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 | $2,700 |
| 1 Bedroom | $2,840 |
| 2 Bedrooms | $3,090 |
| 3 Bedrooms | $3,910 |
| 4 Bedrooms | $4,290 |
| 5 Bedrooms | $4,976 |
| 6 Bedrooms | $5,573 |
| 7 Bedrooms | $6,019 |
| 8 Bedrooms | $6,320 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $2,840 | $600,597 | 0.47% | F |
| 2BR | $3,090 | $747,899 | 0.41% | F |
| 3BR | $3,910 | $880,390 | 0.44% | F |
U.S. Census Bureau data (2024)
ZIP code 11385 covers the dynamic, mixed-use neighborhoods of Ridgewood and parts of Glendale in Queens. This area is characterized by a blend of historic brick row houses and pre-war walk-ups, offering a quieter, community-focused alternative to nearby Bushwick. The local economy benefits significantly from the presence of the Mount Sinai Hospital South Nassau campus and a robust network of small manufacturing businesses along the Flushing Avenue corridor, providing stable employment bases for residents. Recent rezoning efforts have spurred interest in the area, aiming to preserve neighborhood character while allowing for modest residential growth.
From an investment standpoint, the math reveals a challenge for the upcoming fiscal year. The HUD Fair Market Rent (FMR) for a 2-bedroom unit is projected at $2,960, yet current market rents (Zillow ZORI) sit significantly higher at $3,111. This creates a gap of $151 per month, meaning standard voucher payments may trail the open market. Median home values are substantial at $870,542, with a specific 2-bedroom median sale price of $731,430. Properties are moving relatively quickly, with a median of 48 days on market, indicating active buyer demand despite the pricing pressure.
The tenant pool here is dense, with 69.3% of households renting and a median household income of $88,838. This income level is generally sufficient to support market rents, but it also suggests a competitive environment where Section 8 applicants must have strong vouchers to compete. Families are drawn to the area for access to highly rated public schools such as M.S. 577 and convenient transit options via the L and M subway lines, which facilitate commutes into Manhattan and Downtown Brooklyn.
The Section 8 verdict for 11385 leans heavily toward appreciation and stability rather than immediate cash flow. With voucher rates lagging behind market rents by $151, investors should not rely on HUD payments to maximize yield in the short term. However, the high renter share and $870,542 median home value point toward strong long-term asset appreciation. The best strategy here is buying for equity growth in a tight market, using the Section 8 program as a safety net for vacancy rather than a primary income driver.
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.