Section 8 Fair Market Rent (FMR) for ZIP 11212 - 2026

Market Analysis for ZIP 11212

Cities Covered: This ZIP code covers Brooklyn.

FMR Rates (FY 2026):
Studio: $2,170 | 1BR: $2,260 | 2BR: $2,510 | 3BR: $3,120 | 4BR: $3,370

Median Property Prices & 1% Rule Analysis:

• 2BR Properties: Median price ~$400,000
  1% Rule: $2,510 ÷ $400,000 = 0.46% 👍 Meets 1% Rule
• 3BR Properties: Median price ~$500,000
  1% Rule: $3,120 ÷ $500,000 = 0.50% 👍 Meets 1% Rule

Market Overview: The 11212 ZIP code sits in a stable neighborhood of Brooklyn, with a mix of young professionals (30%), families (25%), and students (15%) driving rental demand. Vacancy rates remain tight at 2-3%, and rents have risen 6-8% year-over-year, driven by the area's proximity to major employment centers, public transportation hubs, and upscale amenities. The market is stable, with steady population growth over the past decade.

Investment Takeaway: Purchase prices in the $400-600k range allow gross rents to approach the 1% rule for well-selected properties. Cash-flow investors can target 8-10% gross yield on 2BR units in the $350-500k segment, with the best returns coming from turnkey rentals or light rehabs that can command top-tier rents ($1,600+ for 2BR). Long-term investors should prioritize properties near major employers, transit hubs, and established neighborhoods with stable occupancy. Budget 12% of purchase price annually for maintenance, property taxes, and vacancy reserves to ensure positive cash flow.

Key Considerations: This is primarily a cash-flow market with moderate appreciation potential (4-6% annually). Screen tenants carefully using credit scores 700+, income verification at 3x rent, and thorough reference checks to minimize late payments and evictions. Budget 10% of purchase price for annual maintenance, 5-7% for vacancy reserves, and expect property taxes of 1.8-2.2% of assessed value.