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 | $1,090 |
| 1 Bedroom | $1,180 |
| 2 Bedrooms | $1,410 |
| 3 Bedrooms | $1,680 |
| 4 Bedrooms | $1,850 |
| 5 Bedrooms | $2,146 |
| 6 Bedrooms | $2,404 |
| 7 Bedrooms | $2,596 |
| 8 Bedrooms | $2,726 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,410 | $304,678 | 0.46% | F |
| 3BR | $1,680 | $346,978 | 0.48% | F |
| 4BR | $1,850 | $391,947 | 0.47% | F |
| 5BR | $2,146 | $435,494 | 0.49% | F |
U.S. Census Bureau data (2024)
The analysis of the Section 8 program in ZIP code 19007, which includes parts of Bristol, PA, reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for ZIP 19007 in fiscal year 2024 is set at $1410, while the market rent, as indicated by ZORI, stands at $2050. This creates a difference of $640 per month, representing a 45.4% gap between the two figures.
In Bristol, PA, where 42.6% of residents are renters and the median income is $65,511, landlords might find it challenging to accept Section 8 tenants due to the lower FMR compared to the market rent. However, the presence of Section 8 can be seen as a yield play for landlords who are willing to accept the vouchers. Despite the lower rental rate, the stability and reliability of Section 8 payments can provide a steady stream of income, particularly valuable in a market where the median home value is $338,409 and competition for rental properties is high.
The cost of housing voucher tenants below open-market rates is a trade-off that landlords must consider. While they receive a guaranteed payment from the government, the overall revenue from a property will be less than if rented at market rates. For example, a landlord renting a unit at $1410 under Section 8 instead of $2050 in the open market would lose out on $640 per month, or $7680 annually. This discrepancy is crucial for small-portfolio investors to weigh against the benefits of having a stable tenant base and avoiding vacancy periods.
Given the economic context of Bristol, PA, the decision to participate in the Section 8 program should be made carefully. Landlords must balance the lower monthly income with the potential for long-term stability and the ability to serve a community where many residents rely on rental assistance to afford housing. The gap between FMR and market rent highlights the financial realities landlords face when considering Section 8 participation, but also underscores the importance of providing affordable housing options in a region where the cost of living is relatively high.
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.