Location: Philadelphia-Camden-Wilmington, PA | Metro: Allentown-Bethlehem-Easton, PA HUD Metro FMR Area
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 | $1,220 |
| 1 Bedroom | $1,400 |
| 2 Bedrooms | $1,690 |
| 3 Bedrooms | $2,100 |
| 4 Bedrooms | $2,270 |
| 5 Bedrooms | $2,633 |
| 6 Bedrooms | $2,949 |
| 7 Bedrooms | $3,185 |
| 8 Bedrooms | $3,344 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,690 | $416,878 | 0.41% | F |
| 3BR | $2,100 | $430,144 | 0.49% | F |
| 4BR | $2,270 | $662,085 | 0.34% | F |
| 5BR | $2,633 | $831,186 | 0.32% | F |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 18036, Coopersburg, PA, reveals a significant gap between the Housing and Urban Development (HUD) Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the HUD FMR is set at $1260, whereas the Zillow Observed Rent Index (ZORI) indicates a market rent of $2,517. This disparity means that voucher tenants will only cashflow at the FMR rate if they occupy premium units, which are typically priced below the average market rent.
To derive the rent-to-price ratio, we can use the median home value of $497,933. The monthly mortgage payment on a median-priced home, assuming a 4.5% interest rate and a 30-year fixed mortgage, would be approximately $2,382. This amount is slightly less than the ZORI but still higher than the HUD FMR. Therefore, an investor relying solely on Section 8 vouchers would need to focus on properties that are either below average market rent or have additional cost-saving features to ensure positive cashflow.
The median days on market (DOM) for rental listings is N/A, indicating a lack of recent data for this metric. However, the 0.1% price-cut share suggests that there is minimal pressure on landlords to reduce rents, which supports the idea that the local rental market is stable. In a stable market, the primary concern for investors should be ensuring that their properties meet the quality standards required by the Section 8 program while also being competitively priced.
The strongest investor angle in this market is stability. Given the high median home value and the relatively low likelihood of needing to cut rental prices, investors can expect consistent cashflow from voucher tenants in premium units, making it a reliable investment choice.
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.