Location: Isabella County, MI | Metro: Isabella County, MI
| Unit Size | Monthly FMR |
|---|---|
| Studio | $890 |
| 1 Bedroom | $900 |
| 2 Bedrooms | $1,070 |
| 3 Bedrooms | $1,400 |
| 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 analysis of the Section 8 program in ZIP code 48859 reveals a significant gap between the Fair Market Rent (FMR) and the actual market rents. The FMR for the metro area in fiscal year 2026 is $1,010. In contrast, the available rental listings suggest that market rents in the area are notably higher. For instance, a 2-bedroom apartment is listed at $850, while a 3-bedroom house is priced at $1,600 per month.
The disparity between FMR and market rents is stark. With FMR at $1,010 and market rents averaging around $1,600, the gap amounts to $590, which is approximately 58.4% of the FMR. This gap indicates that landlords who accept Section 8 vouchers will be renting below the open-market rate, potentially impacting their revenue.
Given the context of 48859, where the median home value and median income figures are currently unavailable, the decision to rent to voucher tenants should be based on the expected yield. Landlords must consider the long-term benefits of steady rental income, despite the lower rates, compared to the volatility of the open-market rental prices. The choice to participate in the Section 8 program is a strategic move, balancing the financial gap with the stability of tenant support.
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.