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 | $1,800 |
| 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: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,480 | $741,855 | 0.33% | F |
| 3BR | $3,210 | $1,041,725 | 0.31% | F |
| 4BR | $3,400 | $1,514,213 | 0.22% | F |
| 5BR | $3,944 | $2,192,497 | 0.18% | F |
U.S. Census Bureau data (2024)
The real estate market in East Quogue, NY (ZIP 11942), with a median home value of $1,149,536, indicates a high-end residential area where homeownership is reserved for those with substantial financial means. The fact that only 0.1% of listings have reduced their prices signals strong seller's market conditions, suggesting that homes are selling close to or at their asking prices. This scenario typically points towards a robust pricing power for the next 12-24 months, allowing landlords and small-portfolio investors to maintain or even slightly increase their property values without fear of significant price erosion.
The median days on market (DOM) being listed as N/A suggests either very quick sales or an anomaly in the data collection process, but in conjunction with the low reduction rate, it supports the notion that homes in East Quogue are highly sought after and sell swiftly. This rapid turnover can be advantageous for investors looking to maximize their returns through capital appreciation and rental income.
On the rental side, the Fair Market Rent (FMR) for ZIP 11942 in fiscal year 2024 is set at $2,670, while the current market rent as per the Census ACS is $2,327. This gap between the FMR and actual market rent suggests potential upward pressure on rents, especially if the local economy continues to support higher living costs. Investors can expect rental income to rise closer to the FMR level, improving cash flow and return on investment over time.
For long-term hold investors, the setup implies a steady appreciation thesis, given the historical trends of property values in affluent areas like East Quogue. However, it's important to note that appreciation is not guaranteed; it depends on broader economic factors, including interest rates, employment levels, and migration patterns. Despite these external influences, the combination of high median home values, low listing reductions, and a growing gap between FMR and market rent points to a favorable environment for maintaining and potentially increasing property values and rental yields.
Investors should focus on properties that align with the local demand for high-value homes and capitalize on the current rental dynamics. By doing so, they can position themselves to benefit from both capital appreciation and improved rental income over the coming years.
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.