Location: Saginaw, MI | Metro: Bay City, 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 | $880 |
| 1 Bedroom | $990 |
| 2 Bedrooms | $1,260 |
| 3 Bedrooms | $1,620 |
| 4 Bedrooms | $1,660 |
| 5 Bedrooms | $1,926 |
| 6 Bedrooms | $2,157 |
| 7 Bedrooms | $2,330 |
| 8 Bedrooms | $2,447 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,260 | $112,865 | 1.12% | B |
| 3BR | $1,620 | $142,868 | 1.13% | B |
| 4BR | $1,660 | $154,119 | 1.08% | B |
U.S. Census Bureau data (2024)
The classification of ZIP 48604 (Saginaw, MI) on the axes of yield and stability reveals a unique market profile. With a Fair Market Rent (FMR) of $1,070 for fiscal year 2024, compared to the market rent of $1,114, there is a slight premium landlords can expect when participating in the Section 8 program. The median home value in the area stands at $136,752, which indicates a moderate investment cost.
Evaluating the stability of the market, we find that approximately 28.5% of residents are renters, suggesting a reasonable demand for rental properties. However, the lack of data on days on market (DOM) implies some uncertainty regarding the speed at which properties are typically leased. The average household income in the area is $53,042, which is lower than the national average, potentially indicating a less stable tenant base due to financial constraints.
Given these figures, ZIP 48604 leans towards being a steady-cashflow zone. The yield is modest, but the relatively low income levels and the percentage of renters suggest a market where consistent cash flow is more likely than rapid appreciation or flipping opportunities. Landlords and small-portfolio investors should focus on managing costs and ensuring property maintenance to maximize returns in this area.
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.