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 | $2,640 |
| 1 Bedroom | $2,770 |
| 2 Bedrooms | $3,020 |
| 3 Bedrooms | $3,820 |
| 4 Bedrooms | $4,190 |
| 5 Bedrooms | $4,860 |
| 6 Bedrooms | $5,443 |
| 7 Bedrooms | $5,878 |
| 8 Bedrooms | $6,172 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $2,770 | $280,652 | 0.99% | C |
| 2BR | $3,020 | $587,574 | 0.51% | F |
| 3BR | $3,820 | $812,059 | 0.47% | F |
| 4BR | $4,190 | $997,646 | 0.42% | F |
| 5BR | $4,860 | $1,196,002 | 0.41% | F |
U.S. Census Bureau data (2024)
ZIP code 11234, located in the Mill Basin and Georgetown sections of Brooklyn, offers a suburban-style enclave characterized by detached single-family homes and a quieter atmosphere compared to the rest of New York City. The neighborhood is distinct for its proximity to Jamaica Bay, providing residents with recreational opportunities at Floyd Bennett Field and the Gateway National Recreation Area. This area is largely residential with a strong community focus, and local commerce is significantly supported by the nearby Kings Plaza Shopping Center, which remains a major retail hub and employer for the southeastern Brooklyn region.
Focusing on the financials, the HUD SAFMR for a 2-bedroom unit in FY2024 is $2,630. This aligns almost perfectly with the current market rent (Zillow ZORI) of $2,633, resulting in a negligible gap of just $3. For investors eyeing the FY2026 Fair Market Rent ladder, rates rise to $2,900 for a 2-bedroom, potentially offering stronger margins. Real estate entry is steep here, with a median home value of $776,920 and a specific median 2BR sale price of $582,691. Properties are moving relatively slowly, sitting on the market for a median of 77 days.
With a renter share of 31.7% and a median household income of $97,479, the tenant base is generally more affluent than in other parts of the city, suggesting lower risk for landlords. The area is served by well-regarded public schools like PS 236, which appeals to families. Transit options are less dense than in northern Brooklyn, relying heavily on local bus lines to connect to subway stations, which preserves the low-density character but may require a longer commute for voucher holders working in Manhattan.
The Section 8 verdict for 11234 leans toward stability and appreciation rather than immediate aggressive cash flow. The current 2BR rent gap is effectively flat, meaning voucher rents cover market rate but do not immediately exceed it. However, the projected FY2024 FMR increase to $2,900 creates a future upside. Given the high median home values and moderate $97,479 income, the strongest angle here is acquiring assets in a stable, high-demand neighborhood where long-term asset appreciation is likely to outperform modest rental yields.
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.