Section 8 Fair Market Rent (FMR) for ZIP 48335 - 2027

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

Investment Score for ZIP 48335

D
Monthly Rent (2BR)
$1,980
Median Price (2BR)
$305,572
1% Rule
0.65%
Annual Yield
7.78%

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$1,420
1 Bedroom$1,580
2 Bedrooms$1,980
3 Bedrooms$2,410
4 Bedrooms$2,620
5 Bedrooms$3,039
6 Bedrooms$3,404
7 Bedrooms$3,676
8 Bedrooms$3,860

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,980 $305,572 0.65% D
3BR $2,410 $387,439 0.62% D
4BR $2,620 $497,523 0.53% F
5BR $3,039 $551,591 0.55% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
25,077
Median Household Income
$99,439
Housing Units
12,219
Renter Percentage
56.2%
Occupancy Rate
91.4%
Renter Occupied
6,281

1740 is the Fair Market Rent (FMR) set for ZIP code 48335 in Farmington, MI, for fiscal year 2024. This figure is important for landlords participating in the Section 8 program, as it represents the maximum rental amount that can be charged for a two-bedroom apartment under the program. In comparison, the market rent, known as the Zillow Observed Rent Index (ZORI), stands at 1169 for the same area, indicating that properties eligible for Section 8 may command slightly higher rents compared to the average market rate. The median home value in the area is 422514, which suggests a relatively affluent neighborhood where owning a home is more common than renting. However, 56.2% of residents still prefer to rent, showing a significant demand for rental properties. Landlords should also note that the median income in the area is 99439, which can impact the eligibility of potential tenants for the Section 8 program. Despite the lack of data on days on market (DOM) and the low price-cut share of 0.2%, these indicators suggest that the housing market in Farmington, MI, is stable and competitive, favoring landlords who maintain their properties well. Given these factors, the verdict on Section 8 participation in ZIP 48335 is positive, offering a reliable stream of rental income with minimal risk of vacancy.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.