Location: Rochester, NY | Metro: Rochester, 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 | $1,040 |
| 1 Bedroom | $1,170 |
| 2 Bedrooms | $1,460 |
| 3 Bedrooms | $1,760 |
| 4 Bedrooms | $1,930 |
| 5 Bedrooms | $2,239 |
| 6 Bedrooms | $2,508 |
| 7 Bedrooms | $2,709 |
| 8 Bedrooms | $2,844 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,460 | $293,066 | 0.5% | F |
| 3BR | $1,760 | $311,154 | 0.57% | F |
| 4BR | $1,930 | $348,919 | 0.55% | F |
| 5BR | $2,239 | $406,923 | 0.55% | F |
U.S. Census Bureau data (2024)
The analysis for the Section 8 program in ZIP code 14454, which encompasses Geneseo, NY, reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for the area, as set by the Department of Housing and Urban Development (HUD) for fiscal year 2024, is $1360. In contrast, the Census Bureau's American Community Survey (ACS) reports an average market rent of $993. This discrepancy amounts to a difference of $367 per month, representing a 37% premium over the market rate.
This gap makes the ZIP code a compelling yield play for landlords and small-portfolio investors. The higher FMR means that voucher holders can pay up to $1360, significantly above the typical market rent. For instance, a landlord renting a unit at the market rate of $993 would receive an additional $367 from the government for each voucher tenant, effectively increasing the rental income by 37% without raising the rent beyond what voucher holders can afford. This scenario is particularly advantageous given that 44.4% of residents in Geneseo are renters, indicating a substantial demand for affordable housing.
Moreover, the median home value in Geneseo is $310,178, while the median household income is $77,857. These figures suggest that many homeowners may find it challenging to cover their mortgage payments, especially if they are also landlords. By participating in the Section 8 program, landlords can ensure a steady, government-backed income stream that exceeds the local market rent, thus providing financial stability and potentially higher returns on investment.
The high FMR relative to market rent also addresses a critical issue in the local housing market. With a median income of $77,857, many families might struggle to find affordable housing options. The Section 8 program helps bridge this affordability gap, making it possible for lower-income families to live in decent housing conditions. For landlords, this means they can attract and retain tenants who might otherwise be priced out of the market, ensuring consistent occupancy and income.
In conclusion, the $367 monthly premium on FMR over market rent in ZIP 14454 represents a lucrative opportunity for landlords and investors in Geneseo, NY. This gap not only increases potential rental yields but also supports the community by providing affordable housing options to those who need them most.
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.