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 | $1,950 |
| 1 Bedroom | $2,270 |
| 2 Bedrooms | $2,670 |
| 3 Bedrooms | $3,430 |
| 4 Bedrooms | $3,650 |
| 5 Bedrooms | $4,234 |
| 6 Bedrooms | $4,742 |
| 7 Bedrooms | $5,121 |
| 8 Bedrooms | $5,377 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,670 | $773,805 | 0.35% | F |
| 3BR | $3,430 | $1,088,467 | 0.32% | F |
| 4BR | $3,650 | $1,423,745 | 0.26% | F |
U.S. Census Bureau data (2024)
The real estate landscape in Southold, NY (ZIP 11971) presents a robust scenario for landlords and small-portfolio investors. With a median home value of $1,095,982, the area demonstrates strong pricing power, which is further supported by the fact that 0% of listings have been reduced. This indicates a seller's market where homes are likely to sell at or above asking price, suggesting that landlords can maintain high rental rates without fear of significant vacancy due to price competition.
The median Days on Market (DOM) being listed as 'N/A' points to an efficient market where homes are sold quickly, often before reaching their full listing period. This quick turnover signals a high demand for properties in the area, reinforcing the idea that landlords can command premium rents and still attract tenants.
On the rental side, the Fair Market Rent (FMR) for ZIP 11971 is set at $2,370 for fiscal year 2024, slightly higher than the current market rate of $2,335 according to the Census Bureau's American Community Survey. This suggests that rental rates are expected to rise, aligning with the increasing cost of homeownership. Landlords can anticipate gradual increases in rental income, which can offset any inflationary pressures on property management costs.
For long-term investors, the setup in Southold implies a realistic appreciation thesis. The strong median home value coupled with the absence of reduced listings indicates that property values are unlikely to decline. Instead, they are poised to grow, albeit potentially at a modest pace given the current equilibrium between supply and demand. Long-term investors should expect their properties to retain value and appreciate gradually over the next 12-24 months, making Southold a stable investment location.
In summary, the data points towards a market where landlords can leverage strong property values to ensure steady rental income growth, while also benefiting from a property appreciation environment. The current dynamics favor maintaining high rental standards and suggest a favorable outlook for those looking to hold onto their investments in Southold, NY.
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.