Location: Detroit-Warren-Livonia, MI | Metro: Detroit-Warren-Livonia, MI HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $950 |
| 1 Bedroom | $1,060 |
| 2 Bedrooms | $1,320 |
| 3 Bedrooms | $1,610 |
| 4 Bedrooms | $1,740 |
| 5 Bedrooms | $2,018 |
| 6 Bedrooms | $2,260 |
| 7 Bedrooms | $2,441 |
| 8 Bedrooms | $2,563 |
U.S. Census Bureau data (2024)
ZIP 48049, located in North Street, Michigan, within the Detroit-Warren-Livonia HUD Metro FMR area, serves best as a cash-flow anchor in a Section 8 portfolio strategy. The Federal Market Rent (FMR) for the area in fiscal year 2024 is set at $1,160, while the current market rent stands at $1,072. This creates a positive spread of $88 per unit, indicating that properties in this ZIP can be rented at the higher FMR rate through Section 8 vouchers, thereby generating consistent and reliable cash flow.
The median home value in ZIP 48049 is $284,194. Given the stable rental income potential from the Section 8 program, landlords can expect steady returns on investment without the volatility associated with market-rate rentals. This stability is crucial for maintaining a solid financial foundation within a broader real estate portfolio.
Although there is no specific data provided regarding price-cut shares or days on market (DOM), the lack of these metrics does not detract from the cash-flow anchor role. The primary focus for this ZIP code should remain on leveraging the guaranteed rental income from the Section 8 program.
The ZIP also has a 10.2% renter share, which means a significant portion of residents are already accustomed to renting. Median income in the area is $84,028, suggesting that tenants are likely to have the financial capability to meet their obligations under the voucher program.
In conclusion, ZIP 48049 is well-suited to act as a cash-flow anchor within a Section 8 portfolio due to the favorable spread between the FMR and market rents. This ensures that landlords can count on predictable income streams, which are essential for long-term financial planning and stability.
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.