Location: Nassau-Suffolk, 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 | $1,810 |
| 1 Bedroom | $2,150 |
| 2 Bedrooms | $2,480 |
| 3 Bedrooms | $3,210 |
| 4 Bedrooms | $3,400 |
| 5 Bedrooms | $3,944 |
| 6 Bedrooms | $4,417 |
| 7 Bedrooms | $4,770 |
| 8 Bedrooms | $5,009 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,480 | $585,213 | 0.42% | F |
| 3BR | $3,210 | $715,563 | 0.45% | F |
| 4BR | $3,400 | $907,520 | 0.37% | F |
| 5BR | $3,944 | $1,349,480 | 0.29% | F |
U.S. Census Bureau data (2024)
South Huntington (ZIP 11746) is an established suburban community in Suffolk County characterized by sprawling single-family homes and a strong focus on local education. The area is largely defined by the Walt Whitman Union Free School District, a major institutional draw that anchors the neighborhood’s family reputation. Residents enjoy a blend of quiet residential streets and convenient access to the wide retail corridors along Jericho Turnpike, offering a balanced, practical living environment rather than a high-density urban feel.
From a financial standpoint, South Huntington presents a challenging arithmetic for Section 8 investors. The HUD Fair Market Rent (FMR) for a 2-bedroom unit is $2,580, yet current market rents (Zillow ZORI) sit significantly higher at $3,223, creating a monthly gap of $643. Property values are steep, with a median home value of $771,402 and a specific median 2BR sale price of $568,648. With homes moving relatively quickly at a median of 44 days on market, demand is high, but the spread between FMR and market rent suggests voucher tenants cannot compete with market-rate payers without landlord concessions.
The local tenant pool is shaped by high affluence and low renter density. With a median household income of $164,589, the general population is well-equipped to pay market rates. Renter-occupied households comprise only 14.2% of the housing stock, indicating a dominant ownership culture. For voucher holders, demand is likely driven by the quality of the Walt Whitman School District and the proximity to Long Island Rail Road stations, which provide transit access to Manhattan. However, the low overall rental supply limits immediate inventory opportunities.
The Section 8 verdict for South Huntington leans toward appreciation and stability rather than immediate cash flow. Because the $2,580 voucher payment lags behind the $3,223 market rate, investors should not rely on government payments to maximize yield here. Instead, the strongest angle is banking on long-term asset growth in a high-value, low-turnover suburb. This area is best suited for investors seeking wealth preservation through property value appreciation, accepting that rental income may initially operate below market peaks.
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.