Location: Leelanau County, MI | Metro: Leelanau County, MI HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,310 |
| 1 Bedroom | $1,320 |
| 2 Bedrooms | $1,500 |
| 3 Bedrooms | $1,790 |
| 4 Bedrooms | $1,970 |
| 5 Bedrooms | $2,285 |
| 6 Bedrooms | $2,559 |
| 7 Bedrooms | $2,764 |
| 8 Bedrooms | $2,902 |
U.S. Census Bureau data (2024)
The classification of ZIP code 49674 hinges on a comparison between its Federal Market Rent (FMR) and its median home value, alongside an assessment of its rental market stability through key indicators such as renter population and median household income.
With a FMR of $1,590 for the fiscal year 2026, the rental income potential per unit is relatively high compared to the median home value of $986,549. This suggests a strong yield for investment properties, especially those targeted towards the rental market rather than being sold outright. The FMR represents the average fair market rent for a standard unit, which is significantly lower than the median home value, indicating that rental income can be a lucrative option for landlords in this area.
However, the stability axis paints a different picture. The data shows a 0.0% renter population, which implies that virtually all residents in ZIP 49674 own their homes. This low percentage of renters indicates a highly unstable rental market, as there is little demand for rental properties. Additionally, the lack of data for days on market (DOM) further underscores the difficulty in predicting rental turnover rates and the overall health of the rental market.
The median household income of $124,803 provides some insight into the economic stability of the area. High incomes typically correlate with stable employment and financial security, which can support higher rents. However, the absence of a significant rental population means that even if the income levels are robust, they do not translate into a reliable tenant base.
Given these factors, ZIP 49674 is not a high-yield/low-stability flip-style market. It also does not qualify as a steady-cashflow zone due to the near-absence of renters. Instead, it represents a niche market where rental investments might struggle to find tenants, despite the potential for high yields based on the disparity between FMR and home values. Landlords and small-portfolio investors should consider the challenges of attracting tenants in a predominantly owner-occupied neighborhood before making investment decisions.
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.