Location: Lansing-East Lansing, MI | Metro: Jackson, 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 | $980 |
| 1 Bedroom | $1,000 |
| 2 Bedrooms | $1,250 |
| 3 Bedrooms | $1,590 |
| 4 Bedrooms | $1,640 |
| 5 Bedrooms | $1,902 |
| 6 Bedrooms | $2,130 |
| 7 Bedrooms | $2,300 |
| 8 Bedrooms | $2,415 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,250 | $180,187 | 0.69% | D |
| 3BR | $1,590 | $257,146 | 0.62% | D |
| 4BR | $1,640 | $304,964 | 0.54% | F |
| 5BR | $1,902 | $348,448 | 0.55% | F |
U.S. Census Bureau data (2024)
Eaton Rapids, MI, located in ZIP code 48827 and part of the Lansing-East Lansing, MI MSA, is best suited as a cash-flow anchor within a Section 8 portfolio strategy. The Federal Market Rent (FMR) for ZIP 48827 in fiscal year 2024 is set at $1040, which exceeds the current market rent of $989. This creates a positive spread of $51 per unit, ensuring that landlords can maintain steady cash flow even when participating in the Section 8 program.
The median home value in Eaton Rapids is $251,389, indicating a relatively stable housing market. While the 0.3% price-cut share and N/A-day days on market (DOM) suggest limited potential for rapid appreciation, the primary benefit here lies in the consistent rental income. Landlords can rely on the government subsidy to cover rents at or slightly above the market rate without the risk of significant vacancy rates.
With a 16.2% renter share and a median income of $78,257, the area supports a moderate level of demand for rental properties. Although the renter share is not exceptionally high, the presence of a stable middle-class population ensures a reliable tenant pool. This stability is crucial for a cash-flow anchor, as it reduces the risk of default and maintains occupancy levels.
To summarize, ZIP 48827 is ideal for a cash-flow anchor due to the favorable spread between FMR and market rent, along with the support of a stable housing market and middle-income demographic. These factors combine to offer landlords a secure investment that generates predictable returns.
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.