Location: Kiryas Joel-Poughkeepsie-Newburgh, NY | Metro: Kiryas Joel-Poughkeepsie-Newburgh, 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 | $1,940 |
| 1 Bedroom | $2,170 |
| 2 Bedrooms | $2,790 |
| 3 Bedrooms | $3,520 |
| 4 Bedrooms | $3,700 |
| 5 Bedrooms | $4,292 |
| 6 Bedrooms | $4,807 |
| 7 Bedrooms | $5,192 |
| 8 Bedrooms | $5,452 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,790 | $390,971 | 0.71% | D |
| 3BR | $3,520 | $540,542 | 0.65% | D |
| 4BR | $3,700 | $709,951 | 0.52% | F |
| 5BR | $4,292 | $802,308 | 0.53% | F |
U.S. Census Bureau data (2024)
The analysis of ZIP code 12540, Lagrangeville, NY, within the Kiryas Joel-Poughkeepsie-Newburgh, NY MSA metro, reveals several key points regarding its viability for landlords and small-portfolio investors.
First, let's address whether the rent math works. The Fair Market Rent (FMR) for the zip code in fiscal year 2024 is set at $2370. This figure closely aligns with the market rent reported by the Census ACS, which stands at $2,348. This means that landlords can expect to charge rents that are in line with government guidelines, ensuring compliance while maintaining competitive pricing.
Second, the acquisition cost must be considered. With a median home value of $560,050, the initial investment required to enter this market is significant. However, the lack of data on days on market (DOM) and the low percentage of homes needing price cuts (0.1%) suggest that once acquired, properties are likely to hold their value well and sell quickly if needed. The stability implied by these figures supports a strong investment environment.
Third, tenant demand is a critical factor. The population of 12540 is 8,856, with a renter share of 12.7%. This indicates a moderate demand for rental properties, suggesting that landlords can find tenants but may face competition from other rental units in the area. Given the population size, it's important to note that the number of potential renters is relatively limited, which could affect vacancy rates and rental income stability.
Verdict: The rent math in ZIP 12540 works well, with FMR closely matching market rent. Acquisition costs are high, but the stability of property values and quick sales indicate that investments are secure. Tenant demand is present but moderate, with a limited pool of potential renters. Landlords and investors should proceed with caution, focusing on quality properties and competitive management practices to ensure steady occupancy and returns.
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.