Location: New York, NY | Metro: Nassau-Suffolk, 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 | $2,630 |
| 1 Bedroom | $2,770 |
| 2 Bedrooms | $3,010 |
| 3 Bedrooms | $3,810 |
| 4 Bedrooms | $4,170 |
| 5 Bedrooms | $4,837 |
| 6 Bedrooms | $5,417 |
| 7 Bedrooms | $5,850 |
| 8 Bedrooms | $6,143 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $3,010 | $461,959 | 0.65% | D |
| 3BR | $3,810 | $613,455 | 0.62% | D |
| 4BR | $4,170 | $732,627 | 0.57% | F |
U.S. Census Bureau data (2024)
ZIP code 11691 covers Far Rockaway, a seaside peninsula neighborhood in Queens characterized by a mix of beachside bungalows, mid-rise brick apartment buildings, and dense urban blocks. This area has historically faced significant economic challenges but is currently undergoing revitalization efforts, particularly along the commercial corridors. A major institutional anchor here is St. John's Episcopal Hospital, which serves as a key employer and stabilizing force for the local healthcare economy, providing consistent jobs that support the surrounding rental market.
From a purely numerical standpoint, the Section 8 metrics require careful scrutiny. The HUD SAFMR for a 2-bedroom unit in this ZIP is $2,690, but the Full FMR for FY2026 rises to $2,920. Comparing this to the current Zillow market rent of $3,154 reveals a gap of $234 against the higher FMR and $464 against the SAFMR. With a median home value of $671,844 and a specific median 2BR sale price of $459,987, the price-to-rent ratio is compressed further by a median of 84 days on market. Investors must acknowledge that the 2024 payment standard sits below market rates, meaning voucher tenants may not cover the full top-market ask.
The demand side remains robust due to structural demographics. With a renter share of 72.3% and a median household income of $56,135, a large portion of the population relies on subsidized housing to afford the area. The neighborhood is served by the A subway line, offering direct transit to Manhattan, which is essential for commuters. Local public schools generally hold average ratings, but the proximity to the beach and the ongoing transit connectivity sustain a steady pool of applicants seeking stable housing options despite the income constraints.
For Section 8 investors, the strongest angle here is long-term stability rather than immediate cash-flow arbitrage. The high renter share ensures consistent tenant demand, while the lower median sales price of $459,987 for 2-bedroom units offers an entry point below the borough's typical valuation. Although the voucher rates lag slightly behind the top-end market rents by a few hundred dollars, the guarantee of government payments in a neighborhood with high economic reliance on subsidies makes this a defensive play for portfolio resilience.
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.