Section 8 Fair Market Rent (FMR) for ZIP 14778 - 2027

FY 2027 Fair Market Rent Rates

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Housing Authorities Serving ZIP 14778

• City of Salamanca (Salamanca, NY) - 177 Section 8 vouchers
• Olean Housing Authority (Olean, NY)

To determine if a landlord should buy in ZIP code 14778 for Section 8 purposes, follow this decision tree based on the available data.

Step 1: The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,040. Does this figure cover the debt service on a property in this ZIP code?

• No: If the FMR does not cover the debt service, purchasing a property in ZIP 14778 for Section 8 is not advisable. The landlord would be operating at a loss.
• Yes: Proceed to Step 2.

Step 2: What is the relationship between the market rent and the FMR of $1,040?

• Market rent is below FMR: This suggests that the rental market is favorable for Section 8 tenants, as the government subsidy will likely cover most or all of the rent. Landlords can consider purchasing properties here, but they must ensure the FMR covers their debt service.
• Market rent is equal to or above FMR: In this scenario, landlords might struggle to find tenants willing to pay the full market rent. It depends on whether the landlord can secure enough Section 8 vouchers to cover the difference between the market rent and the FMR. If not, purchasing here is not recommended.

Step 3: Evaluate the demand for rentals in ZIP 14778. Specifically, look at the percentage of renters and the days on market (DOM).

• N/A% of renters + N/A-day DOM: Without specific percentages and DOM figures, it's impossible to make a definitive statement. However, generally speaking, a higher percentage of renters and lower DOM suggest strong demand, making ZIP 14778 more attractive for Section 8 investments. Conversely, a low percentage of renters and high DOM indicate weak demand, which could result in prolonged vacancies and financial strain.

Note: The analysis is limited by missing data points such as the exact percentage of renters and the average DOM. These details are critical for a thorough assessment and should be sought out before making any investment decisions.

Data Sources: FMR data from HUD (2027). 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.