Location: Cayuga County, NY | Metro: Cayuga County, NY
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 | $820 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $1,020 |
| 3 Bedrooms | $1,350 |
| 4 Bedrooms | $1,560 |
| 5 Bedrooms | $1,810 |
| 6 Bedrooms | $2,027 |
| 7 Bedrooms | $2,189 |
| 8 Bedrooms | $2,298 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,020 | $264,370 | 0.39% | F |
| 3BR | $1,350 | $268,128 | 0.5% | F |
| 4BR | $1,560 | $287,078 | 0.54% | F |
| 5BR | $1,810 | $296,997 | 0.61% | D |
U.S. Census Bureau data (2024)
Moravia, NY, located in ZIP code 13118, is a small suburban community with a total population of 5,591 residents. The area has a relatively low rental rate, with only 18.5% of the population being renters. This indicates a primarily owner-occupied environment, suggesting that the local culture may favor homeownership over renting. The median household income in Moravia stands at $67,651, which is indicative of a middle-class community. Additionally, the median home value is $251,143, reflecting the affordability of homeownership in the region.
When it comes to the economics of renting, the Fair Market Rent (FMR) for ZIP code 13118, as determined by HUD for metro areas for fiscal year 2026, is set at $1,070. However, the actual market rent, according to the Census Bureau's American Community Survey (ACS), is significantly lower at $847 per month. This discrepancy suggests an opportunity for landlords who can operate efficiently within the lower market rent while still benefiting from the higher FMR rates associated with Section 8 vouchers.
The characteristics of Moravia, NY, make it suitable for both hands-off voucher operators and hands-on value-add buyers. For hands-off operators, the lower percentage of renters and the existing gap between FMR and market rent provide a stable environment where they can manage properties with minimal intervention, relying on the government subsidy to cover most of the rental costs. On the other hand, for hands-on value-add buyers, there is potential to increase property values and rents through renovations and improvements, given the middle-income status of the community and the possibility of attracting tenants willing to pay closer to the FMR rate.
In summary, ZIP code 13118 offers a balanced mix of stability and opportunity for Section 8 investors. Whether choosing a passive approach or an active strategy, the financial landscape supports various investment styles. With a median income of $67,651 and a median home value of $251,143, the area is well-suited for those looking to capitalize on the affordable housing market while leveraging the support of federal housing programs.
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.