Location: Albany-Schenectady-Troy, NY | Metro: Albany-Schenectady-Troy, NY MSA
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 | $1,100 |
| 1 Bedroom | $1,280 |
| 2 Bedrooms | $1,540 |
| 3 Bedrooms | $1,840 |
| 4 Bedrooms | $2,030 |
| 5 Bedrooms | $2,355 |
| 6 Bedrooms | $2,638 |
| 7 Bedrooms | $2,849 |
| 8 Bedrooms | $2,991 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,840 | $226,189 | 0.81% | C |
U.S. Census Bureau data (2024)
The ZIP code 12035 presents several challenges for landlords considering Section 8 investments. Tenant turnover is a significant issue, with the market rent at $1,075 being notably lower than the Fair Market Rent (FMR) of $1,230 for FY 2024. This discrepancy can lead to higher vacancy rates and financial instability for properties. The vacancy exposure is further exacerbated by the lack of data on days on market (DOM), which makes it difficult to predict how long units might remain unoccupied. Given the typical home value of $218,100 and the median income of $98,375, there is a risk of deferred maintenance as tenants may struggle to cover additional costs beyond their rental obligations.
Despite these risks, the high renter share of 19.9% in ZIP 12035 indicates a robust demand for rental housing, including Section 8 vouchers. A dense population of renters typically translates into a steady stream of potential tenants who qualify for housing assistance programs, thereby mitigating some of the financial uncertainties associated with vacancy and turnover.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.