Section 8 Fair Market Rent (FMR) for ZIP 14075 - 2027

Investment Score for ZIP 14075

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	$1,380
2 Bedrooms	$1,630
3 Bedrooms	$1,980
4 Bedrooms	$2,270
5 Bedrooms	$2,633
6 Bedrooms	$2,949
7 Bedrooms	$3,185
8 Bedrooms	$3,344

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	$1,630	$284,574	0.57%	F
3BR	$1,980	$326,789	0.61%	D
4BR	$2,270	$419,833	0.54%	F
5BR	$2,633	$453,901	0.58%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 14075 (Hamburg, NY) #### Section 8 Voucher Dynamics In ZIP code 14075, the Fair Market Rent (FMR) for a two-bedroom apartment is set at $1520 per month for the year 2026. This figure represents 21.9% of the median household income in Hamburg, which stands at $83,383. However, it is important to note that the actual rent charged by landlords can be significantly higher. The Zillow median price for a two-bedroom home in this area is $270,038, which translates into a monthly rental cost that is approximately 14.8 times the FMR. This suggests that landlords may charge well above the FMR, potentially making it challenging for voucher holders to find affordable housing. The FMR serves as a guideline but does not necessarily reflect the market rates, leading to a potential gap between what voucher holders can afford and what is available. #### Affordability & Renter Profile The population of Hamburg is 44,520, with 26.4% of residents being renters. Given the occupancy rate of 97.3%, it indicates that the rental market is quite tight, with very little vacancy. The median household income of $83,383 suggests that the typical resident has a moderate income level. For those relying on Section 8 vouchers, the $1520 FMR for a two-bedroom unit is a significant portion of their budget, especially considering that the actual rental costs could be much higher. This tight market means that there is likely strong competition among renters, particularly those who are voucher holders, as they may struggle to find units that accept their vouchers at or below the FMR. #### Investor Angle From an investor’s perspective, the ZIP code 14075 presents both opportunities and challenges. The FMR for a two-bedroom unit is $1520, but the actual rental market charges much higher rates, as evidenced by the Zillow median price translating to a monthly rental cost of approximately $1520 x 14.8 = $22,496. This high price-to-FMR ratio suggests that the market is highly inflated relative to the FMR. However, given the tight occupancy rate, there is a strong demand for rental properties, which could support higher rental prices. To determine if the ZIP code is cash-flow positive at FMR, we need to consider the average rental income versus the average mortgage payment or other carrying costs. Assuming a conservative estimate of a 1% annual rental yield based on the Zillow median price, the monthly rental income would be $270,038 * 1% / 12 months ≈ $2250. If the mortgage payment or carrying costs are lower than this amount, then investing at FMR could still be profitable. However, if the carrying costs exceed $1520, then operating at FMR would result in negative cash flow. The investment grade for this ZIP code can be assessed by looking at the demand and supply dynamics. With a 97.3% occupancy rate, the demand for rental properties is strong, which could make it a good investment opportunity. However, the high price-to-FMR ratio might indicate that the market is overvalued, and investors should carefully evaluate the risk-reward balance. #### Specific Actionable Insights 1. **Focus on Units Below FMR**: Investors should consider acquiring properties where the rental income is below the FMR. For instance, a two-bedroom unit renting for $1520 or less would be attractive to voucher holders and could ensure steady occupancy. This strategy leverages the strong demand for affordable housing while mitigating the risk of non-payment. 2. **Consider Renovation Projects**: Given the high price-to-FMR ratio, some older properties may be undervalued. Investors could look for properties that require renovations and can be brought up to a standard that justifies a slightly higher rent, but still within the range acceptable to voucher holders. This approach could provide a better return on investment while maintaining affordability. 3. **Negotiate with Landlords**: Since the actual rental costs are significantly higher than the FMR, investors should negotiate with existing landlords to understand their willingness to accept Section 8 vouchers. Offering incentives such as property management services or lease guarantees could help landlords see the benefits of accepting vouchers, thereby increasing the pool of available units. #### Bottom Line For Section 8-focused investors, the recommendation for ZIP code 14075 is to **Hold**. While the rental market is tight and there is strong demand, the high price-to-FMR ratio poses significant challenges. Investors should focus on finding units that are priced at or below the FMR to ensure positive cash flow and steady occupancy. Additionally, they should be prepared to engage in negotiations with landlords and possibly undertake renovation projects to improve the value proposition for voucher holders. Overall, the market is favorable for those who can navigate the complexities of the Section 8 program and the local rental dynamics.

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.