Location: Pike County, PA | Metro: Pike 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 | $1,350 |
| 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 |
|---|---|---|---|---|
| 3BR | $1,860 | $315,663 | 0.59% | F |
U.S. Census Bureau data (2024)
ZIP 18425, located in Pike County, PA, offers a strategic opportunity for landlords and small-portfolio investors looking to build a robust Section 8 portfolio. This ZIP code serves best as a cash-flow anchor. The primary reason for this classification is the significant spread between the Fair Market Rent (FMR) and the market rent, which stands at $1470 versus $1010 respectively for FY 2024. This means that landlords participating in the Section 8 program can expect to receive a higher rental income compared to the local market rates, providing a solid base for consistent cash flow.
The median home value in ZIP 18425 is $301,356, indicating a moderate housing market. However, the key metric here is the rental income stability provided by the Section 8 program. With a guaranteed rent amount that exceeds the market rate, landlords can mitigate risks associated with vacancy and non-payment. This makes ZIP 18425 an attractive option for those aiming to secure a steady stream of income, especially when considering the broader economic context where housing markets can fluctuate unpredictably.
Additionally, the ZIP code has a 12.0% renter share, suggesting a relatively stable demand for rental properties. The median income of $71,083 supports the viability of the Section 8 program in the area, as it indicates that there are individuals who would qualify for assistance based on their income levels. While the appreciation potential and diversification benefits are secondary considerations, the primary focus should be on leveraging the FMR to ensure reliable cash flow, making ZIP 18425 an ideal choice for anchoring a Section 8 portfolio.
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.