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 | $2,280 |
| 1 Bedroom | $2,390 |
| 2 Bedrooms | $2,620 |
| 3 Bedrooms | $3,280 |
| 4 Bedrooms | $3,570 |
| 5 Bedrooms | $4,141 |
| 6 Bedrooms | $4,638 |
| 7 Bedrooms | $5,009 |
| 8 Bedrooms | $5,259 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 5BR | $4,141 | $2,209,901 | 0.19% | F |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 10987 in fiscal year 2024 is set at $2210. This figure represents the payment standard used by the U.S. Department of Housing and Urban Development (HUD) for the Section 8 housing voucher program, which means that landlords who participate will receive up to this amount from the government to cover the rent for eligible tenants.
It's important to note that the FMR does not necessarily reflect the actual rent you can charge. According to recent Census Bureau data, the average rent in ZIP 10987 is $1,443. This suggests that while the Section 8 program may provide a higher subsidy, it is still essential to consider the local rental market when setting your rates.
ZIP 10987 has a renter share of 20.1%, indicating a moderate demand for rental properties. This percentage shows that nearly one in five residents are renters, providing a steady pool of potential tenants for your property. However, to ensure a competitive edge, you should focus on maintaining a property that meets the needs of low-income families, who are typically the beneficiaries of the Section 8 program.
In terms of acquisition costs, the median home value in ZIP 10987 is approximately $1,250,740. This high figure means that purchasing a property for Section 8 might be challenging for first-time investors. It's crucial to assess the long-term benefits of participating in the program against the initial investment.
Before making the decision to enter the Section 8 market, verify that your property complies with HUD's Housing Quality Standards (HQS). These standards ensure that the property is safe, decent, and sanitary for tenants. Compliance with HQS is mandatory for participation in the Section 8 program, and failing to meet these requirements could result in penalties or removal from the program.
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.