Location: Buffalo-Cheektowaga, NY | Metro: Buffalo-Cheektowaga, 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 | $1,080 |
| 1 Bedroom | $1,100 |
| 2 Bedrooms | $1,300 |
| 3 Bedrooms | $1,580 |
| 4 Bedrooms | $1,810 |
| 5 Bedrooms | $2,100 |
| 6 Bedrooms | $2,352 |
| 7 Bedrooms | $2,540 |
| 8 Bedrooms | $2,667 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,580 | $143,951 | 1.1% | B |
| 4BR | $1,810 | $145,617 | 1.24% | A |
| 5BR | $2,100 | $173,877 | 1.21% | A |
U.S. Census Bureau data (2024)
The analysis of ZIP code 14208 within the Buffalo-Cheektowaga, NY MSA highlights several key points for landlords and small-portfolio investors.
The first question addresses whether the rent math works. The Fair Market Rent (FMR) for ZIP 14208 in fiscal year 2024 is set at $1130. In contrast, the market rent, measured by the Zillow Observed Rent Index (ZORI), stands at $1363. This indicates that landlords receiving the FMR would be undercharging by $233 per month compared to the market rate. Therefore, the rent math does not align favorably with market conditions.
Regarding the affordability of acquisition, the median home value in ZIP 14208 is $136,045. However, due to the lack of specific data on days on market (DOM) and the percentage of homes needing price cuts, it's challenging to provide a definitive assessment on the ease of acquiring properties. Landlords should conduct further research to understand the local real estate dynamics fully.
Tenant demand is strong in ZIP 14208. With a total population of 12,572, 46.2% of residents are renters. This substantial rental share suggests a robust market for landlords seeking to fill units. Despite the lower FMR, the high renter share provides assurance that finding tenants will not be an issue.
In conclusion, while the rent math does not favor landlords due to the discrepancy between the FMR and ZORI, the median home value offers a relatively affordable entry point into the market. The significant rental share ensures a steady demand for housing, making ZIP 14208 a viable investment opportunity, particularly for those willing to navigate the gap between subsidized rents and market rates. Landlords must weigh the benefits of tenant stability against the potential for lower-than-market rental income.
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.