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 | $2,440 |
| 1 Bedroom | $2,570 |
| 2 Bedrooms | $2,800 |
| 3 Bedrooms | $3,540 |
| 4 Bedrooms | $3,880 |
| 5 Bedrooms | $4,501 |
| 6 Bedrooms | $5,041 |
| 7 Bedrooms | $5,444 |
| 8 Bedrooms | $5,716 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,800 | $417,691 | 0.67% | D |
| 3BR | $3,540 | $522,801 | 0.68% | D |
| 4BR | $3,880 | $692,627 | 0.56% | F |
| 5BR | $4,501 | $746,918 | 0.6% | D |
U.S. Census Bureau data (2024)
To determine if a landlord should invest in ZIP code 10923 (Garnerville, NY) for Section 8 properties, follow these steps:
Step 1: Does the Fair Market Rent (FMR) of $2,770 cover the debt service on a property valued at $604,422?
Yes: If you can secure a property at or below $604,422, the FMR of $2,770 will likely cover your debt service. This means that rental income from a Section 8 tenant could sufficiently pay off your mortgage and other financial obligations.
No: For properties exceeding $604,422, the FMR of $2,770 may not be sufficient to cover debt service. In this case, purchasing a property in ZIP 10923 for Section 8 would not be advisable unless you can find ways to reduce expenses or increase income.
It Depends: If the property value is close to $604,422, the answer hinges on the specifics of the mortgage terms and other costs. Analyze your financials carefully to ensure that the FMR covers all necessary expenses.
Step 2: Is the market rent of $1,825 above, at, or below the FMR?
Above: The market rent being below the FMR suggests that Section 8 tenants might struggle to find non-subsidized housing. This could mean higher demand for Section 8 units, making ZIP 10923 a good investment for those looking to participate in the program.
At: If market rents were equal to the FMR, it would indicate a balanced market where Section 8 rents match what the market offers. However, since the market rent is below the FMR, this scenario does not apply here.
Below: Given that the market rent of $1,825 is below the FMR of $2,770, it indicates that landlords can potentially earn more from Section 8 tenants compared to market-rate tenants. This makes ZIP 10923 a favorable location for landlords interested in Section 8 properties.
Step 3: Do the 37.9% of renters and the unknown days on market (DOM) indicate sufficient demand?
Yes: With 37.9% of the population renting, there is a notable demand for rental properties. The lack of specific days on market data does not necessarily detract from this conclusion; high rental rates suggest a steady demand for affordable housing.
No: This option does not apply because there is no evidence of insufficient demand based on the given data.
It Depends: While the 37.9% rental rate is significant, the absence of days on market data leaves some uncertainty. However, given the lower market rent compared to the FMR, it's reasonable to assume that demand for Section 8 properties is strong enough to support investment in ZIP 10923.
In summary, if the FMR of $2,770 clears debt service on a property valued at $604,422 or less, and the market rent is below the FMR, ZIP 10923 presents a viable opportunity for landlords and small-portfolio investors interested in Section 8 properties. The presence of 37.9% renters further supports the potential for strong demand.
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.