Location: New York, NY | Metro: New York, NY HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $2,280 |
| 1 Bedroom | $2,390 |
| 2 Bedrooms | $2,620 |
| 3 Bedrooms | $3,280 |
| 4 Bedrooms | $3,570 |
| 5 Bedrooms | $4,141 |
| 6 Bedrooms | $4,638 |
| 7 Bedrooms | $5,009 |
| 8 Bedrooms | $5,259 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,620 | $356,602 | 0.73% | D |
| 3BR | $3,280 | $614,893 | 0.53% | F |
U.S. Census Bureau data (2024)
New York’s 10456 ZIP code covers the Claremont and Morrisania sections of the Bronx, a dense, primarily residential neighborhood characterized by pre-war walk-ups and newer subsidized developments. The area features significant transit access, including the 2 and 5 subway lines at the Freeman Street and Simpson Street stations, which facilitate commutes to Manhattan. A major local institution is the Bronx-Lebanon Hospital Center, which serves as a key employer and community anchor, providing steady economic activity amidst the residential blocks.
Investors should focus on the precise rent gaps provided in the data. The HUD Fair Market Rent (FMR) for a 2-bedroom unit is currently $2,510, while the market rent (ZORI) sits at $2,503, resulting in a negligible positive spread of $7. The median home value is $457,097, but the median 2-bedroom sale price is lower at $356,590, offering an entry point below the typical mid-tier value. Properties move with moderate velocity, with a median of 49 days on market. Based strictly on these figures, voucher tenants approximately match market rates but do not offer a significant immediate cash-flow premium over non-subsidized tenants.
Demand drivers are exceptionally strong here. The area boasts a 93.1% renter share, meaning the vast majority of residents are potential tenants rather than owner-occupants. However, the median household income is $34,954, which creates a high necessity for rental assistance. Local amenities such as St. Mary’s Park provide recreational space, and the area’s proximity to major transit corridors makes it viable for the workforce. The combination of low incomes and high rental concentration suggests a persistent, structural demand for the Housing Choice Voucher program.
The strongest investor angle in 10456 is stability. With the 2-bedroom FMR effectively matching market rents and a population that is overwhelmingly renter-based, Section 8 offers a hedge against vacancy in a neighborhood where private-market incomes may not support consistent rent payments. While the lack of a substantial "spread" limits pure cash-flow strategies, the assurance of government-subsidized payments in a high-renter-density market makes this a play for long-term, reliable occupancy rather than aggressive yield chasing.
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.