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 | $2,020 |
| 1 Bedroom | $2,430 |
| 2 Bedrooms | $2,800 |
| 3 Bedrooms | $3,630 |
| 4 Bedrooms | $3,890 |
| 5 Bedrooms | $4,512 |
| 6 Bedrooms | $5,053 |
| 7 Bedrooms | $5,457 |
| 8 Bedrooms | $5,730 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $3,630 | $811,818 | 0.45% | F |
| 4BR | $3,890 | $862,959 | 0.45% | F |
| 5BR | $4,512 | $1,003,647 | 0.45% | F |
U.S. Census Bureau data (2024)
Skeptical investors considering ZIP 11762 might have several valid concerns that need addressing before making an investment decision.
Objection 1: Will the Fair Market Rent (FMR) of $3,390 for ZIP 11762 in fiscal year 2024 be sufficient to cover the mortgage on a $792,755 home?
The FMR of $3,390 can indeed help cover the mortgage on a $792,755 home, but it depends on the terms of the mortgage. Assuming a 30-year fixed-rate mortgage at a typical interest rate of around 4%, the monthly payment would be approximately $3,780. This means that the FMR alone does not fully cover the mortgage payment. However, it's important to note that the FMR is a guideline for maximum rental assistance and does not represent the ceiling for rental income. Landlords can charge more than the FMR if the market supports higher rents. Additionally, property appreciation and other factors such as tax benefits should be considered in the overall financial planning.
Objection 2: Is there enough renter demand at 1.6%?
The 1.6% figure likely represents the percentage of renters who receive housing assistance in ZIP 11762. While this number may seem low, it is crucial to understand that it only reflects those receiving assistance and not the total rental demand. The actual rental vacancy rate, which is a better indicator of demand, needs to be analyzed. If the vacancy rate is below 5%, it generally indicates strong demand. Unfortunately, the data provided does not specify the overall rental vacancy rate, so we cannot definitively conclude the level of demand based solely on the 1.6% figure. To make a well-informed decision, further research into the local rental market trends and vacancy rates is recommended.
Objection 3: Will vouchers keep pace with market rents of $3,469?
The voucher amount in ZIP 11762 is set at $3,390 for fiscal year 2024. With market rents at $3,469, there is a slight gap between the voucher amount and the actual market rent. This could pose a challenge for landlords relying solely on voucher payments. However, it's worth noting that voucher holders often supplement the difference with their own funds. Moreover, the Housing Choice Voucher Program aims to adjust its payment standards annually based on changes in the local rental market. Investors should monitor these adjustments closely to ensure they remain competitive and financially viable in the long term.
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.