Section 8 Fair Market Rent (FMR) for ZIP 10305 - 2027

Investment Score for ZIP 10305

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	$2,370
1 Bedroom	$2,500
2 Bedrooms	$2,720
3 Bedrooms	$3,440
4 Bedrooms	$3,770
5 Bedrooms	$4,373
6 Bedrooms	$4,898
7 Bedrooms	$5,290
8 Bedrooms	$5,555

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
2BR	$2,720	$607,116	0.45%	F
3BR	$3,440	$752,753	0.46%	F
4BR	$3,770	$871,117	0.43%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 10305 (New York, NY) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 10305 in Richmond County, New York, is set by HUD for 2026. For a two-bedroom unit, the FMR is $2,630. However, the Zillow median price for a two-bedroom rental property in this ZIP code is significantly higher at $598,794. This results in a price-to-FMR ratio of approximately 19.0x, indicating that the actual rent charged in the market is nearly 19 times the FMR. This stark difference means that Section 8 voucher holders face significant constraints in finding suitable housing within their budget. The FMR represents only about 37.8% of the median household income, which further highlights the affordability gap faced by low-income renters. #### Affordability & Renter Profile ZIP code 10305 has a population of 41,270, with 35.1% of residents being renters. Given the occupancy rate of 92.5%, it is clear that the rental market is quite tight, with limited availability. The median household income in this area is $83,413, suggesting that the majority of residents have middle to upper-middle class incomes. However, the 35.1% renter population includes those who rely on Section 8 vouchers to afford housing. These individuals likely struggle to find units that accept their vouchers due to the high actual rent prices compared to the FMR. The market is undersupplied with affordable options, making it challenging for low-income renters to secure housing. #### Investor Angle From an investor perspective, the ZIP code 10305 presents a mixed picture. While the Zillow median price for a two-bedroom rental property is $598,794, the FMR is only $2,630. This means that if an investor were to purchase a property at the median price and rent it out at the FMR, they would be facing a significant cash flow negative situation. The high price-to-FMR ratio of 19.0x indicates that the market is overpriced relative to the FMR, which is a key benchmark for Section 8 voucher holders. Therefore, properties rented at FMR levels would not generate positive cash flow, and the investment grade would be considered poor for Section 8-focused investors. #### Specific Actionable Insights 1. **Focus on Multi-Family Properties**: Investors should consider purchasing multi-family properties where they can spread the costs across multiple units. A single-family home priced at $598,794 would be difficult to manage financially when renting at the FMR. However, a multi-family building could potentially offer better returns if some units are rented above the FMR while others are rented at the FMR level. 2. **Consider Renovation Projects**: If an investor can find a property below the median price, they might consider renovation projects to increase the value and rentability of the property. For example, if a property can be purchased for around $400,000 and renovated for an additional $100,000, the total cost would be $500,000. Renting at the FMR of $2,630 would still result in a cash flow negative situation, but the potential for appreciation and higher rents post-renovation could make the investment more viable. #### Bottom Line Given the high price-to-FMR ratio and the tight rental market, the recommendation for Section 8-focused investors is to **Skip** this ZIP code. The financial dynamics do not support positive cash flow at the FMR levels, and the market is not conducive to finding affordable rental properties for low-income households. Investors looking to focus on Section 8 vouchers would be better served by exploring other ZIP codes with lower price-to-FMR ratios and more affordable rental options.

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.