Section 8 Fair Market Rent (FMR) for ZIP 10128 - 2027

Investment Score for ZIP 10128

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: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$4,100	$733,176	0.56%	F
2BR	$4,460	$1,448,451	0.31%	F
3BR	$5,640	$2,745,543	0.21%	F
4BR	$6,190	$4,680,487	0.13%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 10128, New York, NY #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 10128 in 2026 is set at $4,370 for a two-bedroom unit. This amount represents 35.5% of the median household income of $147,772 in the area. However, the actual rent for a two-bedroom unit based on Zillow data is $1,425,514, which is significantly higher than the FMR. The price-to-FMR ratio of 27.2x indicates that the actual market rent is far above what the FMR suggests. For voucher holders, this means that they face severe constraints in finding affordable housing. Most units available in the market are well beyond the FMR, making it challenging for them to secure housing without significant out-of-pocket expenses. #### Affordability & Renter Profile ZIP code 10128 has a high occupancy rate of 84.6%, indicating that the rental market is quite tight. With 68.9% of residents being renters, the demand for rental properties is strong. However, given the median household income of $147,772, most residents likely have the financial capability to afford the high rents. The FMR is only a fraction of the actual market rent, suggesting that the majority of renters are not relying on Section 8 vouchers but rather on their own financial resources. This makes the market highly competitive and less accessible for low-income individuals who depend on government assistance. #### Investor Angle From an investor perspective, the FMRs do not align with the actual market rents. For instance, a two-bedroom unit has an FMR of $4,370, while the median Zillow price is $1,425,514. Given these figures, it would be difficult to achieve positive cash flow if an investor were to purchase a property at the median market price and rent it out at the FMR. The disparity between the FMR and the actual market rent implies that the investment grade for Section 8-focused investors in this ZIP code is very low. Investors looking to capitalize on Section 8 vouchers would need to find properties below the median market price or in lower-tier segments where rents might be closer to the FMR. #### Specific Actionable Insights 1. **Focus on Lower-Tier Units**: Investors should consider focusing on one-bedroom or zero-bedroom units, which have FMRs of $3,990 and $3,800 respectively. These units are more likely to be rented by Section 8 voucher holders due to the lower rent requirements. While the FMRs are still a small percentage of the median income, the gap is smaller compared to two-bedroom units. 2. **Explore Below-Median Price Properties**: Given the high median Zillow price, investors should look for properties that are priced below the median. This could include older buildings or units that require renovation, which might be available at a discount. By acquiring such properties, investors can potentially offer rents closer to the FMR and still achieve a reasonable return on investment. #### Bottom Line For Section 8-focused investors, the recommendation is to **skip** ZIP code 10128. The extremely high market rents make it nearly impossible to find properties that can be rented out at the FMR and still generate positive cash flow. The tight market and high occupancy rate suggest that there is limited availability of affordable units, and the majority of the rental stock is priced well above the FMR. Investors seeking opportunities in this ZIP code should focus on other strategies that do not rely heavily on Section 8 vouchers.

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.