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: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,420 | $153,965 | 0.92% | C |
| 3BR | $1,710 | $117,889 | 1.45% | A |
| 4BR | $1,880 | $112,654 | 1.67% | A+ |
| 5BR | $2,181 | $125,951 | 1.73% | A+ |
U.S. Census Bureau data (2024)
The real estate market in ZIP 14608, located in Rochester, NY, presents a unique opportunity for both landlords and small-portfolio investors. With a median home value of $120,600, the area offers an entry point into homeownership that is significantly lower than many other markets across the country. The absence of percentage reductions in listings and the unspecified median days on market (DOM) indicate stability in the housing market, suggesting that sellers are not under pressure to reduce their prices, which can be interpreted as a sign of resilience.
On the rental side, the forward-looking market analysis reveals a favorable scenario for landlords. The Fair Market Rent (FMR) for ZIP 14608 for fiscal year 2024 is set at $1,190, whereas the Zillow Observed Rent Index (ZORI) stands at $1,377. This discrepancy between the government's estimate and the actual market rate signals strong demand for rental properties in the area. Landlords can expect to maintain or even slightly increase their rents without facing significant resistance from tenants, given the gap between FMR and ZORI.
For long-term investors looking to hold onto their properties, the data suggests a cautious approach. While the current market conditions support stable rental income, the lack of specific appreciation figures indicates that capital gains might not be substantial. Investors should focus on the steady cash flow generated from rentals rather than expecting rapid increases in property values. The low median home value combined with the favorable rental market dynamics makes this area particularly attractive for those seeking consistent returns through rental income.
The setup implied by the data points towards a balanced market where pricing power remains with the seller due to the lack of price reductions, but appreciation potential is limited. Landlords and investors can leverage the strong rental market to ensure a solid financial foundation, while keeping expectations realistic regarding future property value increases. This environment supports a buy-and-hold strategy, especially for those who can capitalize on the difference between the FMR and ZORI to secure above-average rental yields.
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.