Section 8 Fair Market Rent (FMR) for ZIP 11217 - 2027

Investment Score for ZIP 11217

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$3,890
1 Bedroom	$4,100
2 Bedrooms	$4,460
3 Bedrooms	$5,640
4 Bedrooms	$6,190
5 Bedrooms	$7,180
6 Bedrooms	$8,042
7 Bedrooms	$8,685
8 Bedrooms	$9,119

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$4,100	$960,358	0.43%	F
2BR	$4,460	$1,495,418	0.3%	F
3BR	$5,640	$2,427,741	0.23%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 11217 (New York, NY) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 11217, as determined by HUD for 2026, is set at $4370 for a two-bedroom unit. However, the Zillow median price for a two-bedroom home in this area is $1,470,520, which translates to a price-to-FMR ratio of approximately 28.0x. This indicates that the actual rental prices in the area are significantly higher than the FMR, making it challenging for Section 8 voucher holders to find suitable housing. The FMR represents only 32.2% of the median household income ($162,863), suggesting that even if a tenant were to use their entire voucher amount, they would still need substantial additional funds to cover rent. This places a significant constraint on voucher holders, who often have limited financial resources beyond their vouchers. #### Affordability & Renter Profile ZIP code 11217 has a high occupancy rate of 92.4%, indicating a tight rental market. With 72.2% of residents being renters, there is a strong demand for rental properties. The median household income is quite high at $162,863, but the majority of residents are likely renting due to the extremely high cost of homeownership. Given the high price-to-FMR ratio, it is clear that the rental market is not affordable for most low-income households, including those with Section 8 vouchers. The high rent levels suggest that the area caters primarily to higher-income renters, leaving little room for lower-income individuals unless they can find units below the FMR, which is unlikely given the current market dynamics. #### Investor Angle From an investor perspective, the ZIP code 11217 presents a mixed picture. While the high occupancy rate suggests strong demand for rental properties, the FMR is far below the actual market rent. For instance, the FMR for a two-bedroom unit is $4370, whereas the median price for such a unit is $1,470,520. This means that investors would be hard-pressed to achieve positive cash flow if they were to rent exclusively to Section 8 voucher holders. The high price-to-FMR ratio of 28.0x implies that the investment grade for this ZIP code is relatively low for Section 8-focused investors, as the rents do not align with the FMRs set by HUD. #### Specific Actionable Insights 1. **Target Higher-Income Tenants**: Given the high median household income and the tight rental market, investors should consider targeting higher-income tenants rather than relying solely on Section 8 vouchers. This will likely result in better cash flow and returns on investment. 2. **Focus on Smaller Units**: Since the FMR for smaller units (like 0BR and 1BR) is lower compared to larger units, investors might want to focus on developing or acquiring smaller units where the gap between FMR and market rent is less pronounced. For example, a 0BR unit has an FMR of $3800, while a 1BR unit has an FMR of $3990. These units could potentially attract some Section 8 voucher holders, although the overall market remains expensive. 3. **Consider Alternative Subsidies**: Investors could explore alternative subsidies or government programs that offer higher rent allowances than Section 8 vouchers. This would help bridge the gap between the FMR and actual market rents, making the investment more viable. #### Bottom Line For Section 8-focused investors, the ZIP code 11217 is not recommended. The high price-to-FMR ratio and the tight rental market make it difficult to achieve positive cash flow. Instead, investors should consider other areas with more favorable ratios and lower market rents relative to FMRs. If investing in 11217, targeting higher-income tenants or exploring alternative subsidy programs would be more prudent strategies.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.