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: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,540 | $157,595 | 0.98% | C |
| 3BR | $1,840 | $184,824 | 1% | C |
| 4BR | $2,030 | $206,818 | 0.98% | C |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors targeting ZIP code 12202 in Albany, NY, reveals that HUD's Fair Market Rent (FMR) for FY 2024 stands at $1,190. In contrast, the market rent as indicated by ZORI (Zillow Observed Rent Index) is $1,283. This means that voucher tenants will only cashflow marginally, with a slight shortfall of $93 per unit. The median home value in the area is $175,023, which yields a rent-to-price ratio of approximately 0.73%, indicating a relatively stable housing market.
The dynamics between renting and buying in ZIP 12202 do not significantly impact the investment strategy, as the median days on market (DOM) and the percentage of price cuts are not available. However, the data suggests that the area maintains a consistent rental market without substantial fluctuations in property values.
The strongest investor angle in this market is stability. With a modest gap between the HUD FMR and market rent, investors can expect steady cashflows and minimal risk of vacancy. The low rent-to-price ratio further supports the idea that property values are likely to remain stable, making it an attractive option for those seeking reliable long-term investments.
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.