Location: Montcalm County, MI | Metro: Montcalm County, MI HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $750 |
| 1 Bedroom | $920 |
| 2 Bedrooms | $1,090 |
| 3 Bedrooms | $1,330 |
| 4 Bedrooms | $1,440 |
| 5 Bedrooms | $1,670 |
| 6 Bedrooms | $1,870 |
| 7 Bedrooms | $2,020 |
| 8 Bedrooms | $2,121 |
U.S. Census Bureau data (2024)
The Section 8 thesis in ZIP 48852 is centered around the gap between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the FMR for a two-bedroom apartment in ZIP 48852 is set at $980. However, the market rent for the same type of apartment is not available, which suggests a significant discrepancy.
If the FMR exceeds the market rent, it makes ZIP 48852 a prime location for voucher tenants, turning it into a yield play. Landlords can expect a steady stream of income without worrying about market fluctuations, ensuring consistent cash flow. Given the context of 12.1% renters and a median income of $41,875, the FMR provides a reliable benchmark for setting rental prices.
In the absence of market rent data, we must rely on the FMR to assess the potential impact on landlords. With a median home value that is not specified, landlords should be cautious about setting rents above the FMR, as it could deter potential voucher tenants. The gap between the FMR and market rent, if any, would need to be quantified to understand the cost of housing voucher tenants below open-market rates.
To summarize, the FMR of $980 for a two-bedroom apartment in ZIP 48852 serves as a critical reference point for landlords and small-portfolio investors. This figure ensures a stable rental environment, especially when market rent data is unavailable. Landlords should align their rental strategies with the FMR to maximize occupancy and income stability.
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.