Location: Scranton--Wilkes-Barre, 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 | $930 |
| 1 Bedroom | $1,080 |
| 2 Bedrooms | $1,330 |
| 3 Bedrooms | $1,740 |
| 4 Bedrooms | $1,910 |
| 5 Bedrooms | $2,216 |
| 6 Bedrooms | $2,482 |
| 7 Bedrooms | $2,681 |
| 8 Bedrooms | $2,815 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,740 | $261,230 | 0.67% | D |
U.S. Census Bureau data (2024)
The median income in ZIP code 18660 stands at $80,568, providing a solid financial foundation for residents. However, when it comes to housing costs, the reality becomes more nuanced. The market rate for rental properties is set at $960 per month, according to Census ACS data. This figure represents a significant portion of the average household's budget, particularly considering the fixed nature of housing expenses.
In comparison, the Fair Market Rent (FMR) for ZIP 18660, which is the standard payment made by Section 8 vouchers, is set at $910 per month for fiscal year 2024. This means that voucher holders are looking for units that fall within or slightly below this range. For landlords, this indicates that there is a narrow window between the market rate and the FMR, creating an affordability gap for both tenants and property owners.
With only 7.6% of the 3,137 population being renters, the competition among landlords for tenants willing to pay market rates is relatively low. However, this also implies that there is limited demand for higher-priced rentals, making it challenging to command premium rents. The majority of potential tenants are likely to be price-sensitive, especially those relying on government assistance programs like Section 8.
The takeaway for landlords is that while they can list their properties at the market rate of $960, they should be prepared for the possibility of slower leasing periods due to the limited number of renters and the affordability constraints faced by many households. Accepting Section 8 vouchers at the $910 FMR could ensure quicker tenancy and steady income, albeit at a lower rate than the market allows. Landlords must weigh the benefits of quicker occupancy against the potential for higher cash payments to determine their optimal strategy.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.