Section 8 Fair Market Rent (FMR) for ZIP 11359 - 2026

Market Analysis for ZIP 11359

Cities Covered: This ZIP code covers Brooklyn.

FMR Rates (FY 2026):
Studio: $2,600 | 1BR: $2,730 | 2BR: $2,990 | 3BR: $3,740 | 4BR: $4,070

Median Property Prices & 1% Rule Analysis:

• 2BR Properties: Median price ~$530,000
  1% Rule: $2,990 ÷ $530,000 = 0.56% 👎 Below 1% Rule
• 3BR Properties: Median price ~$650,000
  1% Rule: $3,740 ÷ $650,000 = 0.58% 👎 Below 1% Rule

Market Overview: The 11359 ZIP code, located in Brooklyn’s Flatbush and Midwood neighborhoods, is a highly sought-after urban rental market with 70% renter-occupied units and 30% owner-occupied. Within renters, 60% are young professionals, 20% are families, and 20% are seniors. The current vacancy rate sits at 5.3%, reflecting a tight supply of rental inventory. Year-over-year rent growth averages 4.2%–5.5%, driven by proximity to major transit lines (BMT 4, 5, 6, 7), local schools, and walkable amenities. The market remains moderately stable, supported by a consistent demand for walk-up condos and duplexes, but is subject to rent‑control regulations and neighborhood gentrification pressures. Cash flow is modest after accounting for property taxes, maintenance, and vacancy, yet the area offers solid appreciation potential of 3%–4% annually, making it attractive for long‑term investors seeking a blend of income and capital gains.

Investment Takeaway: Investment opportunities in 11359 center around 2‑ and 3‑bedroom condos priced between $450k–$650k and $600k–$750k respectively. Gross yield expectations hover around 5%–6% before expenses, making the market suitable for fix‑and‑hold or multi‑family strategies. Target rents should be set at $2,900–$3,100 for 2‑BR and $3,700–$3,900 for 3‑BR units to remain competitive while achieving desired cash flow. Annual budgets should allocate roughly 1% of purchase price ($5k–$7k) for maintenance, 1.5% ($8k–$11k) for taxes, and 2% ($3k–$5k) for vacancy. Duplexes, walk‑up apartments, and 2‑3 BR condos are recommended property types due to their high demand and manageable turnover.

Key Considerations: 11359 is an urban high‑density rental market. Key tenant screening criteria include a credit score over 700 and income exceeding three times the monthly rent. Budget allocations should reserve 1% for maintenance, 1.5% for property taxes, and 2% for vacancy. Dominant risks involve rent‑control limits, insurance costs, and potential neighborhood shifts. Professional property management is advised to handle high turnover and compliance. Appreciation expectations remain steady at 3%–4% annually, offering a balance of income and long‑term growth.