Location: Wayne County, PA | Metro: Monroe 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 | $1,040 |
| 1 Bedroom | $1,090 |
| 2 Bedrooms | $1,380 |
| 3 Bedrooms | $1,860 |
| 4 Bedrooms | $2,260 |
| 5 Bedrooms | $2,622 |
| 6 Bedrooms | $2,937 |
| 7 Bedrooms | $3,172 |
| 8 Bedrooms | $3,331 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,380 | $219,177 | 0.63% | D |
| 3BR | $1,860 | $300,339 | 0.62% | D |
| 4BR | $2,260 | $381,229 | 0.59% | F |
U.S. Census Bureau data (2024)
A skeptical investor might question whether the Fair Market Rent (FMR) of $1,300 for ZIP 18326 (Cresco, PA) can sufficiently cover the mortgage on a home priced at $298,768. To evaluate this, consider the typical interest rates and loan terms. A 30-year fixed-rate mortgage at a rate of 4.5%, which is close to historical averages, would result in a monthly payment of approximately $1,500, assuming no down payment. This exceeds the FMR by about $200, indicating that landlords may need to supplement rental income with their own funds to meet mortgage obligations.
The investor could also be concerned about the adequacy of renter demand at 19.0%. According to the data, the percentage of households renting in ZIP 18326 is indeed low compared to national averages. However, the relatively high number of available rental properties—over 900 apartments listed on Trulia—suggests that there is sufficient demand to support these units. The actual occupancy rate and competition among landlords would provide a clearer picture, but the presence of numerous rental listings implies that the market can sustain this level of demand.
A final objection might be whether housing vouchers will keep pace with the market rents of $1,102. Unfortunately, specific data regarding voucher amounts in ZIP 18326 was not found. However, it's important to note that voucher programs are typically adjusted annually based on changes in the cost of living and local market conditions. While this does not guarantee that they will always cover the full rent, it does suggest an effort to remain relevant. Landlords should consider the potential benefits of accepting vouchers, such as guaranteed payments, even if they do not match the full market rent.
In summary, while the FMR of $1,300 may not fully cover a mortgage on a $298,768 home, the rental market appears to be stable with over 900 listings. Vouchers are likely to adjust with market conditions but may not always cover full rent. These points should guide landlords and small-portfolio investors in making informed decisions about investing in ZIP 18326.
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.