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 | $1,420 |
| 1 Bedroom | $1,640 |
| 2 Bedrooms | $1,970 |
| 3 Bedrooms | $2,350 |
| 4 Bedrooms | $2,590 |
| 5 Bedrooms | $3,004 |
| 6 Bedrooms | $3,364 |
| 7 Bedrooms | $3,633 |
| 8 Bedrooms | $3,815 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,970 | $304,736 | 0.65% | D |
| 3BR | $2,350 | $380,800 | 0.62% | D |
| 4BR | $2,590 | $487,665 | 0.53% | F |
| 5BR | $3,004 | $540,892 | 0.56% | F |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 12110, Latham, NY, reveals a challenging but manageable environment. The HUD Fair Market Rent (FMR) for FY 2024 is set at $1630, significantly below the local market rent of $2,200 as measured by ZORI (Zillow Observed Rent Index). This gap means that landlords accepting Section 8 vouchers will generally experience negative cash flow on average units, but can achieve marginal positive cash flow on premium units.
To understand the financial implications, consider the rent-to-price ratio derived from the median home value of $399,500. At a monthly rent of $1630, the annualized rent is $19,560, which translates to a rent-to-price ratio of approximately 0.49%. This low ratio suggests that the area's housing prices are relatively high compared to rental yields, making it less favorable for buy-and-hold investment strategies focused solely on rental income.
The dynamics of the local real estate market further complicate the picture. With a median Days on Market (DOM) of N/A and a price-cut share of 0.2%, the data indicates a strong seller's market where homes sell quickly without significant price reductions. However, these figures do not directly impact the decision-making process for Section 8 investors, who are more concerned with rental income and cash flow.
In conclusion, while voucher tenants will not cashflow at the HUD FMR, landlords can still find opportunities for marginal positive cash flow by focusing on premium units. The strongest angle for investors in this market remains stability, given the consistent demand for affordable housing and the robust local economy supporting steady tenant occupancy.
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.