Location: Philadelphia-Camden-Wilmington, PA | Metro: Philadelphia-Camden-Wilmington, PA-NJ-DE-MD 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 | $2,050 |
| 1 Bedroom | $2,220 |
| 2 Bedrooms | $2,650 |
| 3 Bedrooms | $3,160 |
| 4 Bedrooms | $3,480 |
| 5 Bedrooms | $4,037 |
| 6 Bedrooms | $4,521 |
| 7 Bedrooms | $4,883 |
| 8 Bedrooms | $5,127 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,650 | $360,319 | 0.74% | D |
| 3BR | $3,160 | $583,151 | 0.54% | F |
| 4BR | $3,480 | $895,597 | 0.39% | F |
| 5BR | $4,037 | $1,247,212 | 0.32% | F |
U.S. Census Bureau data (2024)
The potential risks for investing in Section 8 properties in ZIP code 18902, located in Doylestown, PA, must be carefully considered. Tenant turnover can be a significant issue, as the market rent of $2,450 is slightly above the Fair Market Rent (FMR) of $2,430 for fiscal year 2024. This discrepancy might lead to higher turnover rates, since tenants who qualify for Section 8 vouchers often cannot afford the difference between the FMR and the market rent.
Vacancy exposure is another concern. The average days on market (DOM) is not available, which makes it difficult to predict how long it might take to fill a vacancy. Given the high renter density, landlords should expect competition for tenants, but the lack of DOM data introduces an element of uncertainty into the equation.
Deferred maintenance is a notable risk due to the relatively high typical home value of $778,291 compared to the median income of $161,267. Landlords need to ensure that they maintain their properties adequately to meet housing quality standards, which can be costly. However, the high property values indicate a strong local economy, which may provide some buffer against these costs.
Despite these challenges, the 7.7% renter share suggests a robust demand for rental properties, including those that accept Section 8 vouchers. High renter density typically correlates with a higher number of voucher holders seeking affordable housing, which can stabilize occupancy rates over time.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.