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 | $1,000 |
| 1 Bedroom | $1,100 |
| 2 Bedrooms | $1,380 |
| 3 Bedrooms | $1,790 |
| 4 Bedrooms | $1,820 |
| 5 Bedrooms | $2,111 |
| 6 Bedrooms | $2,364 |
| 7 Bedrooms | $2,553 |
| 8 Bedrooms | $2,681 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,380 | $338,705 | 0.41% | F |
| 3BR | $1,790 | $399,829 | 0.45% | F |
| 4BR | $1,820 | $461,609 | 0.39% | F |
U.S. Census Bureau data (2024)
The ZIP code 17560, encompassing New Providence, PA, presents a dynamic rental market with specific characteristics that can be inferred from the available data. The Fair Market Rent (FMR) for ZIP 17560 stands at $1440 for fiscal year 2024, indicating the government's benchmark for affordable housing in the area. Meanwhile, the actual market rent, according to the Census ACS, is recorded at $1,155. This suggests that the rental market is currently below the FMR, potentially signaling a balance between supply and demand that favors tenants.
The median home value in ZIP 17560 is $417,343, which provides insight into the overall property values in the area. While the percentage of price cuts and days on market (DOM) are not specified, the discrepancy between the FMR and the actual market rent implies that there might be a slight oversupply of rental units, or that landlords are willing to offer competitive pricing to attract tenants. This could be due to various factors including the local economy, employment opportunities, and the general appeal of the area.
The 10.6% renter share highlights an important aspect of the housing dynamics in New Providence. With such a low percentage of renters relative to homeowners, it suggests that the area has a predominantly owner-occupied housing stock. This characteristic can indicate a stable, possibly aging population, less inclined towards frequent relocation. However, it also means that any increase in the cost of living or decline in housing affordability could put upward pressure on the rental market, as more residents might find themselves unable to purchase homes and thus turning to renting.
In conclusion, while the current snapshot shows a rental market below the FMR and a low renter share, these figures suggest a market that is responsive to changes in economic conditions and housing affordability. Landlords and small-portfolio investors should closely monitor trends in property values and rental demand, as shifts in the local economy or housing preferences could alter the balance between supply and demand.
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.