Location: Monroe 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 | $980 |
| 1 Bedroom | $1,050 |
| 2 Bedrooms | $1,380 |
| 3 Bedrooms | $1,780 |
| 4 Bedrooms | $1,990 |
| 5 Bedrooms | $2,308 |
| 6 Bedrooms | $2,585 |
| 7 Bedrooms | $2,792 |
| 8 Bedrooms | $2,932 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,380 | $203,031 | 0.68% | D |
| 3BR | $1,780 | $270,974 | 0.66% | D |
| 4BR | $1,990 | $354,521 | 0.56% | F |
U.S. Census Bureau data (2024)
ZIP 18346, located in Pocono Summit, PA within the Monroe County, PA metro area, offers a strategic fit for a Section 8 portfolio. This ZIP code serves as a cash-flow anchor due to the significant spread between the Fair Market Rent (FMR) and the market rent. For fiscal year 2024, the FMR for ZIP 18346 is set at $1,380, whereas the market rent stands at $1,865. This means that landlords can expect a consistent and reliable rental income stream from Section 8 tenants, who pay $1,380, while the market allows them to potentially charge $1,865. The difference of $485 per unit highlights the stability and predictability of cash flow that Section 8 properties can provide.
The median home value in ZIP 18346 is $279,531, indicating a moderate property value which is suitable for long-term investment strategies. Landlords and small-portfolio investors looking to stabilize their cash flows should consider including properties in this ZIP code. The lower FMR compared to market rents ensures that the income generated from Section 8 units will be steady and less susceptible to market fluctuations.
While the ZIP code does not offer significant appreciation potential, with a 0.2% price-cut share and N/A-day Days on Market (DOM), it still provides a solid foundation for a diversified portfolio. The renter share in ZIP 18346 is 7.9%, and the median income is $56,750, suggesting a stable tenant base that is likely to continue renting. These factors contribute to the reliability of the cash flow generated from properties in this area, making it an ideal choice for investors seeking stability over rapid appreciation.
In summary, ZIP 18346 is best suited as a cash-flow anchor within a Section 8 portfolio strategy. The substantial gap between the FMR and market rent, combined with the moderate property values, ensures a dependable income stream for landlords and small-portfolio investors.
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.