Location: Schuylkill County, PA | Metro: Schuylkill County, PA
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 | $710 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,330 |
| 4 Bedrooms | $1,380 |
| 5 Bedrooms | $1,601 |
| 6 Bedrooms | $1,793 |
| 7 Bedrooms | $1,936 |
| 8 Bedrooms | $2,033 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,330 | $135,636 | 0.98% | C |
| 4BR | $1,380 | $175,977 | 0.78% | D |
U.S. Census Bureau data (2024)
The Section 8 cap rate analysis for ZIP code 17931 reveals interesting insights into the potential returns for landlords and small-portfolio investors. The Fair Market Rent (FMR) for a 2-bedroom apartment in this area for fiscal year 2026 is set at $970 annually. When we annualize this figure, it suggests a rental income of approximately $11,640 per year. Given the median home value of $134,446, the implied gross yield based on the FMR would be about 8.65%. This calculation is straightforward: divide the annual rental income by the property's value.
However, when we consider the market rent of $799, which is derived from the Census ACS data, the annual rental income drops to around $9,588. Using the same median home value, this scenario yields an implied gross yield of roughly 7.13%. It's important to note that the FMR is designed to reflect the 40th percentile of local rents, meaning that a significant portion of the rental market may offer lower rates.
Given the 22.7% renter density in ZIP 17931, it's likely that many residents are seeking affordable housing options, which could support higher demand for Section 8 units. However, the lack of data on days-on-market (DOM) makes it challenging to predict how quickly properties might be leased under either scenario. In reality, the market rent of $799 seems more plausible for long-term investment planning, as it reflects actual market conditions rather than government-set guidelines.
To conclude, while the FMR of $970 offers a higher gross yield of 8.65%, the market rent of $799 provides a more realistic yield of 7.13%. Investors should use these figures to inform their decision-making process, keeping in mind the balance between potential income and the likelihood of securing tenants in a competitive market.
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.