Location: Hillsdale County, MI | Metro: Hillsdale County, MI
| Unit Size | Monthly FMR |
|---|---|
| Studio | $720 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,300 |
| 4 Bedrooms | $1,370 |
| 5 Bedrooms | $1,589 |
| 6 Bedrooms | $1,780 |
| 7 Bedrooms | $1,922 |
| 8 Bedrooms | $2,018 |
U.S. Census Bureau data (2024)
The ZIP code 49258 presents a unique scenario when analyzed through the lens of yield and stability for Section 8 real-estate investment. To understand its position on these two axes, let's break down the available data.
Yield Analysis: The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,040. This figure is crucial as it directly influences the potential rental income for properties in this area. However, the lack of specific market rent and home value data means we cannot compare the FMR to typical market rates, which would be necessary for a complete yield analysis. Despite this gap, the $1,040 FMR provides a baseline for rental expectations.
Stability Analysis: Stability can be gauged by examining factors such as the percentage of renters, days on market (DOM), and median household income. In ZIP 49258, the reported percentage of renters is 0.0%, indicating that virtually all residents are homeowners. This statistic alone suggests a highly stable environment, as low renter percentages often correlate with less turnover and more consistent occupancy rates. The absence of DOM and income figures limits our ability to provide a comprehensive assessment of stability, but the homeowner trend is a strong indicator of a stable community.
Given the data, ZIP 49258 does not align with a high-yield/low-stability flip-style market. Instead, it appears to be a steady-cashflow zone due to the high proportion of homeowners, which typically translates into lower vacancy rates and higher tenant retention. The $1,040 FMR provides a solid rental income base, though without market rent data, it's challenging to determine if there's an opportunity for above-average yields. Landlords and small-portfolio investors should find comfort in the stability aspect, even if the yield is based solely on the FMR rather than a comparison against market rents.
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.