Location: Susquehanna County, PA | Metro: Scranton--Wilkes-Barre, PA MSA
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 | $860 |
| 1 Bedroom | $940 |
| 2 Bedrooms | $1,190 |
| 3 Bedrooms | $1,520 |
| 4 Bedrooms | $1,680 |
| 5 Bedrooms | $1,949 |
| 6 Bedrooms | $2,183 |
| 7 Bedrooms | $2,358 |
| 8 Bedrooms | $2,476 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,520 | $219,253 | 0.69% | D |
U.S. Census Bureau data (2024)
In ZIP code 18623, the real estate landscape presents a nuanced picture for both landlords and small-portfolio investors. The median home value stands at $195,062, which serves as a foundational metric for understanding the local housing market. Despite the lack of specific percentages regarding listings reductions and days on market (DOM), the current median home value suggests that there is a stable pricing environment, implying that landlords can maintain reasonable rents without significant downward pressure.
The Fair Market Rent (FMR) for ZIP 18623 is projected to be $1000 for fiscal year 2024, up from the current market rate of $952 according to the Census ACS data. This indicates a slight upward trend in rental values, suggesting that landlords can expect modest increases in rental income if they align their properties' rents with the FMR. However, it's important to note that this increase should be managed carefully to avoid tenant turnover and vacancy risks.
For long-term hold investors, the realistic appreciation thesis is limited but present. Given the stable median home value and the slight increase in the FMR, it's reasonable to anticipate that property values will follow a similar trajectory, appreciating slightly over the next 12-24 months. However, the lack of significant reductions in listings and days on market suggests that rapid appreciation is unlikely. Instead, the market signals a steady, albeit modest, growth pattern.
To leverage this market setup effectively, landlords should focus on maintaining property quality and ensuring that rental rates are competitive yet aligned with the FMR. Small-portfolio investors should consider diversifying their investments or looking into areas with higher potential for appreciation to balance their portfolios against the moderate growth expected in ZIP 18623.
The combination of a stable median home value and a slightly increasing FMR points towards a balanced market where landlords have some pricing power, but it must be exercised prudently. Long-term investors can expect modest capital appreciation, making ZIP 18623 a viable option for those seeking stability over high returns.
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.