Section 8 Fair Market Rent (FMR) for ZIP 12721 - 2027

Location: Sullivan County, NY | Metro: Kiryas Joel-Poughkeepsie-Newburgh, NY MSA

Investment Score for ZIP 12721

D
Monthly Rent (2BR)
$1,790
Median Price (2BR)
$282,746
1% Rule
0.63%
Annual Yield
7.6%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$1,350
1 Bedroom$1,410
2 Bedrooms$1,790
3 Bedrooms$2,420
4 Bedrooms$2,460
5 Bedrooms$2,854
6 Bedrooms$3,196
7 Bedrooms$3,452
8 Bedrooms$3,625

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,790 $282,746 0.63% D
3BR $2,420 $437,600 0.55% F
4BR $2,460 $536,244 0.46% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
7,359
Median Household Income
$103,214
Housing Units
2,732
Renter Percentage
22.9%
Occupancy Rate
86.3%
Renter Occupied
540

The ZIP code 12721, located in Bloomingburg, NY, presents an interesting scenario when viewed from the perspective of renters. The median household income in this area stands at $103,214, which is a substantial figure. However, the market rent rate is set at $1,660 according to the Census American Community Survey (ACS), indicating a significant challenge for households to cover their housing costs.

Comparatively, the Fair Market Rent (FMR) as per the zip code's fiscal year 2024 budget is $1,690. This amount is nearly equivalent to the market rate, suggesting that even with Section 8 vouchers, the financial burden on households remains high. For a household earning the median income, paying $1,660 or $1,690 in rent would consume a considerable portion of their earnings, especially when factoring in other living expenses.

Bloomingburg has a rental population of 22.9%, with a total population of 7,359. Given these figures, the competition among landlords is moderate but not overly intense. The affordability gap means that landlords who accept Section 8 vouchers will have a steady stream of tenants willing to pay the government-set rate, though it might not be significantly lower than the market rate.

For landlords considering their strategy between accepting voucher payments or focusing on cash-paying tenants, the analysis points towards a balanced approach. While cash-paying tenants might offer slightly higher rents, the stability provided by Section 8 voucher holders could be advantageous. Accepting vouchers ensures consistent rental income without the risk of vacancy, although the difference between FMR and market rates is minimal in this case.

In summary, landlords in Bloomingburg should weigh the benefits of both approaches. Given the high median income and close alignment between market and voucher rates, landlords can expect fair compensation whether they choose to participate in the voucher program or seek out cash-paying tenants. The decision should be based on personal preference for tenant stability versus potential for slightly higher rental income.

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.