Section 8 Fair Market Rent (FMR) for ZIP 48237 - 2027

Location: Detroit-Warren-Livonia, MI | Metro: Detroit-Warren-Livonia, MI HUD Metro FMR Area

Investment Score for ZIP 48237

C
Monthly Rent (2BR)
$1,720
Median Price (2BR)
$180,574
1% Rule
0.95%
Annual Yield
11.43%

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$1,380
2 Bedrooms$1,720
3 Bedrooms$2,090
4 Bedrooms$2,270
5 Bedrooms$2,633
6 Bedrooms$2,949
7 Bedrooms$3,185
8 Bedrooms$3,344

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 $1,720 $180,574 0.95% C
3BR $2,090 $237,113 0.88% C
4BR $2,270 $316,420 0.72% D
5BR $2,633 $372,729 0.71% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
29,318
Median Household Income
$71,510
Housing Units
13,091
Renter Percentage
36.7%
Occupancy Rate
95.1%
Renter Occupied
4,571

The ZIP code 48237, located in Oak Park, Michigan, stands out within Oakland County due to its unique demographic and economic profile. With a total population of 29,318 residents, it has a significant rental market, with 36.7% of the population renting their homes. The median income here is $71,510, indicating a middle-class community. Despite this, the median home value is notably high at $232,974, suggesting that homeownership is a considerable financial commitment.

Moving into the specifics of Section 8 housing economics, the Fair Market Rent (FMR) for ZIP 48237 in fiscal year 2024 is set at $1,540. This is slightly above the market rent, which is measured by ZORI (Zillow Observed Rent Index) at $1,505. This means that landlords participating in the Section 8 program can expect a slight premium over the typical market rate when renting to tenants with vouchers.

Given the data, ZIP 48237 appears to be a stable area. The relatively high median home value coupled with a decent median income suggests a steady demand for both rental and owned properties. The rental market's size also indicates a consistent need for affordable housing options, making the Section 8 program a viable and beneficial choice for landlords looking to secure tenants. The slight premium offered by the FMR over the market rate further supports the stability of the rental environment for those willing to participate in the voucher program.

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.