Location: Montcalm County, MI | Metro: Grand Rapids-Wyoming, MI HUD Metro FMR Area
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 | $1,110 |
| 1 Bedroom | $1,160 |
| 2 Bedrooms | $1,380 |
| 3 Bedrooms | $1,790 |
| 4 Bedrooms | $1,980 |
| 5 Bedrooms | $2,297 |
| 6 Bedrooms | $2,573 |
| 7 Bedrooms | $2,779 |
| 8 Bedrooms | $2,918 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,380 | $217,616 | 0.63% | D |
| 3BR | $1,790 | $272,617 | 0.66% | D |
| 4BR | $1,980 | $316,305 | 0.63% | D |
U.S. Census Bureau data (2024)
The HUD Fair Market Rent (FMR) for ZIP 48809, which includes Belding, MI, in the Ionia County and Montcalm County HUD Metro FMR Area, is set at $1200 for fiscal year 2024. This figure stands in stark contrast to the market rent reported by the Census Bureau's American Community Survey (ACS), which averages at $888. The significant difference between these two figures means that landlords accepting Section 8 vouchers can expect positive cash flow, even when considering the average market rent.
To further contextualize this opportunity, the median home value in ZIP 48809 is $264,541. Using this figure, we can calculate the rent-to-price ratio, which is approximately 0.33%. This low ratio indicates that rental income is relatively high compared to property values, suggesting a favorable environment for investors seeking to generate cash flow from their properties.
Regarding the dynamics of days on market (DOM) and price-cutting percentages, both metrics are not applicable in this scenario. The N/A designation for median DOM and the 0.1% share for price cuts indicate that the real estate market in this area is stable, with little need for price adjustments. This stability reduces the risk of prolonged vacancies and supports consistent cash flow.
The strongest angle for investors in ZIP 48809 is cash flow. With the HUD FMR significantly above the market rent, landlords can secure positive cash flow while still offering competitive rents to attract tenants. Additionally, the favorable rent-to-price ratio further enhances the potential for generating substantial income from rental properties.
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.