Location: Chautauqua County, NY | Metro: Cattaraugus 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 | $860 |
| 1 Bedroom | $950 |
| 2 Bedrooms | $1,230 |
| 3 Bedrooms | $1,620 |
| 4 Bedrooms | $1,690 |
| 5 Bedrooms | $1,960 |
| 6 Bedrooms | $2,195 |
| 7 Bedrooms | $2,371 |
| 8 Bedrooms | $2,490 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,230 | $180,906 | 0.68% | D |
| 3BR | $1,620 | $219,132 | 0.74% | D |
| 4BR | $1,690 | $222,659 | 0.76% | D |
U.S. Census Bureau data (2024)
The Section 8 housing market in ZIP code 14062, located in Forestville, NY within Chautauqua County, presents a unique opportunity for real estate investors. The Fair Market Rent (FMR) as determined by HUD for the Chautauqua County metro area for fiscal year 2026 is set at $1,150. This figure represents the maximum amount that landlords can charge for a unit to be considered affordable under the Section 8 program.
In comparison, the market rent for the same area, based on data from the Census Bureau's American Community Survey (ACS), stands at $1,026. This indicates that voucher tenants in ZIP 14062 can cashflow at the FMR rate, suggesting that landlords can expect a positive financial outcome when renting to these tenants. However, it also implies that landlords might need to offer slightly above-market rents to attract voucher holders, given the discrepancy between the FMR and the actual market rent.
To further analyze the investment potential, consider the median home value in ZIP 14062, which is $194,581. Using this figure, we can calculate the rent-to-price ratio. With an average market rent of $1,026, the annual rent would be approximately $12,312. Dividing this by the median home value yields a rent-to-price ratio of about 6.3%. This relatively low ratio suggests that rental income alone might not fully justify the purchase price of a property in this area, implying that appreciation or other factors might play a larger role in the overall investment strategy.
The dynamics of the local real estate market, such as the days on market (DOM) and the percentage of homes that experience price cuts, are not available. However, these metrics could provide insight into how quickly properties sell and the frequency of price adjustments, which are relevant considerations for both buying and renting strategies.
The strongest angle for investors in ZIP 14062 is likely stability. Given the consistent demand for affordable housing and the reliable cash flow from Section 8 vouchers, this area offers a secure and predictable investment environment. Additionally, the low rent-to-price ratio indicates a potential for long-term appreciation, making it a balanced choice for those seeking both steady returns and capital growth.
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.