Location: New York, NY | Metro: Kiryas Joel-Poughkeepsie-Newburgh, NY MSA
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 | $3,450 |
| 1 Bedroom | $3,630 |
| 2 Bedrooms | $3,950 |
| 3 Bedrooms | $5,000 |
| 4 Bedrooms | $5,480 |
| 5 Bedrooms | $6,357 |
| 6 Bedrooms | $7,120 |
| 7 Bedrooms | $7,690 |
| 8 Bedrooms | $8,075 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $3,950 | $430,210 | 0.92% | C |
| 3BR | $5,000 | $534,746 | 0.94% | C |
| 4BR | $5,480 | $612,257 | 0.9% | C |
U.S. Census Bureau data (2024)
The median income in ZIP code 10974, which encompasses Sloatsburg, NY, stands at $117,596. This figure is crucial when considering the local rental market, where the average market rate is reported at $2,789 per month according to the Census ACS. To frame this from a renter's perspective, let's break down the affordability.
A household earning the median income would allocate approximately 24% of their gross monthly income towards rent at the market rate. This is calculated based on the annual income divided by 12 months, then compared to the monthly rent. For context, traditional guidelines suggest that no more than 30% of a household’s income should be spent on housing costs. Therefore, while the median income is relatively high, the market rate still represents a significant portion of it.
Comparatively, the Fair Market Rent (FMR) standard set for ZIP code 10974 for fiscal year 2024 is $3,030. This means that if a household relies on Section 8 vouchers, they could potentially afford slightly higher rent rates than the current market rate. However, the difference between the market rate and the FMR is minimal, suggesting that landlords might not see substantial gains by accepting vouchers over cash-paying tenants.
With 22.6% of the population renting in an area of 3,382 people, the competition among landlords is moderate. The affordability gap, where the median income is higher but still a considerable amount is spent on rent, indicates that there may be a segment of the market that finds the current rents challenging. This can lead to a scenario where landlords who offer competitive pricing or additional amenities may attract more tenants.
The takeaway for landlords is that while the median income supports a strong rental market, the current market rate and FMR are closely aligned. Accepting Section 8 vouchers can provide a steady stream of income but will not significantly increase the rent collected beyond the market rate. Landlords should consider the administrative aspects of participating in the voucher program versus the simplicity of cash payments. Given the slight advantage of FMR over market rate, those willing to navigate the voucher process may find a niche market, but overall, the strategy should align with broader market dynamics and personal operational preferences.
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.