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 | $1,530 |
| 1 Bedroom | $1,760 |
| 2 Bedrooms | $2,110 |
| 3 Bedrooms | $2,510 |
| 4 Bedrooms | $2,770 |
| 5 Bedrooms | $3,213 |
| 6 Bedrooms | $3,599 |
| 7 Bedrooms | $3,887 |
| 8 Bedrooms | $4,081 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,510 | $420,956 | 0.6% | F |
| 4BR | $2,770 | $585,528 | 0.47% | F |
| 5BR | $3,213 | $628,263 | 0.51% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 12084 are straightforward and can be clearly understood by breaking down the components involved. For a two-bedroom apartment in this ZIP code, the SAFMR (Small Area Fair Market Rent) for FY 2024 is set at $1,680. This figure represents the maximum amount that a Section 8 Housing Choice Voucher will cover for rent in this specific area.
Local market rent, as per the latest Census ACS data, averages at $1,598 for a similar unit. This suggests that the SAFMR is slightly above the average market rate, which could be beneficial for landlords looking to maintain or slightly exceed the prevailing rents in the area.
A voucher payment typically consists of two parts: the tenant's contribution and the utility allowance. The tenant is required to pay 30% of their adjusted income towards rent. If we assume an average adjusted income of $1,800 (for illustrative purposes), the tenant would contribute approximately $540 towards rent. The remaining amount is covered by the voucher up to the SAFMR limit. Therefore, the voucher would reimburse the landlord the difference between the SAFMR and the tenant's contribution, plus any applicable utility allowance.
To calculate the exact reimbursement, let's use these figures. If the rent is set at the SAFMR of $1,680 and the tenant contributes $540, the voucher would cover the rest, which is $1,140. Utility allowances vary but are generally around $100-$200 per month, depending on the number of bedrooms and the region. For simplicity, let’s say it is $150. Thus, the total reimbursement from the voucher program would be $1,290 ($1,140 + $150).
This means that if you charge the SAFMR of $1,680, your net rental income from a Section 8 tenant would be $1,290, leaving a reimbursement gap of $390. However, if you set the rent closer to the local market rate of $1,598, the reimbursement gap would be smaller, at $248. In both cases, the gap represents the difference between the actual rent charged and the total reimbursement received from the voucher program and the tenant.
In summary, landlords in ZIP 12084 should expect a reimbursement gap when setting rents at the SAFMR level. By aligning your rents with the local market rates, you can minimize this gap and ensure a more consistent cash flow. The SAFMR is designed to reflect the cost of housing in this specific ZIP code, providing a benchmark for fair and reasonable rental prices.
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.