Location: Allegany County, MD | Metro: Allegany County, MD
| Unit Size | Monthly FMR |
|---|---|
| Studio | $810 |
| 1 Bedroom | $870 |
| 2 Bedrooms | $1,020 |
| 3 Bedrooms | $1,400 |
| 4 Bedrooms | $1,530 |
| 5 Bedrooms | $1,775 |
| 6 Bedrooms | $1,988 |
| 7 Bedrooms | $2,147 |
| 8 Bedrooms | $2,254 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 21529 reveals a mixed picture when it comes to yield and stability. Let's break down the figures:
Yield Analysis: The Fair Market Rent (FMR) for ZIP 21529 in fiscal year 2024 is set at $940. This is notably higher than the market rent of $830, indicating a potential for higher rental yields. However, the median home value of $176,905 suggests that the capital investment required for flipping properties might not be as lucrative. To achieve high yields through flipping, one would typically look for areas where FMR significantly exceeds both market rent and home values. In this case, the gap between FMR and market rent is positive but not overwhelming, making it less suitable for a high-yield/low-stability flip-style market.
Stability Analysis: Stability can be gauged by looking at the percentage of renters, average days on the market (DOM), and median household income. With 29.6% of residents being renters, the demand for rental properties is present but not exceptionally high. The absence of data on the average days on the market (DOM) makes it difficult to assess how quickly properties turn over, which is a key indicator of stability. Lastly, the median household income of $37,240 provides insight into the economic health of the area. While this figure is not extraordinarily high, it does suggest a moderate level of financial stability among residents.
Combining these factors, ZIP 21529 leans towards being a steady-cashflow zone. The higher FMR compared to market rent supports a modestly positive yield environment, while the presence of a significant, though not dominant, portion of renters and moderate household incomes contribute to a stable market. Landlords and small-portfolio investors should find this area appealing for generating consistent rental income rather than pursuing high-risk, high-reward flipping strategies.
Data Sources: FMR data from HUD (2027). 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.