Section 8 Fair Market Rent (FMR) for ZIP 49657 - 2027

Location: Osceola County, MI | Metro: Missaukee County, MI

Investment Score for ZIP 49657

N/A
Monthly Rent (2BR)
$1,030
Median Price (2BR)
$N/A
1% Rule
0%
Annual Yield
0%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$730
1 Bedroom$880
2 Bedrooms$1,030
3 Bedrooms$1,290
4 Bedrooms$1,350
5 Bedrooms$1,566
6 Bedrooms$1,754
7 Bedrooms$1,894
8 Bedrooms$1,989

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
3BR $1,290 $235,410 0.55% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
3,801
Median Household Income
$76,250
Housing Units
1,613
Renter Percentage
17.5%
Occupancy Rate
86.9%
Renter Occupied
246

The ZIP code 49657 presents several challenges for potential Section 8 landlords. Firstly, the tenant turnover rate is likely to be higher due to the significant gap between the market rent of $751 and the Federal Market Rent (FMR) of $990 for FY 2026 in the metropolitan area. This difference can lead to dissatisfaction among tenants who might prefer paying closer to the market rate.

Vacancy exposure is another concern. With no data available on the average number of days on market (DOM), it's unclear how long properties might remain vacant. However, given that the typical home value in the area is $250,158 and the median income is $76,250, there is a risk of deferred maintenance. Landlords must be prepared to invest in property upkeep, as lower-income residents might not have the financial capacity to cover such costs, leading to potential neglect and higher repair expenses.

Despite these risks, the high renter share of 17.5% in ZIP 49657 suggests a strong demand for rental housing, which typically translates into higher demand for Section 8 vouchers. This high concentration of renters can provide a steady stream of tenants who qualify for the program, mitigating some of the vacancy risk.

In conclusion, the risks associated with tenant turnover, vacancy exposure, and deferred maintenance in ZIP 49657 are considerable but manageable with proper preparation and investment in property maintenance. The high renter share offers a counterbalance, ensuring a robust pool of potential tenants. Given these factors, the overall risk for a first-time Section 8 landlord in this ZIP code is moderate.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.