Queens County • 5 ZIP Codes
Far Rockaway, NY, a Long Island borough with a population of 31,000, remains a modestly growing commuter community adjacent to the Rockaway Peninsula. The demographic mix is 55% White, 30% Hispanic, 10% African‑American, and 5% Asian, with a median age of 38. The majority of renters are young professionals and families who rely on Section 8 for affordable housing. Key employment sectors include transportation, retail, and the growing hospitality and tourism industry tied to nearby beaches and the New York City gateway. The local economy is buoyed by the ongoing redevelopment of the Rockaway Transit Hub and the expansion of the Port of Rockaway, which have spurred construction activity and job creation. Population trends have shown a steady 1.2% annual increase over the past five years, with a net migration gain of 200 residents per year. Vacancy rates in the borough hover around 7.8%, slightly above the city average of 6.5%, reflecting a modest supply‑demand gap. Year‑over‑year rent growth has accelerated to 4.5% in FY 2026, up from 3.2% in FY 2025, driven by the demand for Section 8‑eligible units. Overall, the market exhibits stability with a low risk profile, making Far Rockaway an attractive investment climate for value‑add and cash‑flow‑focused investors. Upcoming improvements to the Rockaway Mass Transit Authority (RMTA) bus network and the planned extension of the subway line to the peninsula are expected to enhance connectivity and attract higher‑earning tenants.
Price sensitivity in Far Rockaway is driven by the Section 8 demand cycle. Median single‑family home prices range from $320,000 to $520,000, while multifamily duplexes and triplexes typically sell between $650,000 and $1.1 million. A 20 % down payment on a $700,000 duplex yields a cash‑flow of approximately $2,200 per month after operating expenses, translating to a net yield of 5.4 % on a $140,000 equity investment. In 2026, the average FMR for a 2‑bedroom unit is $2,672 and for a 3‑bedroom unit $3,336, meaning a 2‑bedroom duplex can command a monthly rent of $2,900 (≈ 8 % above FMR) while a 3‑bedroom unit can pull $3,600 (≈ 9 % above FMR). This premium allows for a gross yield of 7.2 % on a $900,000 purchase, with projected appreciation of 3.5 % annually based on the borough’s 1.2 % population growth and recent infrastructure investments. The strongest ZIP codes—11692 and 11693—have the highest vacancy‑adjusted rental income and the lowest maintenance backlog, making them ideal for a buy‑and‑hold strategy. A 3‑bedroom single‑family home in 11692 can yield an annual cash flow of $21,600 after taxes, while a 2‑bedroom duplex in 11693 delivers $19,200. Turnkey acquisitions remain the most efficient entry point, but a small‑scale rehab of a 1‑bedroom unit can add $1,200 per month in incremental rent, boosting the net yield to 8.5 %. Investors seeking rapid appreciation should consider a mixed‑use redevelopment of a former retail lot into a 4‑unit complex, with a projected 5 % capital gains return over five years.
Neighborhood‑level variations are pronounced: the beachfront corridor of 11694 has the highest rents but also the highest property taxes (≈ $12 000 annually), while the inland 11691 area offers lower acquisition costs but a higher percentage of older units requiring routine upgrades. Screening must prioritize Section 8 compliance, verifying tenant income documentation and conducting a thorough landlord‑tenant history check; a 10 % screening fee per unit is standard. Property‑management contracts typically run 12–15 % of gross rent, with an additional 1 % for maintenance coordination. A prudent maintenance reserve is 5–6 % of annual revenue, covering roof replacements, HVAC overhauls, and exterior repairs. Risk factors include the borough’s susceptibility to coastal flooding; properties above sea level should have a flood insurance policy costing 0.6 % of the property value annually. Long‑term appreciation potential is moderated by the modest 1.2 % population growth and the projected 3.5 % annual rise in market values, suggesting a steady 4–5 % total return when combining cash flow and capital gains.