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 | $2,370 |
| 1 Bedroom | $2,500 |
| 2 Bedrooms | $2,730 |
| 3 Bedrooms | $3,440 |
| 4 Bedrooms | $3,770 |
| 5 Bedrooms | $4,373 |
| 6 Bedrooms | $4,898 |
| 7 Bedrooms | $5,290 |
| 8 Bedrooms | $5,555 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $3,440 | $617,310 | 0.56% | F |
| 4BR | $3,770 | $836,451 | 0.45% | F |
U.S. Census Bureau data (2024)
The rent math in ZIP code 10986 does not work favorably for landlords. The HUD Fair Market Rent (FMR) for FY 2024 is set at $3730, which is significantly higher than the Census ACS reported market rent of $2,053. This disparity suggests that landlords aiming to charge closer to the FMR might struggle to find tenants willing to pay the premium, especially given the local market conditions.
Acquisition in ZIP 10986 is not affordable for small-portfolio investors. With a median home value of $677,087, purchasing properties here requires a substantial financial commitment. The lack of available data on days on market (DOM) and the percentage of homes needing price cuts indicates a stable market but also implies that there is little room for negotiation or quick sales, making it challenging for investors with limited capital to enter or exit the market swiftly.
Tenant demand in ZIP 10986 is moderate. The area has a population of 1,806, with 25.8% of residents being renters. While this shows there is a base of potential tenants, the relatively small population size means the pool of prospective renters is limited. This could affect the speed at which vacancies can be filled and the diversity of rental applications received.
In summary, ZIP 10986 presents a challenging environment for landlords and small-portfolio investors due to the mismatch between the HUD FMR and actual market rents, high property values that limit acquisition opportunities, and a modest tenant demand. The financial viability of rental properties in this area is questionable, and investors should proceed with caution, carefully assessing their risk tolerance and financial capacity before committing to acquisitions.
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.