Location: Youngstown-Warren, OH | Metro: Youngstown-Warren, OH 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 | $760 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,000 |
| 3 Bedrooms | $1,300 |
| 4 Bedrooms | $1,370 |
| 5 Bedrooms | $1,589 |
| 6 Bedrooms | $1,780 |
| 7 Bedrooms | $1,922 |
| 8 Bedrooms | $2,018 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,000 | $114,705 | 0.87% | C |
| 3BR | $1,300 | $178,906 | 0.73% | D |
| 4BR | $1,370 | $230,665 | 0.59% | F |
U.S. Census Bureau data (2024)
The ZIP code 44437 encompasses the neighborhood of McDonald, OH, which is characterized by a relatively small population of 3,913 residents. The area has a modest rental market, with only 16.8% of the population being renters. This indicates that the majority of residents own their homes, suggesting a stable and potentially close-knit community. The median household income in McDonald, OH, stands at $76,842, reflecting a middle-class neighborhood where residents have sufficient disposable income. The median home value is $159,170, indicating that homeownership is affordable and accessible to many residents.
Moving into the specifics of the rental market, the Fair Market Rent (FMR) for ZIP 44437 in fiscal year 2024 is set at $900. In contrast, the actual market rent, according to the Census Bureau's American Community Survey (ACS), is $823. This discrepancy suggests an opportunity for landlords and small-portfolio investors to operate effectively within the voucher program, as the FMR exceeds the current market rate. Landlords can leverage this gap to attract tenants who benefit from the Section 8 housing assistance program without significantly reducing their rental income.
The question remains whether this neighborhood suits a hands-off voucher operator or requires a more hands-on approach for a value-add buyer. Given the modest rental market share and the favorable FMR-to-market-rent ratio, a hands-off operator could manage properties efficiently while still benefiting from the guaranteed rental income provided by the Section 8 program. However, for a value-add buyer looking to improve property values and rents, there is potential to enhance the quality of rental units and increase rents closer to the FMR, thereby maximizing returns. This strategy would require active management and investment in property upgrades but offers a path to higher profitability in the long run.
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.