Section 8 Fair Market Rent (FMR) for ZIP 48160 - 2027

Location: Lenawee County, MI | Metro: Ann Arbor, MI MSA

Investment Score for ZIP 48160

Monthly Rent (2BR)

$1,530

Median Price (2BR)

$228,419

1% Rule

0.67%

Annual Yield

8.04%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$1,230
1 Bedroom	$1,250
2 Bedrooms	$1,530
3 Bedrooms	$1,850
4 Bedrooms	$2,190
5 Bedrooms	$2,540
6 Bedrooms	$2,845
7 Bedrooms	$3,073
8 Bedrooms	$3,227

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
2BR	$1,530	$228,419	0.67%	D
3BR	$1,850	$324,830	0.57%	F
4BR	$2,190	$378,970	0.58%	F
5BR	$2,540	$457,934	0.55%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

13,972

Median Household Income

$103,453

Housing Units

5,296

Renter Percentage

19.4%

Occupancy Rate

93.4%

Renter Occupied

960

The town of Milan, located in Michigan's ZIP code 48160, offers a stable and desirable living environment for both residents and investors. With its proximity to major urban centers and strong local economy, Milan presents a favorable market for real estate investments, particularly in rental properties.

The Fair Market Rent (FMR) for a two-bedroom apartment in ZIP 48160 for fiscal year 2024 is set at $1,280, providing a benchmark for landlords to price their units competitively.
The average market rent for the area, according to the latest Census American Community Survey (ACS), stands at $1,177, slightly below the FMR but still indicative of a robust rental demand.
The median home value in Milan is $305,353, reflecting the overall property values and potential for appreciation in the area.
Renters make up 19.4% of the population, suggesting a moderate but consistent rental market that could support a variety of investment strategies.
The median household income in the area is $103,453, which supports the ability of tenants to pay higher rents and indicates a generally healthy economic base.

Synthesizing these points, investors in Milan, MI can expect a steady rental market with competitive pricing and a solid economic foundation. The slight gap between the FMR and the actual market rent suggests room for modest increases, while the median income figure supports the likelihood of tenants being able to afford such rates. However, the moderate share of renters implies that while there is opportunity, it may be limited compared to more densely populated areas. Overall, Milan represents a prudent investment choice for those seeking stability and reasonable returns.

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.