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 | $2,810 |
| 1 Bedroom | $2,960 |
| 2 Bedrooms | $3,220 |
| 3 Bedrooms | $4,070 |
| 4 Bedrooms | $4,470 |
| 5 Bedrooms | $5,185 |
| 6 Bedrooms | $5,807 |
| 7 Bedrooms | $6,272 |
| 8 Bedrooms | $6,586 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $3,220 | $760,090 | 0.42% | F |
| 3BR | $4,070 | $903,454 | 0.45% | F |
U.S. Census Bureau data (2024)
The ZIP code 11378 in New York, NY, presents an interesting balance between yield and stability for real estate investors. The Fair Market Rent (FMR) for the fiscal year 2024 is set at $2,860, which is notably higher than the market rent of $2,691. This suggests that properties eligible for Section 8 funding can command slightly higher rents compared to the general market, enhancing potential rental yields.
However, the median home value in ZIP 11378 stands at $872,594, indicating a relatively expensive market for property acquisition. Despite this, the FMR figures suggest that there is a good opportunity to achieve a positive cash flow if you can secure a property below the median price.
Stability is another key factor to consider. With 44.6% of residents being renters, there is a significant portion of the population relying on rental housing, which can be seen as a positive sign for maintaining occupancy rates. The average household income in the area is $85,830, which is moderate but sufficient to support the local rental market. Unfortunately, the data does not provide days-on-market (DOM) information, which would have been useful in assessing how quickly properties are typically rented out.
Given these figures, ZIP 11378 leans towards being a steady-cashflow zone rather than a high-yield/low-stability market. The slightly higher FMR compared to market rent points to a decent yield, especially when considering the potential for rental assistance. The high median home value means that initial investment costs will be significant, but the relatively stable renter population and moderate income levels suggest that cash flows should be reliable once tenants are secured.
To summarize, while the yield is respectable due to the higher FMR, the stability factors—such as the percentage of renters and average income—point towards a market where consistent cash flow is likely achievable. Investors looking to enter this ZIP code should focus on securing properties below the median value to maximize their returns.
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.