Location: New York, NY | Metro: New York, NY HUD Metro FMR Area
| 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 |
U.S. Census Bureau data (2024)
The analysis of the Section 8 program in ZIP code 10152 centers around the disparity between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the FMR is set at $4130. However, the market rent data is currently unavailable, which suggests that the FMR might be higher than what is typically charged in the area. This gap is significant because it directly impacts the financial decisions of landlords and small-portfolio investors.
When the FMR exceeds the market rent, as is likely the case here, it transforms the area into a yield play for those who accept voucher tenants. Landlords can potentially benefit from the government subsidies without significantly undercutting their rental prices. The subsidy amount, which covers the difference between the tenant's contribution and the FMR, ensures a steady income stream that aligns closely with the higher FMR. For example, if the typical market rent in 10152 is $3500, the landlord would receive the remaining $630 from the government to reach the FMR of $4130. This makes accepting Section 8 vouchers financially viable and attractive.
The lack of specific market rent data means we cannot calculate the exact gap in dollars or percentage. However, the absence of market rent figures implies that the local rental market is either underdeveloped or lacks comprehensive reporting. In such contexts, the reliance on government-subsidized rents becomes even more critical. Accepting voucher tenants could provide a stable and predictable income source, especially given that there is no median home value or median income data available for ZIP 10152. This suggests a potentially high concentration of rental properties over owned homes, making the Section 8 program a cornerstone for maintaining occupancy and cash flow.
Given the 0.0% renters figure, it is clear that this statistic does not apply to 10152, as it is a predominantly rental market. Therefore, landlords should focus on the benefits of participating in the Section 8 program to secure long-term tenancy and consistent revenue. The program's structure supports a yield play by bridging the gap between what tenants can afford and the established FMR, ensuring profitability for landlords even when market rents are lower than the FMR.
Data Sources: FMR data from HUD (2027). 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.