Location: Cortland County, NY | Metro: Ithaca, 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 | $1,140 |
| 1 Bedroom | $1,320 |
| 2 Bedrooms | $1,580 |
| 3 Bedrooms | $1,900 |
| 4 Bedrooms | $2,370 |
| 5 Bedrooms | $2,749 |
| 6 Bedrooms | $3,079 |
| 7 Bedrooms | $3,325 |
| 8 Bedrooms | $3,491 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,580 | $243,955 | 0.65% | D |
| 3BR | $1,900 | $300,510 | 0.63% | D |
| 4BR | $2,370 | $348,555 | 0.68% | D |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 13053, located in Dryden, NY, within Tompkins County, are straightforward. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code is set at $1340 per month for fiscal year 2024. However, the local market rent for a similar unit is significantly lower, running at $895 according to the Census ACS.
A Section 8 voucher does not cover the entire rent amount; it only subsidizes the difference between the market rent and the tenant's portion, which is typically 30% of their income. For example, if a tenant's portion is $268.50 (30% of a hypothetical income of $895), the voucher would pay the remaining balance up to the SAFMR cap of $1340. This means the voucher would pay $1071.50 ($1340 - $268.50).
However, it’s important to note that the voucher payment also includes utility allowances. These allowances vary but can be significant. For instance, a utility allowance might be around $200 per month. Therefore, the total reimbursement a landlord receives from the voucher program could be $1271.50 ($1071.50 + $200).
This reimbursement model means that landlords in ZIP 13053 should expect to receive a fixed amount based on the market rent and the tenant's contribution. Given the local market rent of $895, the SAFMR of $1340, and assuming a utility allowance of $200, the typical reimbursement for a two-bedroom apartment would be higher than the local market rent. In this case, the surplus would be $376.50 ($1271.50 - $895).
To summarize, landlords in ZIP 13053 can expect a higher reimbursement rate compared to the local market rent due to the SAFMR being significantly above the actual rental rates. This results in a surplus for landlords who participate in the Section 8 program, making it financially viable despite the administrative overhead.
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.