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 | $1,390 |
| 1 Bedroom | $1,510 |
| 2 Bedrooms | $1,800 |
| 3 Bedrooms | $2,140 |
| 4 Bedrooms | $2,370 |
| 5 Bedrooms | $2,749 |
| 6 Bedrooms | $3,079 |
| 7 Bedrooms | $3,325 |
| 8 Bedrooms | $3,491 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,800 | $213,670 | 0.84% | C |
| 3BR | $2,140 | $300,959 | 0.71% | D |
| 4BR | $2,370 | $334,224 | 0.71% | D |
U.S. Census Bureau data (2024)
1660 is the Fair Market Rent (FMR) for ZIP 19706 in Delaware City, DE, for fiscal year 2024. 1511 is the average market rent based on the Census ACS data, indicating that properties priced at the FMR level are well above the local average. 293,944 represents the median home value in this area, which suggests a moderate housing market. However, only 25.5% of residents are renters, meaning the demand for rental properties is relatively low compared to owner-occupied homes. 83,681 is the median income figure, which is important for assessing the financial stability of potential tenants. While the exact days on market (DOM) and percentage of price-cut shares are not available, these missing metrics could be crucial for understanding how quickly properties sell and whether they require price adjustments. Given the disparity between the FMR and the market rent, along with the lower renter share, landlords and small-portfolio investors should carefully consider the potential for occupancy and rent collection. The higher FMR compared to the local market rent implies a possible premium for Section 8 eligible units, but the limited rental demand might pose challenges. In conclusion, while there is a clear opportunity for landlords to receive higher rents through Section 8 participation, the overall rental market dynamics suggest a cautious approach. Verdict: Section 8 participation can offer stable income but requires careful tenant selection due to lower general rental demand.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.