Location: Sanilac County, MI | Metro: Sanilac County, MI
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 | $720 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,300 |
| 4 Bedrooms | $1,340 |
| 5 Bedrooms | $1,554 |
| 6 Bedrooms | $1,740 |
| 7 Bedrooms | $1,879 |
| 8 Bedrooms | $1,973 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,300 | $207,802 | 0.63% | D |
U.S. Census Bureau data (2024)
The analysis of ZIP Code 48427 in Deckerville, MI, reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2026, the FMR stands at $970, while the market rent based on Census ACS data is $816. This gap is $154, or approximately 19%.
In ZIP 48427, where the FMR exceeds the market rent, landlords can benefit from the Housing Choice Voucher program. Voucher tenants pay a portion of their income towards rent, with the federal government covering the difference. Given the median income of $56,842 and the median home value of $191,947, the area is not highly affluent, making it suitable for voucher tenants. The higher FMR means that landlords can charge closer to the FMR rate, thereby increasing their cash flow and potentially improving yields.
The 17.4% of renters in ZIP 48427 indicates a moderate demand for rental properties. However, the presence of voucher tenants can stabilize occupancy rates and reduce vacancy periods, which is particularly beneficial for small-portfolio investors who may struggle with maintaining consistent income streams.
To summarize, the $154 gap between the FMR and market rent in ZIP 48427 presents an opportunity for landlords to leverage the Housing Choice Voucher program to enhance their rental income and achieve better investment yields. The area's demographics support the viability of this strategy, with a median income that aligns well with the voucher tenant profile.
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.