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 | $3,140 |
| 1 Bedroom | $3,310 |
| 2 Bedrooms | $3,600 |
| 3 Bedrooms | $4,560 |
| 4 Bedrooms | $4,990 |
| 5 Bedrooms | $5,788 |
| 6 Bedrooms | $6,483 |
| 7 Bedrooms | $7,002 |
| 8 Bedrooms | $7,352 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $3,600 | $400,756 | 0.9% | C |
| 3BR | $4,560 | $475,936 | 0.96% | C |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 10537, which includes Lake Peekskill, NY, is set at $3570 for fiscal year 2024. This figure represents the payment standard for Section 8 housing vouchers, meaning that if you participate in the program, the government will pay up to $3570 per month for a rental unit. However, this does not necessarily mean your tenants' rent will be $3570; it's the maximum amount the voucher can cover.
To put this into perspective, the average rent for the area, according to the Census American Community Survey (ACS), is $2,583. This suggests that the FMR for Section 8 is higher than the typical market rate, potentially offering landlords a better deal when compared to other local rentals.
The 18.0% renter share indicates that roughly one out of every five residents in Lake Peekskill are renters. This means there is a consistent demand for rental properties, particularly those that might be subsidized through the Section 8 program. The demand is steady but not overwhelming, which could be beneficial for maintaining a balanced portfolio without the risk of oversaturation.
If you're looking to acquire a property for a Section 8 rental, consider that the median home value in the area is approximately $414,143. This figure represents the typical price range you might encounter when purchasing a home in this ZIP code. Given the FMR and the average rent, it's important to ensure that the property meets the minimum standards set by the Housing Quality Standards (HQS) to qualify for the program.
Before making a decision to enter the Section 8 market with your first rental property, verify that the property complies with all local safety and habitability regulations. This ensures that you meet the requirements for participation in the program and avoids any potential issues with the Housing Authority.
In summary, participating in Section 8 in ZIP code 10537 can provide a reliable income stream, with the government paying up to $3570 per month, which exceeds the average local rent of $2,583. With an 18.0% renter share, there is a stable demand for rental properties. The median home value of $414,143 offers insight into the typical investment cost. Ensure your property meets all necessary standards to avoid complications once you've decided to take the plunge into Section 8 real estate.
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.