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 | $790 |
| 1 Bedroom | $890 |
| 2 Bedrooms | $1,140 |
| 3 Bedrooms | $1,460 |
| 4 Bedrooms | $1,500 |
| 5 Bedrooms | $1,740 |
| 6 Bedrooms | $1,949 |
| 7 Bedrooms | $2,105 |
| 8 Bedrooms | $2,210 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $890 | $58,922 | 1.51% | A+ |
| 2BR | $1,140 | $105,321 | 1.08% | B |
| 3BR | $1,460 | $203,458 | 0.72% | D |
| 4BR | $1,500 | $251,371 | 0.6% | F |
| 5BR | $1,740 | $294,077 | 0.59% | F |
U.S. Census Bureau data (2024)
The ZIP code 48638, located in Saginaw, MI, falls within the Saginaw, MI MSA metro area. When analyzing its characteristics against typical ZIP codes in the same MSA, several key points emerge.
The Fair Market Rent (FMR) for ZIP 48638 is set at $990 for fiscal year 2024, slightly above the market rent of $949. This indicates that the rental rates in 48638 are marginally higher than what might be considered average for the Saginaw, MI MSA. The median home value in 48638 stands at $196,337, which is lower than the typical home value found in other ZIP codes within the metro area. This suggests that the housing stock in 48638 is generally less expensive compared to the broader Saginaw, MI MSA.
A significant portion of residents in 48638 are renters, with a 37.9% renter share. This figure is notably higher than the average renter share in the metro area, indicating a strong preference for renting over owning in this ZIP code. The combination of a below-average home value and a higher-than-average renter share points to 48638 potentially being a sweet spot for Section 8 housing. Landlords and small-portfolio investors can capitalize on the demand for rental properties while benefiting from the government's rental assistance programs.
To summarize, ZIP 48638 appears to be a value pocket within the Saginaw, MI MSA. It offers rental opportunities at slightly above-market rates but with homes valued below the metro average. The high renter share further supports its attractiveness as a location for Section 8 properties, making it an ideal investment choice for those seeking a balance between affordability and tenant demand.
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.