Location: Philadelphia-Camden-Wilmington, PA | Metro: Philadelphia-Camden-Wilmington, PA-NJ-DE-MD MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,520 |
| 1 Bedroom | $1,650 |
| 2 Bedrooms | $1,970 |
| 3 Bedrooms | $2,350 |
| 4 Bedrooms | $2,590 |
| 5 Bedrooms | $3,004 |
| 6 Bedrooms | $3,364 |
| 7 Bedrooms | $3,633 |
| 8 Bedrooms | $3,815 |
To classify ZIP 18949 in Pennsylvania, we must rely on the available data for the Fair Market Rent (FMR), which is set at $1830 for fiscal year 2024. This figure is critical for understanding the rental yield potential in the area. However, due to limited additional data—such as market rents, home values, percentage of renters, days on market (DOM), and median income—the analysis will focus primarily on the FMR.
The Fair Market Rent of $1830 indicates that landlords can expect a relatively stable rent amount that reflects the average cost of a modest-quality rental unit in the area. Without specific market rent figures, it's challenging to determine if there's a premium or discount over the FMR, but the FMR itself serves as a benchmark for minimum acceptable rent levels.
Given the lack of information on home values and the percentage of renters, it's difficult to ascertain whether the market leans towards being a high-yield/low-stability flip-style market or a steady-cashflow zone. Typically, areas with low percentages of renters and longer DOM periods indicate less stability and potentially lower yields unless property values are exceptionally high, allowing for significant appreciation gains.
Stability in a rental market is often gauged by factors such as the percentage of renters and median income levels. With these metrics missing, we cannot fully assess the stability of ZIP 18949. High median incomes generally support higher rents and greater tenant stability, whereas lower incomes might correlate with higher turnover rates and less financial security for tenants.
In conclusion, based on the provided data, ZIP 18949 offers a clear rental yield benchmark through the FMR of $1830. The absence of other key data points prevents a comprehensive classification of the market along the yield and stability axes. For landlords and small-portfolio investors, this suggests a cautious approach, focusing on properties that can be rented at or near the FMR while seeking additional local insights to better understand market dynamics and tenant stability.
To make a more informed decision, further investigation into local real estate trends, tenant demographics, and economic conditions would be necessary. Landlords should also consider the potential for government subsidies and the importance of maintaining properties to meet FMR standards, which can influence both yield and stability.
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.