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 | $2,270 |
| 1 Bedroom | $2,640 |
| 2 Bedrooms | $3,110 |
| 3 Bedrooms | $4,000 |
| 4 Bedrooms | $4,250 |
| 5 Bedrooms | $4,930 |
| 6 Bedrooms | $5,522 |
| 7 Bedrooms | $5,964 |
| 8 Bedrooms | $6,262 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $3,110 | $662,454 | 0.47% | F |
| 3BR | $4,000 | $771,174 | 0.52% | F |
| 4BR | $4,250 | $867,890 | 0.49% | F |
| 5BR | $4,930 | $959,779 | 0.51% | F |
U.S. Census Bureau data (2024)
The Section 8 market analysis for ZIP code 11788 (Hauppauge, NY, part of the Nassau-Suffolk HUD Metro FMR Area) reveals that voucher tenants cashflow marginally at the Fair Market Rent (FMR) rate set by HUD for Fiscal Year 2024. The HUD FMR for this area is $3,000, whereas the market rent, measured by Zillow's ZORI index, stands at $3,154. This indicates that landlords can expect a slight challenge in covering all expenses with just the FMR amount, but it remains feasible, especially with efficient property management.
To further understand the rental market dynamics, consider the median home value in Hauppauge, which is $778,266. By comparing this figure to the average market rent, we can derive a rent-to-price ratio. Using these numbers, the annual rent of $37,848 ($3,154 monthly) equates to about 4.86% of the median home value. This suggests that the rental market is competitive, but still offers reasonable returns relative to property values.
The data shows that the day median Days on Market (DOM) is N/A, and the share of homes that require a price cut is 0.1%. These figures indicate a stable housing market where buying is less dynamic compared to renting. However, the lack of specific DOM data makes it challenging to fully assess the buy-versus-rent scenario. Nonetheless, the low price-cut share supports the notion of a strong and stable real estate market in Hauppauge.
The strongest angle for Section 8 investors in this area is stability. With a marginal cashflow situation and a robust housing market, investors can rely on consistent tenant demand and steady property values, ensuring long-term financial security and predictability.
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.