Location: Greene County, NY | Metro: Greene County, NY
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 | $910 |
| 1 Bedroom | $1,010 |
| 2 Bedrooms | $1,240 |
| 3 Bedrooms | $1,640 |
| 4 Bedrooms | $1,870 |
| 5 Bedrooms | $2,169 |
| 6 Bedrooms | $2,429 |
| 7 Bedrooms | $2,623 |
| 8 Bedrooms | $2,754 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,240 | $274,254 | 0.45% | F |
| 3BR | $1,640 | $364,573 | 0.45% | F |
U.S. Census Bureau data (2024)
The investment landscape for Section 8 properties in ZIP code 12431, located in Freehold, NY, presents several challenges that must be carefully considered. Firstly, tenant turnover is a significant risk factor. With a market rent of $882 versus the Federal Market Rent (FMR) of $1,130 for FY 2026 in the metro area, landlords may experience higher turnover rates among tenants who qualify for Section 8 vouchers. This discrepancy between market and FMR rents can lead to financial instability if not managed properly.
Vacancy exposure is another critical concern. The average days on market (DOM) is currently not available, which makes it difficult to predict how long it might take to find a new tenant after a vacancy occurs. Given the limited data, landlords should prepare for potential extended periods without rental income, especially if finding suitable voucher holders takes longer than expected.
Deferred maintenance is also a risk, particularly when considering the typical home value of $347,296 and the median income of $80,694. These figures suggest that homeowners in the area may struggle to keep up with necessary repairs and improvements, leading to higher maintenance costs for landlords. Ensuring that properties remain in good condition to attract and retain tenants is crucial, but it requires a significant upfront investment.
Despite these risks, there are mitigating factors that make the investment in Section 8 properties in ZIP 12431 somewhat attractive. The renter share of the population stands at 13.7%, which is relatively high. High renter density often translates into greater demand for housing assistance programs, including Section 8 vouchers. This increased demand can help stabilize occupancy rates and reduce the likelihood of prolonged vacancies.
In conclusion, the overall risk for a first-time Section 8 landlord in ZIP 12431, Freehold, NY, is moderate. While there are significant risks related to tenant turnover, vacancy exposure, and deferred maintenance, the high renter density provides some assurance against these challenges. Landlords must be prepared to manage these risks effectively to ensure a successful investment.
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.