Location: Wexford County, MI | Metro: Grand Traverse County, MI HUD Metro FMR Area
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 | $1,100 |
| 1 Bedroom | $1,110 |
| 2 Bedrooms | $1,370 |
| 3 Bedrooms | $1,860 |
| 4 Bedrooms | $1,900 |
| 5 Bedrooms | $2,204 |
| 6 Bedrooms | $2,468 |
| 7 Bedrooms | $2,665 |
| 8 Bedrooms | $2,798 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,370 | $244,074 | 0.56% | F |
| 3BR | $1,860 | $320,733 | 0.58% | F |
U.S. Census Bureau data (2024)
The ZIP code 49633 encompasses the tranquil town of Fife Lake, Michigan, a community known for its serene environment and natural beauty. With a total population of 3,410, it stands out as a primarily owner-occupied area, where only 9.6% of residents are renters. The median household income in Fife Lake is $73,681, reflecting a middle-class community with a solid economic foundation. Median home values sit at $240,641, indicating a stable housing market with properties that are moderately priced.
When it comes to rental economics, the Federal Market Rent (FMR) for fiscal year 2026 is set at $1,260, while the actual market rent, according to Census ACS data, is slightly lower at $1,206. This suggests that there is a slight premium for Section 8 vouchers in the area, which could be advantageous for landlords willing to participate in the program. However, the relatively low percentage of renters indicates that demand for rentals might not be high, potentially making it challenging to fill units consistently.
In terms of investment strategy, ZIP 49633 is more suited for a hands-off voucher operator rather than a hands-on value-add buyer. The modest difference between FMR and market rent means that landlords can expect a steady stream of income without needing to actively manage property improvements or renovations. Given the town's small size and limited rental market, a hands-on approach would likely require significant effort to justify the potential increase in rental rates, making it less viable for small-portfolio investors seeking a balance between ease of management and profitability.
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.