Location: Watertown-Fort Drum, NY | Metro: Watertown-Fort Drum, 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 | $1,070 |
| 1 Bedroom | $1,170 |
| 2 Bedrooms | $1,530 |
| 3 Bedrooms | $2,100 |
| 4 Bedrooms | $2,500 |
| 5 Bedrooms | $2,900 |
| 6 Bedrooms | $3,248 |
| 7 Bedrooms | $3,508 |
| 8 Bedrooms | $3,683 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,100 | $261,049 | 0.8% | C |
| 4BR | $2,500 | $303,759 | 0.82% | C |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors targeting ZIP code 13637 within the Watertown-Fort Drum, NY MSA metro reveals several key points. The Fair Market Rent (FMR) set by the U.S. Department of Housing and Urban Development (HUD) for FY 2024 is $1,510. In comparison, the actual market rent based on Census ACS data is $1,337. This means that voucher tenants will cashflow positively at the FMR rate, providing landlords with a consistent and reliable source of income above the prevailing market rates.
To further understand the investment potential, we can look at the median home value in ZIP 13637, which stands at $251,307. Using this figure, we calculate the rent-to-price ratio by dividing the market rent ($1,337) by the median home value ($251,307), resulting in an approximate ratio of 0.53%. This low ratio suggests that rental properties in this area are undervalued relative to their market rents, making it a favorable environment for investors looking to purchase rental properties.
Note that the median Days on Market (DOM) and the percentage of homes that experienced price cuts are not available, but these metrics would be crucial in assessing the current buy-versus-rent dynamics. However, given the positive cashflow potential from voucher tenants and the relatively low rent-to-price ratio, it's clear that the primary advantage for investors in ZIP 13637 is the strong cashflow opportunity.
The strongest angle for Section 8 investors in this ZIP code is the potential for significant cashflow due to the difference between the HUD FMR and the actual market rent, making it an attractive option for those seeking stable, above-market returns.
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.