Section 8 Fair Market Rent (FMR) for ZIP 10028 - 2027

Investment Score for ZIP 10028

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$3,890
1 Bedroom	$4,100
2 Bedrooms	$4,460
3 Bedrooms	$5,640
4 Bedrooms	$6,190
5 Bedrooms	$7,180
6 Bedrooms	$8,042
7 Bedrooms	$8,685
8 Bedrooms	$9,119

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$4,100	$757,623	0.54%	F
2BR	$4,460	$1,670,061	0.27%	F
3BR	$5,640	$2,925,498	0.19%	F
4BR	$6,190	$5,122,971	0.12%	F
5BR	$7,180	$8,758,312	0.08%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 10028, New York, NY #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 10028 in 2026 is set at $4,370 for a two-bedroom unit. This figure represents approximately 29.9% of the median household income in the area, which stands at $175,121. However, the actual rent for a two-bedroom unit is significantly higher, with Zillow reporting a median price of $1,608,339. The price-to-FMR ratio is an astounding 30.7x, indicating that actual rental prices far exceed the FMR guidelines. This discrepancy creates significant constraints for Section 8 voucher holders. The maximum allowable rent under the program is capped at the FMR, meaning that tenants with vouchers would find it extremely challenging to secure housing in this ZIP code. For example, a three-bedroom unit has an FMR of $5,470, but the actual cost could be much higher, making it nearly impossible for voucher recipients to afford such units. #### Affordability & Renter Profile ZIP code 10028 has a population of 49,077, with 61.5% of residents being renters. This high percentage of renters suggests a strong demand for rental properties in the area. The occupancy rate of 86.0% further supports the notion that the market is tight, with most available units quickly occupied. Given the median household income of $175,121, it is likely that many residents are high-income professionals who can afford the steep rental prices. The tight market conditions mean that there is little oversupply, and landlords have significant leverage over pricing. The high rent-to-income ratio indicates that the area is primarily attractive to individuals and families who can comfortably pay above-average rents. Consequently, the market is highly competitive, and affordability remains a significant challenge for lower-income households. #### Investor Angle From an investor perspective, the ZIP code 10028 presents a unique challenge. While the actual rental prices are very high, the FMR guidelines are much lower. To determine if this ZIP code is cash-flow positive at FMR, we must consider the potential for renting out units at the FMR versus the actual market rates. Given the high median rent-to-price ratio of 30.7x, it is clear that the majority of rental units will be priced well above the FMR. Therefore, an investor focusing on Section 8 vouchers would likely struggle to find enough tenants willing to pay the FMR to achieve positive cash flow. Additionally, the limited number of units that might be available at or near the FMR would make it difficult to scale investments in this area. In terms of investment grade, ZIP code 10028 would be considered a high-risk, low-reward area for Section 8-focused investors due to the mismatch between FMR and actual rental prices. The high cost of acquiring rental properties and the low likelihood of finding sufficient Section 8 tenants willing to pay the FMR would make this a challenging market for such investments. #### Specific Actionable Insights 1. **Focus on Larger Units**: Since the FMR for larger units (3BR and 4BR) is higher, investors might consider targeting these units for Section 8 tenants. A three-bedroom unit has an FMR of $5,470, while a four-bedroom unit has an FMR of $5,950. These higher FMRs provide a better chance of achieving positive cash flow compared to smaller units. 2. **Consider Alternative Markets**: Given the extreme disparity between FMR and actual rental prices, investors should consider alternative markets where the FMR is closer to the actual rental prices. This would allow for a more straightforward path to positive cash flow and a higher likelihood of attracting Section 8 tenants. #### Bottom Line For Section 8-focused investors, ZIP code 10028 is a challenging market due to the significant gap between FMR and actual rental prices. The high cost of living and limited availability of units at or near FMR levels make it difficult to achieve positive cash flow. Therefore, the recommendation is to **skip** this ZIP code for Section 8 investments and instead focus on areas where the FMR is more aligned with actual rental prices.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.