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 | $1,230 |
| 1 Bedroom | $1,420 |
| 2 Bedrooms | $1,700 |
| 3 Bedrooms | $2,030 |
| 4 Bedrooms | $2,230 |
| 5 Bedrooms | $2,587 |
| 6 Bedrooms | $2,897 |
| 7 Bedrooms | $3,129 |
| 8 Bedrooms | $3,285 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,700 | $176,692 | 0.96% | C |
| 3BR | $2,030 | $246,579 | 0.82% | C |
| 4BR | $2,230 | $233,329 | 0.96% | C |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 12206 in Albany, NY, for fiscal year 2024 is set at $1,350. This figure represents the maximum amount that a landlord can receive through the Section 8 program for a given unit. It's important to note that this is not the rent you charge your tenant; rather, it's the benchmark used by the Housing Choice Voucher Program to determine the subsidy amount.
In comparison, the local market rent for a similar property in ZIP 12206 is estimated at $1,719 based on the Zillow Observed Rental Index (ZORI). This suggests that while participating in Section 8 might mean receiving less than market rate, it still provides a steady income source backed by the government.
The demand for rentals in this area is strong, with 73.4% of residents being renters. This high percentage indicates that there is a substantial pool of potential tenants who could benefit from the Section 8 program. Given the high renter share, it's likely that many people will be interested in your property if you decide to enroll in Section 8.
When considering the acquisition cost of a property in ZIP 12206, the average price is around $218,032. This figure helps you understand the initial investment required to enter the rental market in this area. While the FMR may be lower than market rent, the guaranteed payment from the government can make up for the difference over time.
Before making a decision to participate in Section 8, verify that your property meets all the necessary criteria for eligibility. This includes ensuring that the rent is within the FMR limit and that the unit passes a housing quality standards inspection. Once these checks are completed, you can confidently move forward with your first Section 8 rental in ZIP 12206.
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.