Location: Nassau-Suffolk, NY | Metro: Nassau-Suffolk, 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 | $2,040 |
| 1 Bedroom | $2,370 |
| 2 Bedrooms | $2,790 |
| 3 Bedrooms | $3,590 |
| 4 Bedrooms | $3,810 |
| 5 Bedrooms | $4,420 |
| 6 Bedrooms | $4,950 |
| 7 Bedrooms | $5,346 |
| 8 Bedrooms | $5,613 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $3,590 | $1,372,136 | 0.26% | F |
| 4BR | $3,810 | $1,680,182 | 0.23% | F |
| 5BR | $4,420 | $2,378,759 | 0.19% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 11023 are governed by the Section 8 Housing Choice Voucher Program. For fiscal year 2024, the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code is set at $3,110. This figure represents the maximum amount that the government will pay for a rental unit under the program. However, it's important to note that local market rents in ZIP 11023 run significantly lower at $1,522, according to the Census ACS (American Community Survey).
A landlord participating in the Section 8 program receives a reimbursement that covers most of the rent, but not all. The tenant is responsible for paying a portion of the rent, which is typically 30% of their income. Additionally, there are utility allowances that vary based on the size of the unit and the location. For a two-bedroom apartment, these allowances can range between $300 to $500 per month.
To walk through an example, let's assume the tenant's income is such that they pay 30% of it toward rent. If the tenant's monthly income is $2,000, they would contribute $600 toward the rent. The government would then cover the remaining portion up to the SAFMR limit. In this case, if the total rent is $3,110, the government would reimburse the landlord $2,510 ($3,110 - $600). This calculation does not include any utility allowances, which would be paid separately by the government.
If we factor in a utility allowance of $400, the total reimbursement from the government would increase to $2,910. This still leaves the landlord receiving less than the SAFMR rate because the tenant's contribution is based on their income, not the full rent amount. It's worth noting that the reimbursement rate is capped at the SAFMR, so even if the market rent were higher, the landlord would not receive more than $3,110 for a two-bedroom unit.
In ZIP 11023, where the market rent is only $1,522, the typical voucher reimbursement would result in a surplus for the landlord. With a tenant contribution of $600 and a utility allowance of $400, the landlord would receive a total of $2,510 from the government, leaving them with a surplus of $988 per month over the local market rent. This surplus can help offset maintenance costs, vacancies, and other expenses associated with property management.
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.