Location: Allegan 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 | $1,430 |
| 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 |
|---|---|---|---|---|
| 2BR | $1,150 | $286,979 | 0.4% | F |
| 3BR | $1,430 | $317,401 | 0.45% | F |
| 4BR | $1,590 | $358,166 | 0.44% | F |
U.S. Census Bureau data (2024)
ZIP code 49328, located in Allegan, MI, stands out within the Allegan County, MI metro area based on its Federal Market Rent (FMR) and market conditions. The FMR for the metro area in fiscal year 2026 is set at $1,000. However, the actual market rent in ZIP 49328 is significantly lower at $752, indicating that it is a value pocket within the larger Allegan County market.
The median home value in ZIP 49328 is $329,469, which is likely higher than some other ZIP codes in the county but still represents a relatively affordable option for homeownership. This suggests that while property values are not at the bottom tier, they are still accessible compared to more expensive areas within the metro.
The renter share in ZIP 49328 is 7.4%, which is notably lower than what might be considered typical for many urban centers. This low percentage indicates a predominantly owner-occupied community, rather than a high-density rental market. Despite the low renter share, the combination of below-metro market rents and the FMR threshold can make this ZIP code attractive for landlords participating in the Section 8 program, especially if the county has a higher overall renter share.
To determine if 49328 is a Section 8 sweet spot, consider the following:
The market rent of $752 is well below the FMR of $1,000, allowing for potential profit margins for landlords who can secure Section 8 tenants.
The lower-than-average renter share might indicate fewer available units for rent, which could mean competition for Section 8 vouchers is less intense here compared to urban areas with higher renter shares.
The median home value being above average for the county suggests a middle-class residential area, which could imply stable demand for both ownership and rental properties.
Given these figures, ZIP 49328 appears to be a value pocket within the Allegan County, MI metro, offering opportunities for landlords to participate in the Section 8 program with reasonable profitability and a potentially less competitive environment for securing tenants.
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.