Section 8 Fair Market Rent (FMR) for ZIP 10952 - 2027

Investment Score for ZIP 10952

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	$2,430
1 Bedroom	$2,560
2 Bedrooms	$2,790
3 Bedrooms	$3,530
4 Bedrooms	$3,870
5 Bedrooms	$4,489
6 Bedrooms	$5,028
7 Bedrooms	$5,430
8 Bedrooms	$5,702

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	$2,790	$561,494	0.5%	F
3BR	$3,530	$955,802	0.37%	F
4BR	$3,870	$1,071,375	0.36%	F
5BR	$4,489	$1,439,949	0.31%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 10952 (Monsey, NY) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 10952 in 2026 is set at $2750 for a two-bedroom apartment. This amount represents 51.3% of the median household income in Monsey, which stands at $64,332. However, the actual rental market in Monsey is significantly higher, with the Zillow median price for a two-bedroom property being $547,399. The price-to-FMR ratio is 16.6x, indicating that the actual rent prices far exceed the FMR. This disparity creates significant constraints for voucher holders. A tenant using a Section 8 voucher would find it challenging to secure housing at the FMR rate due to the high demand and limited supply of affordable units. Landlords might be reluctant to accept vouchers if they can rent their properties at much higher rates to non-voucher tenants. Therefore, voucher holders often face difficulties in finding landlords willing to accept their vouchers at the FMR rate. #### Affordability & Renter Profile Monsey has a high renter population, with 54.8% of households renting their homes. The occupancy rate is also quite high at 94.3%, suggesting that the market is relatively tight. Given the median household income of $64,332, many renters are likely to struggle with the high cost of living. The FMR for a two-bedroom unit is only $2750, but the actual median rent price is over $547,399, making it extremely difficult for low-income families to afford housing without substantial financial assistance. The tight market conditions indicate that there is a strong demand for rental properties, especially those that fall within the FMR range. However, the limited supply of affordable units means that competition among renters is fierce, particularly for those who rely on Section 8 vouchers. This scenario suggests that the rental market is oversupplied with expensive units but undersupplied with affordable ones. #### Investor Angle From an investor perspective, the ZIP code 10952 presents a mixed picture. While the FMR for a two-bedroom unit is $2750, the actual median rent price is $547,399, which is 16.6 times higher. This implies that investors could potentially achieve positive cash flow by renting their properties at the actual market rate rather than the FMR. However, the challenge lies in finding tenants who can afford these high rents. The investment grade for this ZIP code is likely to be moderate to low for Section 8-focused investors. Given the high renter percentage and occupancy rate, there is a steady demand for rental properties. However, the limited number of affordable units and the high actual rent prices make it less attractive for investors who are solely interested in Section 8 vouchers. They would need to consider the possibility of renting at higher rates or converting some units into affordable housing to attract voucher holders. #### Specific Actionable Insights 1. **Focus on Affordable Units**: Investors should focus on developing or acquiring properties that can be rented at or near the FMR. For example, a two-bedroom unit priced at $2750 would be more likely to attract Section 8 voucher holders. This strategy can help mitigate the risk of vacancy and ensure a steady stream of rental income. 2. **Consider Mixed-Income Developments**: To maximize returns while still catering to the needs of low-income families, investors might consider mixed-income developments. This involves setting aside a portion of units for affordable housing (at FMR) and renting the remaining units at market rates. For instance, a development with 20% units at $2750 and 80% units at $547,399 could balance the financial needs of both voucher holders and other renters. 3. **Engage with Local Housing Authorities**: Building relationships with local housing authorities can help investors understand the dynamics of the Section 8 program in Monsey. This knowledge can be used to structure leases and rental agreements that are more attractive to voucher holders, thereby increasing the likelihood of securing long-term tenants. #### Bottom Line Given the high actual rent prices and the limited supply of affordable units, the recommendation for Section 8-focused investors in ZIP code 10952 is to **Skip** this market. The current rental environment is not conducive to achieving positive cash flow through Section 8 vouchers alone. Investors would need to either develop affordable units or adopt a mixed-income approach to make the investment viable. However, the latter strategy requires a broader market understanding and a willingness to cater to different income levels, which may not align with the primary goal of Section 8-focused investors.

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.