Location: Philadelphia-Camden-Wilmington, PA | Metro: Philadelphia-Camden-Wilmington, PA-NJ-DE-MD MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,210 |
| 1 Bedroom | $1,350 |
| 2 Bedrooms | $1,580 |
| 3 Bedrooms | $1,910 |
| 4 Bedrooms | $2,180 |
| 5 Bedrooms | $2,529 |
| 6 Bedrooms | $2,832 |
| 7 Bedrooms | $3,059 |
| 8 Bedrooms | $3,212 |
U.S. Census Bureau data (2024)
The median income in ZIP code 21912 stands at $69,868, which places significant constraints on the ability of a typical household to afford the market rate rent of $817. This figure represents the actual cost that renters face in the area, making it a critical point of reference for understanding the local housing market dynamics.
In comparison, the Fair Market Rent (FMR) for the area, set at $1,650 for zip code 21912 in fiscal year 2024, is substantially higher than the market rate. The FMR is used as a benchmark for determining the payment standard for Section 8 vouchers, meaning that voucher holders could potentially cover rents up to $1,650, far exceeding the current market rate of $817.
The ZIP code has a relatively low rental rate with only 12.9% of the 1,536 population being renters. This indicates a competitive landscape for landlords, where the limited number of renters might struggle to find affordable housing options. As such, landlords must consider the affordability gap when setting their rental strategies.
For landlords, the key takeaway is that while market rate rents are currently lower at $817, there is a significant opportunity to accept Section 8 vouchers. Vouchers can help bridge the affordability gap, ensuring steady and timely payments based on the higher FMR standard. Landlords who choose to participate in the voucher program will have an advantage in attracting tenants who otherwise would find it difficult to pay the market rate, given the median income levels.
Considering the data, landlords should weigh the benefits of accepting vouchers against the potential risks and administrative burdens. The ability to charge closer to the FMR standard of $1,650 can provide a more stable and profitable income stream compared to relying solely on cash-paying tenants who may be more price-sensitive and less financially secure.
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.