Location: Allentown-Bethlehem-Easton, PA | Metro: Allentown-Bethlehem-Easton, PA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,290 |
| 1 Bedroom | $1,500 |
| 2 Bedrooms | $1,820 |
| 3 Bedrooms | $2,280 |
| 4 Bedrooms | $2,460 |
| 5 Bedrooms | $2,854 |
| 6 Bedrooms | $3,196 |
| 7 Bedrooms | $3,452 |
| 8 Bedrooms | $3,625 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 18351 reveals a market that is moderately balanced between yield potential and stability. The Family Monthly Rent (FMR) for Section 8 housing in this area is set at $1540 for fiscal year 2024, which is notably higher than the market rent of $1,217. This indicates a strong yield opportunity for landlords willing to participate in the Section 8 program. However, the absence of data on median home values suggests that there might be limited conventional investment opportunities, such as flipping properties, in this particular ZIP code.
Regarding stability, the ZIP code has a significant percentage of renters at 46.0%, which is a positive indicator for landlords looking for a consistent tenant pool. The lack of information on days on market (DOM) for homes could imply either a stable real estate market or insufficient data for accurate assessment. The median household income in the area is $52,679, which is relatively low but still provides a foundation for tenants to meet their rental obligations.
Based on these figures, ZIP 18351 leans towards being a steady-cashflow zone for landlords participating in the Section 8 program. The higher FMR compared to the market rent ensures a decent profit margin, while the substantial percentage of renters points to a reliable demand for rental units. However, the lower median income may introduce some level of risk, making it less suitable for high-end rentals or those seeking premium yields outside the Section 8 framework.
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.