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 | $1,470 |
| 1 Bedroom | $1,640 |
| 2 Bedrooms | $2,040 |
| 3 Bedrooms | $2,490 |
| 4 Bedrooms | $2,700 |
| 5 Bedrooms | $3,132 |
| 6 Bedrooms | $3,508 |
| 7 Bedrooms | $3,789 |
| 8 Bedrooms | $3,978 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,040 | $328,709 | 0.62% | D |
| 3BR | $2,490 | $435,927 | 0.57% | F |
| 4BR | $2,700 | $594,575 | 0.45% | F |
| 5BR | $3,132 | $826,615 | 0.38% | F |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 48323, Orchard Lake, MI, for fiscal year 2024 is set at $1720. This figure represents the payment standard used by the U.S. Department of Housing and Urban Development (HUD) for the Section 8 program, which means it's the maximum amount HUD will pay toward your tenant's rent. However, this does not necessarily reflect the actual rent you can charge.
In comparison, the Census Bureau's American Community Survey (ACS) data shows that the average rent for the area is $1,854. This indicates that the market rent slightly exceeds the FMR, suggesting that landlords participating in Section 8 might need to accept a lower rent than what the market typically offers.
The renter share in ZIP 48323 is 10.4%, which means that out of every 100 households, about 10.4 are renters. This percentage helps gauge the potential demand for rental properties in the area. While it’s relatively low, there are still opportunities for landlords willing to participate in the Section 8 program.
When considering acquiring a property for a Section 8 rental, the median home value in ZIP 48323 is around $515,631. This figure should be taken into account when evaluating the investment potential and the overall cost of entry into the market.
Before deciding to take the plunge into Section 8 rentals, ensure you verify the property meets all the necessary requirements for the program. Specifically, conduct a thorough inspection to confirm that the unit complies with HUD’s housing quality standards. This verification is crucial because failing to meet these standards could result in disqualification from the program, leading to financial losses.
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.