Location: Scranton--Wilkes-Barre, PA | Metro: Scranton--Wilkes-Barre, PA MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $950 |
| 1 Bedroom | $1,110 |
| 2 Bedrooms | $1,370 |
| 3 Bedrooms | $1,790 |
| 4 Bedrooms | $1,970 |
| 5 Bedrooms | $2,285 |
| 6 Bedrooms | $2,559 |
| 7 Bedrooms | $2,764 |
| 8 Bedrooms | $2,902 |
ZIP code 18501 refers to a neighborhood located in Unknown, PA. Due to the lack of specific data on population, percentage of renters, median income, and median home value, it's challenging to paint a detailed demographic portrait of the area. However, the Federal Market Rent (FMR) for ZIP 18501 in fiscal year 2024 is set at $1040. This figure represents the maximum amount that a landlord can charge for a rental unit under the Section 8 program.
The FMR is an important benchmark for understanding the economic landscape of the area. It is designed to reflect the average rent for a standard unit in the local market. If the actual market rent in Unknown, PA is lower than the FMR, it suggests that there might be an opportunity for landlords to offer more competitive rates while still benefiting from the guaranteed payment structure of the Section 8 program. Conversely, if the market rent is higher than the FMR, it could indicate that landlords participating in the program might need to manage their properties more actively to ensure profitability.
Given the absence of precise market rent data, it's difficult to make a direct comparison between the FMR and the prevailing market conditions. However, the $1040 FMR provides a clear guideline for those considering participation in the Section 8 program in ZIP 18501.
When it comes to deciding whether ZIP 18501 suits a hands-off voucher operator or a hands-on value-add buyer, the answer depends largely on the specifics of the property and the landlord's investment strategy. A hands-off operator might find the simplicity and stability of the Section 8 program appealing, especially if they are comfortable with the FMR as a fixed rate. On the other hand, a value-add buyer looking to increase property value through renovations and management improvements might seek areas where the FMR is significantly below the market rent, allowing them to capture additional income once the voucher period concludes. In the case of ZIP 18501, the lack of comprehensive market data means that such a decision should be made with caution, ideally after conducting thorough due diligence on individual properties.
Data Sources: FMR data from HUD (2027).
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.