Location: Iosco County, MI | Metro: Alcona County, MI
| Unit Size | Monthly FMR |
|---|---|
| Studio | $770 |
| 1 Bedroom | $870 |
| 2 Bedrooms | $1,060 |
| 3 Bedrooms | $1,430 |
| 4 Bedrooms | $1,520 |
| 5 Bedrooms | $1,763 |
| 6 Bedrooms | $1,975 |
| 7 Bedrooms | $2,133 |
| 8 Bedrooms | $2,240 |
U.S. Census Bureau data (2024)
The ZIP code 48737 is situated in a small-town setting, characterized by a modest population of 1,082 residents. The area has a relatively low percentage of renters at 17.1%, indicating a primarily owner-occupied community. The median household income here stands at $38,000, which places it below the national average, suggesting a working-class environment. The median home value is recorded at $126,380, reflecting an affordable housing market.
Moving into the specifics of rental economics, the Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,070. However, the actual market rent, according to the Census ACS data, is lower at $944. This gap between the FMR and the market rent can be advantageous for landlords participating in the Section 8 program, as it allows them to potentially charge closer to the FMR while still remaining competitive in the local rental market.
In terms of investment strategy, ZIP 48737 offers a mixed landscape. For hands-off voucher operators, the area presents a stable but modest opportunity. The low percentage of renters means there is limited demand for rental properties, but the gap between FMR and market rent provides a margin for profit. On the other hand, for hands-on value-add buyers looking to renovate and improve properties, there is potential for creating higher-quality units that could command rents closer to the FMR, especially given the affordable median home value and the likelihood of finding undervalued properties.
Overall, ZIP 48737 is best suited for investors willing to take a more active role in property management and enhancement, rather than those seeking passive income through the Section 8 program alone. The combination of an affordable housing market and a slightly underserved rental sector creates an environment where proactive strategies can lead to better returns.
Data Sources: FMR data from HUD (2027). 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.