Section 8 Fair Market Rent (FMR) for ZIP 11354 - 2027

Investment Score for ZIP 11354

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	$2,750
1 Bedroom	$2,890
2 Bedrooms	$3,150
3 Bedrooms	$3,990
4 Bedrooms	$4,370
5 Bedrooms	$5,069
6 Bedrooms	$5,677
7 Bedrooms	$6,131
8 Bedrooms	$6,438

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$2,890	$539,258	0.54%	F
2BR	$3,150	$723,390	0.44%	F
3BR	$3,990	$1,066,941	0.37%	F
4BR	$4,370	$1,330,196	0.33%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 11354 (New York, NY) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 11354 in Queens County is set at $3020 for a two-bedroom unit in 2026. However, the actual rent for a two-bedroom unit in this area is significantly higher, with the Zillow median price being $685,205. This translates into a price-to-FMR ratio of 18.9x, indicating that actual rents far exceed the FMR. For voucher holders, this means that their housing assistance will cover only a fraction of the actual rent, leading to substantial out-of-pocket expenses. Specifically, a voucher holder would need to pay approximately $3832 per month for a two-bedroom unit, which is well above the FMR. The constraints faced by voucher holders include limited availability of units that accept Section 8 vouchers and the inability to afford higher rents without additional financial support. #### Affordability & Renter Profile ZIP code 11354 has a high renter population percentage of 57.6%, suggesting that it is primarily a rental market. The median household income in this area is $66,010, and the FMR for a two-bedroom unit represents 54.9% of this median income. This indicates that the average renter in this ZIP code would find it challenging to afford a two-bedroom unit even at the FMR rate. Given the high actual rent prices, the market is likely very tight, with competition among renters driving up prices. The occupancy rate of 93.2% further supports the notion that there is a strong demand for rental properties, making it a competitive environment for both tenants and landlords. #### Investor Angle From an investor perspective, the ZIP code 11354 presents a mixed scenario when considering cash flow and investment grade. At the FMR rates, an investor would be able to collect $3020 per month for a two-bedroom unit. However, given the actual median rent of $685,205, the potential rental income is much higher. If we assume a typical mortgage payment and other expenses, the actual rental income could provide a positive cash flow. For example, if the mortgage payment is around $2500 per month and other expenses such as maintenance and property taxes are approximately $500 per month, the net cash flow would be $3832 - ($2500 + $500) = $832 per month. This suggests that the ZIP code can be profitable for investors who can secure higher rents. However, the investment grade is somewhat compromised due to the high price-to-FMR ratio. Investors should be cautious about relying solely on FMR rates to determine the viability of their investments, as the actual market rents are significantly higher. This implies that the investor must have a strategy to attract tenants willing to pay above the FMR, which may involve offering amenities or maintaining high-quality properties. #### Specific Actionable Insights 1. **Focus on Units Accepting Section 8 Vouchers**: Given the high renter population and the significant gap between actual rents and FMR, investors should consider acquiring properties that are already set up to accept Section 8 vouchers. This can help mitigate the risk of vacancy and ensure a steady stream of income, albeit at the lower FMR rates. 2. **Target Higher-Income Renters**: To achieve positive cash flow, investors should target higher-income renters who can afford the actual market rents. This might involve upgrading properties to offer better amenities and modern finishes, thereby justifying the higher rent prices. 3. **Explore Mixed-Income Developments**: Consider developing or investing in mixed-income developments where a portion of the units are reserved for low-income families through Section 8 vouchers, while the rest are rented at market rates. This approach can balance the need for affordable housing with the desire for higher returns. #### Bottom Line For Section 8-focused investors, the recommendation for ZIP code 11354 is to **Skip**. The high price-to-FMR ratio and the tight rental market suggest that relying solely on FMR rates would result in negative cash flow. Instead, investors should look for areas with a more favorable price-to-FMR ratio or develop strategies to attract higher-income renters to ensure profitability. If the goal is to invest in a location with strong rental demand but also manage affordability concerns, exploring mixed-income developments could be a viable alternative.

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.