Location: Detroit-Warren-Livonia, MI | Metro: Detroit-Warren-Livonia, MI HUD Metro FMR Area
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 | $1,510 |
| 1 Bedroom | $1,680 |
| 2 Bedrooms | $2,100 |
| 3 Bedrooms | $2,560 |
| 4 Bedrooms | $2,780 |
| 5 Bedrooms | $3,225 |
| 6 Bedrooms | $3,612 |
| 7 Bedrooms | $3,901 |
| 8 Bedrooms | $4,096 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,100 | $294,326 | 0.71% | D |
| 3BR | $2,560 | $457,215 | 0.56% | F |
| 4BR | $2,780 | $613,106 | 0.45% | F |
| 5BR | $3,225 | $778,632 | 0.41% | F |
U.S. Census Bureau data (2024)
The ZIP code 48084, located in Troy, Michigan, presents an interesting scenario for both renters and landlords. The median household income in this area is $107,098, which provides a baseline for assessing rental affordability. At a market rate of $1,678 per month (ZORI), renting becomes a significant expense for residents.
Comparatively, the Fair Market Rent (FMR) for ZIP 48084 in fiscal year 2024 is set at $1,760, which closely aligns with the market rate but offers a slight advantage for those utilizing housing vouchers. This means that the voucher payment standard is nearly on par with the actual market rates, providing minimal relief for voucher holders.
Troy has a population of 15,960, with 54.2% of households being renters. This high percentage of renters suggests a competitive market for landlords, where the ability to attract tenants can be crucial. The affordability gap between the median income and the rental costs indicates that many households might struggle to cover their rent without financial assistance.
For landlords considering their tenant mix, focusing on voucher recipients could provide a steady stream of income, given the alignment of voucher payments with market rates. However, landlords should also consider the administrative aspects of accepting vouchers, including potential delays in payment and compliance with HUD regulations.
In conclusion, while the market rate and voucher payment standards are nearly equivalent in Troy, landlords must weigh the benefits of cash-paying tenants against the stability offered by voucher programs. The competitive landscape and the affordability gap suggest that diversifying tenant sources may be a prudent strategy.
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.