Location: Philadelphia-Camden-Wilmington, PA | Metro: Philadelphia-Camden-Wilmington, PA-NJ-DE-MD MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,310 |
| 1 Bedroom | $1,420 |
| 2 Bedrooms | $1,690 |
| 3 Bedrooms | $2,010 |
| 4 Bedrooms | $2,220 |
| 5 Bedrooms | $2,575 |
| 6 Bedrooms | $2,884 |
| 7 Bedrooms | $3,115 |
| 8 Bedrooms | $3,271 |
In ZIP code 19331, which falls within the Philadelphia-Camden-Wilmington County area in Pennsylvania, understanding the economics of Section 8 vouchers is crucial for landlords and small-portfolio investors. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code for FY 2024 is set at $1600. This figure represents the maximum amount that the housing authority will pay towards the rent for a Section 8 tenant living in this area.
The SAFMR is designed to reflect the actual rental market conditions in the given ZIP code, ensuring that the payment standard is aligned with local market rates. However, the local market rent for 19331 is currently not available, making it difficult to compare the SAFMR directly with what landlords might typically charge. Regardless, the SAFMR provides a benchmark for landlords to understand the financial expectations when dealing with Section 8 tenants.
A Section 8 voucher is intended to cover most of the rent, but not all. Tenants are responsible for paying 30% of their adjusted income toward rent. If a tenant's adjusted income is $2000 per month, they would pay $600 toward rent. The remaining amount, up to the SAFMR of $1600, would be covered by the housing authority. In this case, the housing authority would pay $1000 to the landlord. It's important to note that the total rent cannot exceed the SAFMR, even if the tenant's share plus the housing authority's contribution does.
Utility allowances can vary based on the tenant's needs and the property's characteristics. Typically, these allowances are included in the calculation of the tenant's share and the housing authority's contribution. For example, if the utility allowance is $200, the housing authority might adjust the reimbursement to ensure the tenant does not exceed 30% of their income for total housing costs (rent plus utilities).
Given the SAFMR of $1600 and assuming a tenant's share of 30%, the typical reimbursement gap or surplus for a two-bedroom apartment in ZIP 19331 would be a surplus of $1000, assuming the tenant's income and utility allowance do not reduce this amount further. This means landlords receive a predictable monthly payment, though it may not always match the local market rent due to the lack of available market data for comparison.
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.