Location: Philadelphia-Camden-Wilmington, PA | Metro: Philadelphia-Camden-Wilmington, PA-NJ-DE-MD MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,420 |
| 1 Bedroom | $1,540 |
| 2 Bedrooms | $1,840 |
| 3 Bedrooms | $2,190 |
| 4 Bedrooms | $2,420 |
| 5 Bedrooms | $2,807 |
| 6 Bedrooms | $3,144 |
| 7 Bedrooms | $3,396 |
| 8 Bedrooms | $3,566 |
U.S. Census Bureau data (2024)
The ZIP code 21914 is situated within a modest-sized neighborhood with a total population of 810 residents. Only 19.6% of these residents are renters, indicating a predominantly owner-occupied community. The median household income stands at $66,806, reflecting a middle-class area where families can afford decent housing but still rely on affordable rental options. Median home values in the region are relatively high at $335,372, suggesting that homeownership is valued and that properties maintain a good level of equity.
Moving into the realm of rental economics, the Fair Market Rent (FMR) for ZIP 21914 in fiscal year 2024 is set at $1,820. This is notably higher than the reported market rent of $1,522, based on Census ACS data. This discrepancy presents an opportunity for Section 8 investors, as it allows them to charge closer to the FMR while still being below the market rate, thus attracting both voucher holders and non-voucher tenants.
Given the characteristics of ZIP 21914, it appears to be a suitable location for both hands-off voucher operators and hands-on value-add buyers. For hands-off operators, the area's lower renter percentage means less competition for Section 8 tenants, and the potential to charge closer to the FMR without exceeding typical market rates makes it financially viable. Meanwhile, hands-on value-add buyers can leverage the difference between FMR and market rent to improve property conditions and increase rents over time, thereby enhancing their investment returns. However, the modest size of the population suggests that the market is limited, making it crucial for investors to carefully consider the number of units they manage to avoid oversaturation.
To summarize, ZIP 21914 offers a balanced environment for Section 8 investments, with room for both passive and active management strategies. The key lies in understanding the local dynamics and making informed decisions about property improvements and tenant mix.
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.