Location: Shiawassee County, MI | Metro: Livingston County, 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 | $980 |
| 1 Bedroom | $1,140 |
| 2 Bedrooms | $1,320 |
| 3 Bedrooms | $1,830 |
| 4 Bedrooms | $2,060 |
| 5 Bedrooms | $2,390 |
| 6 Bedrooms | $2,677 |
| 7 Bedrooms | $2,891 |
| 8 Bedrooms | $3,036 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,320 | $243,927 | 0.54% | F |
| 3BR | $1,830 | $322,051 | 0.57% | F |
| 4BR | $2,060 | $366,651 | 0.56% | F |
| 5BR | $2,390 | $431,047 | 0.55% | F |
U.S. Census Bureau data (2024)
The potential risks for investing in Section 8 housing in ZIP code 48836 in Fowlerville, MI, must be carefully considered. Tenant turnover can be a significant issue, as the market rent stands at $1,091 while the Fair Market Rent (FMR) for fiscal year 2024 is set at $1,150. This difference may lead to frequent changes in tenants, which can disrupt the stability of rental income.
Vacancy exposure is another concern. The data does not provide a specific number of days on the market (DOM), which suggests that there might be challenges in securing tenants quickly. This delay can result in lost rental income, especially if the property remains vacant for an extended period.
Deferred maintenance is also a risk factor. With a typical home value of $325,536 and a median income of $90,592, landlords may face difficulties in maintaining properties to the required standards without significant financial strain. The lower median income indicates that tenants may struggle to cover additional costs beyond their rent contributions, leaving landlords responsible for any necessary repairs or improvements.
However, these risks are somewhat mitigated by the high renter share of 9.8%. High renter density often translates into higher demand for housing vouchers, making it easier to find qualified tenants who are willing and able to pay the stipulated rent through the Section 8 program. This ensures a steady stream of income once tenants are secured.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.