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 | $1,230 |
| 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: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,790 | $357,075 | 0.5% | F |
| 3BR | $2,260 | $431,715 | 0.52% | F |
U.S. Census Bureau data (2024)
A skeptical investor might question whether the Fair Market Rent (FMR) of $1,500 for ZIP 12592 in fiscal year 2024 will cover the mortgage on a $414,717 home. To address this concern, it's important to note that the average home value in Wassaic, NY has increased by 3.6% over the past year, standing at $414,717. However, recent trends indicate a significant rise in home values, with a median sale price of $3.9 million reported in May 2024, which is a 356.1% increase compared to the previous year. This suggests that the current FMR may not be sufficient to cover the mortgage on a newly purchased home at the current median price. Yet, for homes closer to the average value, the FMR could provide a more stable rental income.
The investor might also wonder if there is enough renter demand at 32.2%. According to the latest data, the average rent in ZIP 12592 is $1,450 per month. While this figure is slightly below the FMR, it still indicates a viable rental market. The neighborhood demand trends suggest a steady interest in renting properties, though specific data on the percentage of renters versus homeowners is not available in the provided information. It's crucial to consider the local job market and population growth to better gauge the long-term stability of renter demand.
Another objection could be whether vouchers will keep pace with the $858 market rents. The Housing Choice Voucher Program, also known as Section 8, assists low-income families, the elderly, and the disabled to afford decent housing in the private market. However, the specific voucher amount for ZIP 12592 is not detailed in the sources. The FMR Lookup Tool shows that the FMR for the area is $1,500, but without the exact voucher amount, it's challenging to determine if it will fully cover the market rents. Typically, voucher payments are adjusted annually based on the FMR, so it's reasonable to expect they will stay relatively close to the market rents, although not necessarily exceed them.
In summary, while the FMR of $1,500 may not fully cover the mortgage on a newly purchased home at the current median price, it could be sufficient for homes closer to the average value. The rental market appears to have a healthy demand, but more specific data on renters' demographics would offer greater clarity. Lastly, vouchers should generally keep pace with market rents, though their exact amount in ZIP 12592 remains unspecified.
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.