Location: Van Buren County, MI | Metro: Allegan County, MI
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 | $870 |
| 1 Bedroom | $870 |
| 2 Bedrooms | $1,150 |
| 3 Bedrooms | $1,440 |
| 4 Bedrooms | $1,590 |
| 5 Bedrooms | $1,844 |
| 6 Bedrooms | $2,065 |
| 7 Bedrooms | $2,230 |
| 8 Bedrooms | $2,342 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $870 | $301,138 | 0.29% | F |
| 2BR | $1,150 | $356,762 | 0.32% | F |
| 3BR | $1,440 | $418,756 | 0.34% | F |
| 4BR | $1,590 | $567,950 | 0.28% | F |
| 5BR | $1,844 | $864,817 | 0.21% | F |
U.S. Census Bureau data (2024)
The rent math in ZIP 49090 (South Haven, MI, Van Buren County, MI metro) does not favor landlords. The Fair Market Rent (FMR) for the area set at $1,070 for fiscal year 2026 is higher than the actual market rent of $931 based on Census ACS data. This discrepancy suggests that landlords might struggle to command the FMR in the current rental market.
Acquisition in this ZIP code is relatively affordable, with a median home value of $369,462. However, the lack of data on days on market (DOM) and the fact that only 0.2% of homes are sold at a price cut indicate a stable housing market with limited opportunities for finding undervalued properties. Landlords should be prepared to pay close to the median value when acquiring new properties.
Tenant demand in ZIP 49090 is moderate. With a total population of 13,250 and 22.2% of residents being renters, there is a steady but not overwhelming pool of potential tenants. This percentage translates to approximately 2,937 renters in the area, which could support a modest portfolio of rental properties.
In conclusion, while there is a sufficient number of renters in ZIP 49090 to sustain a small portfolio, the rent math is unfavorable due to the gap between the FMR and the actual market rent. Acquisition costs are reasonable, but the housing market's stability limits the chances of finding deeply discounted properties. Therefore, landlords and small-portfolio investors should carefully consider these factors before investing in this area, ensuring they have a solid understanding of local rental dynamics and property values.
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.