Location: Michigan City-La Porte, IN | Metro: Michigan City-La Porte, IN 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 | $1,000 |
| 1 Bedroom | $1,100 |
| 2 Bedrooms | $1,310 |
| 3 Bedrooms | $1,600 |
| 4 Bedrooms | $1,820 |
| 5 Bedrooms | $2,111 |
| 6 Bedrooms | $2,364 |
| 7 Bedrooms | $2,553 |
| 8 Bedrooms | $2,681 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,600 | $313,947 | 0.51% | F |
U.S. Census Bureau data (2024)
To classify ZIP code 46365, we need to consider both the yield and stability factors. The yield is primarily driven by the Fair Market Rent (FMR) which stands at $970 for the fiscal year 2024. This figure is significant as it represents the average rent that can be expected from tenants receiving Section 8 assistance. Given the median home value of $310,972, the FMR provides a direct indication of the rental income potential relative to property values.
The stability of the market is influenced by several indicators, including the percentage of renters, the days on market (DOM), and the median household income. With 23.3% of residents being renters, there is a moderate demand for rental properties. However, the lack of data on the average days on market suggests uncertainty about how quickly properties might be rented out. The median household income of $98,047 indicates a relatively stable economic environment, supporting the ability of residents to afford rent and maintain consistent cash flow.
Based on these figures, ZIP 46365 does not clearly fit into a high-yield/low-stability flip-style market or a steady-cashflow zone. Instead, it appears to be a middle-ground market. The FMR of $970 is a strong indicator of yield, but the limited data on DOM and the relatively low percentage of renters suggest that while there is decent income potential, the market is not highly volatile or quick to turn over. Therefore, the area offers a balanced opportunity for landlords and small-portfolio investors seeking a mix of reasonable returns and stable occupancy rates.
A landlord or investor in ZIP 46365 should expect to achieve an average monthly rental income of $970 per unit through Section 8, which can be compared against the cost of maintaining properties valued at around $310,972. The economic stability provided by the median household income of $98,047 ensures that tenants have the financial capability to meet their rent obligations consistently, making it a reliable investment choice.
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.