Location: Kiryas Joel-Poughkeepsie-Newburgh, NY | Metro: Kingston, 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 | $1,400 |
| 2 Bedrooms | $1,790 |
| 3 Bedrooms | $2,260 |
| 4 Bedrooms | $2,430 |
| 5 Bedrooms | $2,819 |
| 6 Bedrooms | $3,157 |
| 7 Bedrooms | $3,410 |
| 8 Bedrooms | $3,581 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,790 | $356,921 | 0.5% | F |
| 3BR | $2,260 | $471,109 | 0.48% | F |
| 4BR | $2,430 | $591,185 | 0.41% | F |
| 5BR | $2,819 | $555,878 | 0.51% | F |
U.S. Census Bureau data (2024)
Wallkill, NY, located in Ulster County, has a population of 18,646 residents, with 22.1% renting their homes. The median income in ZIP code 12589 is $120,815, while the median home value stands at $471,450. These figures indicate a relatively affluent community where homeownership is the predominant housing arrangement.
The rental market dynamics in Wallkill present an interesting opportunity for landlords and small-portfolio investors. According to the Federal Housing Administration (FHA), the Fair Market Rent (FMR) for ZIP 12589 for fiscal year 2024 is set at $1,560. This figure is notably higher than the Census American Community Survey (ACS) reported market rent of $1,246. This discrepancy suggests that landlords participating in the Section 8 program could see a significant increase in rental income, as the government subsidy would cover the difference between the market rate and the FMR.
The higher FMR compared to the market rate implies that there is room for growth in rental prices without alienating tenants. For landlords, this means the potential for increased cash flow and stability in tenant retention through the Section 8 program. Investors looking to capitalize on the rental market should consider the benefits of the Section 8 program in Wallkill, as it can provide a steady stream of income and reduce vacancy rates.
Based on the data signature, Wallkill appears to be a stable area with a strong economic foundation. The median income and home values suggest a community that is financially secure and likely to remain so. The slight increase in FMR over the market rate indicates a transitional phase in the rental market, where the government is stepping in to support affordable housing. However, the overall economic indicators point towards a stable environment for real estate 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.