Location: Saginaw, MI | Metro: Saginaw, MI MSA
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 | $780 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,120 |
| 3 Bedrooms | $1,440 |
| 4 Bedrooms | $1,470 |
| 5 Bedrooms | $1,705 |
| 6 Bedrooms | $1,910 |
| 7 Bedrooms | $2,063 |
| 8 Bedrooms | $2,166 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $880 | $48,802 | 1.8% | A+ |
| 2BR | $1,120 | $70,164 | 1.6% | A+ |
| 3BR | $1,440 | $98,541 | 1.46% | A |
| 4BR | $1,470 | $106,533 | 1.38% | A |
| 5BR | $1,705 | $123,452 | 1.38% | A |
U.S. Census Bureau data (2024)
Saginaw, MI, represented by ZIP code 48602, stands out in Saginaw County due to its significant rental population and modest median income levels. With a total of 27,127 residents, nearly one-third of the population rents their homes, indicating a substantial demand for affordable housing options. The median income in this area is $46,984, which is notably lower than the median home value of $81,396, suggesting that homeownership is less accessible to many residents.
The dynamics of rental housing in ZIP 48602 are heavily influenced by the availability of Section 8 vouchers. The Fair Market Rent (FMR) for the fiscal year 2024 is set at $930, which is slightly below the market rate of $961 as measured by the ZORI (Zillow Rent Index). This gap between FMR and market rent indicates that landlords who accept Section 8 vouchers may face a minor financial disadvantage compared to those who do not. However, the stability and predictability of government-subsidized rent can be attractive to landlords, especially in an area where a large portion of the population relies on rental assistance.
Evaluating the overall data signature of ZIP 48602, it appears to be in a transitional phase. The relatively low median income coupled with a higher median home value suggests that there could be changes in the housing market as economic conditions evolve. Additionally, the slight difference between FMR and market rent highlights ongoing adjustments in the rental sector. Landlords and small-portfolio investors should consider these factors when deciding whether to participate in the Section 8 program, weighing the benefits of steady income against potential market fluctuations.
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.