan Statistical Area (MSA), presents an interesting profile for real estate analysis. Its Fair Market Rent (FMR) for 2024 is set at $1190, which is lower than the typical market rents in the Lancaster MSA, though specific market rent figures for comparison are not available. This suggests that 17550 could be considered a value pocket within the larger metro area, offering affordable rental options.
The median home value in 17550 is $308,389, which aligns closely with the broader Lancaster MSA's average home value, indicating that it is neither significantly overpriced nor underpriced relative to the rest of the metropolitan region. This places 17550 squarely in the mid-tier category when it comes to property values.
A key factor for Section 8 real-estate analysts is the percentage of renters in a given ZIP code. In 17550, 34.9% of residents are renters. This figure is notably higher than the national average, suggesting a strong demand for rental properties. The combination of a high renter share with a median home value that is in line with the Lancaster MSA average indicates that 17550 is well-positioned for Section 8 investments.
While the FMR is lower than what might be expected in a premium sub-market, the presence of a significant renter population makes it a strategic location for landlords and small-portfolio investors looking to tap into the subsidized housing market. The relatively low FMR in conjunction with a substantial renter base implies that 17550 could serve as a sweet spot for Section 8 properties, where the cost of living is manageable and there is ample opportunity to meet the needs of tenants relying on government assistance.
To conclude, ZIP code 17550 stands out as a value pocket within the Lancaster, PA MSA, particularly for those interested in Section 8 housing. The lower FMR and higher-than-average renter share create a favorable environment for rental investments, while the median home value reflects a balanced position within the local real estate market.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.