Location: St. Joseph County, MI | Metro: St. Joseph County, MI
| Unit Size | Monthly FMR |
|---|---|
| Studio | $730 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,350 |
| 4 Bedrooms | $1,430 |
| 5 Bedrooms | $1,659 |
| 6 Bedrooms | $1,858 |
| 7 Bedrooms | $2,007 |
| 8 Bedrooms | $2,107 |
U.S. Census Bureau data (2024)
In ZIP code 49032, the Section 8 housing program operates under specific economic guidelines that impact both tenants and landlords. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this ZIP code for fiscal year 2026 is set at $970. This figure represents the maximum amount that the housing authority will pay to landlords participating in the Section 8 program.
Local market rent, as reported by the Census Bureau's American Community Survey, stands at $868 for a similar unit. This difference between the SAFMR and the actual market rent is a key factor in understanding the economics of Section 8 for landlords in ZIP 49032.
A landlord should be aware that the total payment received from the Section 8 program includes both the tenant's contribution and any utility allowances. Typically, the tenant is responsible for paying 30% of their adjusted income towards rent. If we assume an average adjusted income for a tenant in this area, they would contribute around $261 to the rent, based on the SAFMR of $970. This leaves the housing authority to cover the remaining $709.
The utility allowance varies but is generally designed to help cover the cost of utilities for the tenant. For simplicity, let's assume a utility allowance of approximately $200. Therefore, the total reimbursement to the landlord for a two-bedroom unit would be the sum of the housing authority's contribution and the utility allowance, which equals $909.
This means that if a landlord charges the SAFMR of $970 for a two-bedroom apartment, there would be a reimbursement gap of $61. However, if the landlord sets the rent closer to the local market rate of $868, they would receive a surplus of $32 from the Section 8 program, assuming the same reimbursement and utility allowance figures.
To summarize, landlords in ZIP 49032 can expect a reimbursement of $909 for a two-bedroom unit when considering the tenant's contribution and utility allowances. Given the SAFMR and local market rates, landlords should carefully consider their rental pricing strategy to either fill the reimbursement gap or take advantage of the potential surplus.
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.