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 | $1,290 |
| 1 Bedroom | $1,490 |
| 2 Bedrooms | $1,790 |
| 3 Bedrooms | $2,130 |
| 4 Bedrooms | $2,350 |
| 5 Bedrooms | $2,726 |
| 6 Bedrooms | $3,053 |
| 7 Bedrooms | $3,297 |
| 8 Bedrooms | $3,462 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,790 | $239,390 | 0.75% | D |
| 3BR | $2,130 | $306,359 | 0.7% | D |
| 4BR | $2,350 | $316,765 | 0.74% | D |
U.S. Census Bureau data (2024)
ZIP 12138, located in Petersburg, NY, within the Albany-Schenectady-Troy, NY MSA metro area, serves as an ideal cash-flow anchor for a Section 8 portfolio strategy. The Federal Market Rent (FMR) for ZIP 12138 in fiscal year 2024 is set at $1,190, which is notably higher than the local market rent of $1,125. This creates a positive spread of $65 per unit, ensuring that landlords receive above-market rents for their properties.
The median home value in ZIP 12138 stands at $257,203, reflecting a stable housing market where property values have remained consistent. For landlords and small-portfolio investors, this means that the risk of sudden drops in property value is minimized, providing a reliable base for their investment portfolio. Additionally, the guaranteed rental income from the Section 8 program reduces the volatility typically associated with market-rate rentals, making ZIP 12138 a secure choice for generating steady cash flow.
While the ZIP code does not present significant opportunities for appreciation due to the lack of a high percentage of price-cut shares or low days on market (DOM), the strong cash-flow potential makes it a valuable addition to any Section 8-focused investment strategy. The 9.4% renter share indicates a moderate demand for rental properties, and with a median income of $75,833, there is sufficient economic stability to support the continued operation of the Section 8 program in the area.
In summary, ZIP 12138 should be considered primarily as a cash-flow anchor within a Section 8 portfolio strategy. Its ability to generate above-market rents through the FMR system, combined with a stable median home value, ensures a predictable and positive financial performance for investors.
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.