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 | $1,010 |
| 1 Bedroom | $1,140 |
| 2 Bedrooms | $1,420 |
| 3 Bedrooms | $1,710 |
| 4 Bedrooms | $1,880 |
| 5 Bedrooms | $2,181 |
| 6 Bedrooms | $2,443 |
| 7 Bedrooms | $2,638 |
| 8 Bedrooms | $2,770 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,420 | $266,758 | 0.53% | F |
| 3BR | $1,710 | $327,803 | 0.52% | F |
| 4BR | $1,880 | $382,879 | 0.49% | F |
| 5BR | $2,181 | $431,561 | 0.51% | F |
U.S. Census Bureau data (2024)
The analysis for the Section 8 program in ZIP code 14469, which includes Bloomfield, NY, reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the FMR is set at $1100, while the Census ACS reports the market rent at $882. This means that the FMR exceeds the market rent by $218, or approximately 24.7%. In this scenario, where the FMR is higher than the market rent, landlords can leverage the Section 8 program to achieve better yields on their rental properties.
The higher FMR allows landlords to charge more for their units compared to the open-market rate, thus increasing the profitability of their investments. For instance, a landlord could potentially receive $1100 per month from the government for a unit that would otherwise rent for $882. This additional income makes it financially advantageous for landlords to participate in the Section 8 program, even if it requires some administrative effort to manage voucher tenants.
In Bloomfield, NY, where only 15.2% of residents are renters and the median home value stands at $312,700, the rental market is relatively small. However, the median income of $74,521 suggests that many residents might find it challenging to afford market-rate rents without assistance. The Section 8 program, therefore, plays a crucial role in providing affordable housing options for those who qualify, ensuring that landlords can still maintain positive cash flows on their rental properties.
Moreover, the disparity between FMR and market rent highlights an opportunity for landlords to attract tenants who benefit from the housing vouchers, thereby securing long-term, stable tenancies. While the upfront costs of participating in the Section 8 program include background checks, application processing, and potential maintenance standards, the overall financial benefits outweigh these expenses, especially when considering the consistent income stream provided by the government subsidy.
To summarize, the gap between the FMR and market rent in ZIP 14469 presents a clear yield play for landlords and small-portfolio investors. By accepting Section 8 tenants, they can capitalize on higher rental rates compared to the local market, making their investment more profitable. This is particularly relevant in Bloomfield, NY, where the rental market is limited but the need for affordable housing is evident among the population with a median income of $74,521.
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.