Location: Detroit-Warren-Livonia, MI | Metro: Detroit-Warren-Livonia, MI HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,170 |
| 1 Bedroom | $1,300 |
| 2 Bedrooms | $1,630 |
| 3 Bedrooms | $1,980 |
| 4 Bedrooms | $2,150 |
| 5 Bedrooms | $2,494 |
| 6 Bedrooms | $2,793 |
| 7 Bedrooms | $3,016 |
| 8 Bedrooms | $3,167 |
The Fair Market Rent (FMR) for ZIP 48387 is $1,460 for the fiscal year 2024. However, the market rent and home values are not specified, making it challenging to assess the overall yield potential. Typically, if the FMR is higher than the market rent, there could be opportunities for higher yields through rental properties.
Regarding stability, the percentage of renters, days on market (DOM), and income levels are not provided. Without these metrics, it's difficult to gauge the stability of the rental market and the financial health of the residents. A lower DOM indicates a stable market where homes sell quickly, while higher income levels suggest greater financial security among the residents.
To determine whether ZIP 48387 is a high-yield/low-stability flip-style market, a steady-cashflow zone, or something in between, more specific data points are needed. For instance, if the market rent is significantly lower than the FMR, it might indicate a high-yield opportunity but also a potentially volatile market. Conversely, if the market rent aligns closely with the FMR and there is strong demand, it could be a steady-cashflow zone.
Currently, the available data shows that some homes have sold above their list price, indicating a competitive market. However, the days on market vary, suggesting some instability in the selling process. For example, a home was sold 6% over list price in 19 days, while another took 76 days to sell at 3% under the list price.
In conclusion, ZIP 48387 appears to offer both potential high yields due to the relatively high FMR and some level of instability due to varying DOM and unspecified market rents and income levels. Further investigation into specific market rents and resident income would provide a clearer picture of the investment potential.
Data Sources: FMR data from HUD (2027).
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.