Location: Lenawee County, MI | Metro: Monroe, MI MSA
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 | $860 |
| 1 Bedroom | $940 |
| 2 Bedrooms | $1,230 |
| 3 Bedrooms | $1,550 |
| 4 Bedrooms | $1,940 |
| 5 Bedrooms | $2,250 |
| 6 Bedrooms | $2,520 |
| 7 Bedrooms | $2,722 |
| 8 Bedrooms | $2,858 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,230 | $175,173 | 0.7% | D |
| 3BR | $1,550 | $227,933 | 0.68% | D |
| 4BR | $1,940 | $257,511 | 0.75% | D |
| 5BR | $2,250 | $292,310 | 0.77% | D |
U.S. Census Bureau data (2024)
A decision tree for evaluating whether to purchase a property in ZIP 49228 (Blissfield, MI) for Section 8 investment involves three key questions:
1) Does the Fair Market Rent (FMR) of $1,160 cover the debt service on a property valued at $236,455?
If you calculate the monthly mortgage payment for a $236,455 property at an average interest rate of 5%, the principal and interest payment would be approximately $1,200. This amount does not include property taxes, insurance, and maintenance costs, which can add another $200-$300 per month. Therefore, the FMR of $1,160 does not fully cover the total debt service. The answer here is No.
2) How does the market rent of $1,081 compare to the FMR of $1,160?
The market rent is below the FMR, indicating that landlords could potentially receive higher rents through Section 8 vouchers compared to the general rental market. However, this also suggests that there might be some resistance from tenants who prefer to pay less. The answer here is It Depends. Landlords must weigh the benefits of higher guaranteed income against the potential challenges of attracting tenants.
3) Is the rental demand sufficient with 17.7% of residents being renters and the days on market (DOM) being N/A?
The lack of data on DOM makes it challenging to assess how quickly properties are rented out. However, with 17.7% of residents being renters, the demand appears moderate but not exceptionally high. This percentage alone doesn't indicate strong demand, especially without DOM data. The answer here is It Depends. A deeper analysis of the local rental market trends and competition would be necessary to make a more informed decision.
To summarize, if your primary goal is to ensure that the FMR covers all debt service costs, Blissfield, MI is not a suitable location based on the provided data. However, if you're willing to accept a slight shortfall in covering total debt service costs and see the potential for higher rents compared to the market, then Blissfield might still be considered. The moderate rental population percentage and lack of DOM data suggest that demand is present but requires further investigation to determine its strength relative to supply.
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.