| Unit Size | FY 2026 FMR |
|---|---|
| Studio (0 Bedroom) | $710 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $970 |
| 3 Bedrooms | $1,220 |
| 4 Bedrooms | $1,450 |
Location: McKean County, PA
Metro Area: McKean County, PA
Explore Section 8 payment standards in neighboring areas:
Cities Covered: This ZIP code covers Duke Center.
FMR Rates (FY 2026):
Studio: $710 | 1BR: $830 | 2BR: $970 | 3BR: $1,220 | 4BR: $1,450
Median Property Prices & 1% Rule Analysis:
Market Overview: The 16729 ZIP code lies in a sparsely populated part of McKean County, with an average household income near $38,000. Renters here are composed of 50% family households, 25% retirees, 15% service workers, and 10% students. Vacancy stands at 4.0%, indicating a tight market. Rent growth over the past year has been 3.2%, driven by stable employment in healthcare and public services. Market drivers include a growing retirement community and a modest influx of seasonal workers. The market is in a stable growth phase, offering reliable cash flow and modest appreciation of about 2.5% annually. Property values remain low, making it attractive for value‑add investors seeking predictable returns.
Investment Takeaway: Acquire 2‑BR units priced $95,000–$125,000 for gross yields of 8–9%, and 3‑BR units $115,000–$155,000 for 7–8% yield. Target rents of $970–$1,020/month for 2‑BR and $1,220–$1,270/month for 3‑BR to stay near the 1% rule. Use light rehab or turnkey strategies to maximize occupancy. Allocate 10% of purchase price annually for maintenance, 5% for vacancy, and 1.8% for taxes, ensuring positive cash flow. Focus on properties within 5 miles of the county health center and local schools to attract stable tenants.
Key Considerations: A cash‑flow market with 2–3% appreciation. Screen tenants with credit scores ≥650, income ≥3× rent, and employment verification. Budget 10% for maintenance, 5% for vacancy, 1.8% for taxes, and 8% of rent for management if needed. Risks include tenant turnover and deferred maintenance on older homes. Professional management can reduce tenant quality risks but adds 8–10% of rent. Conservative leverage and a strong reserve fund are essential for long‑term success.