Location: Allentown-Bethlehem-Easton, PA | Metro: Allentown-Bethlehem-Easton, PA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,070 |
| 1 Bedroom | $1,240 |
| 2 Bedrooms | $1,510 |
| 3 Bedrooms | $1,890 |
| 4 Bedrooms | $2,030 |
| 5 Bedrooms | $2,355 |
| 6 Bedrooms | $2,638 |
| 7 Bedrooms | $2,849 |
| 8 Bedrooms | $2,991 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 18065 reveals a unique scenario where the Federal Market Rent (FMR) for fiscal year 2024 stands at $1440. This figure is critical for understanding the rental market dynamics, especially for landlords participating in the Section 8 housing program.
However, the lack of specific market rent data and home value statistics makes it challenging to provide a complete picture of the yield potential. In the absence of these figures, we must rely heavily on the FMR to gauge profitability. The FMR of $1440 suggests that landlords can expect to receive this amount per unit for rental subsidies, which is a fixed rate set by HUD. Without comparative market rent figures, it's impossible to determine if this represents a high yield relative to typical rental rates in the area.
Moving to the stability axis, the data indicates that there are currently 0.0% of renters in the ZIP code. This percentage is unusually low and suggests a potentially unstable market for rental properties. Typically, a higher percentage of renters would indicate greater demand and thus more stability. Additionally, the absence of days-on-market (DOM) and median income figures further complicates the assessment of market stability. These missing metrics are essential for understanding the financial health and demand trends of the local population.
In conclusion, ZIP 18065 presents a scenario where the yield is defined by the HUD-set FMR of $1440, but without additional market data, it's difficult to assess whether this constitutes a high-yield opportunity. On the stability front, the data points towards an unstable market due to the exceptionally low percentage of renters. Landlords and investors should proceed with caution and seek out supplementary information before making investment decisions in this area.
Data Sources: FMR data from HUD (2027). 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.