Location: Wexford County, MI | Metro: Manistee County, MI
| Unit Size | Monthly FMR |
|---|---|
| Studio | $740 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,300 |
| 4 Bedrooms | $1,430 |
| 5 Bedrooms | $1,659 |
| 6 Bedrooms | $1,858 |
| 7 Bedrooms | $2,007 |
| 8 Bedrooms | $2,107 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 49689 in Wexford County, MI, reveals several key points for potential landlords and small-portfolio investors. Firstly, let's examine whether the rent math works. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $970, while the current market rent based on Census ACS data stands at $826. This indicates that the actual rental rates are below the FMR, suggesting a margin where landlords can potentially increase rents to align with government-set fair market values.
Secondly, the acquisition cost of properties in this ZIP code needs to be considered. With a median home value of $167,814, acquiring a property is relatively affordable. However, the lack of data on days on market (DOM) and the percentage of homes sold with price cuts makes it difficult to assess the current market conditions for selling homes at or near their listed price. This uncertainty should be factored into any investment decision regarding property acquisition.
Lastly, we must evaluate the tenant demand in ZIP 49689. The total population is 1,731, and only 7.5% of residents are renters. This low renter share suggests that there might not be a strong demand for rental properties in this area. Landlords would need to ensure they have a competitive offering to attract tenants in a market with limited rental activity.
In conclusion, ZIP 49689 presents an opportunity for landlords to potentially increase rental income to match the FMR of $970. Property acquisition is affordable with a median home value of $167,814, but caution is advised due to the incomplete data on market conditions for home sales. Tenant demand is relatively weak, with only 7.5% of the population renting. Therefore, landlords should focus on creating attractive rental offers to compete effectively in this market. Overall, the ZIP code offers a balanced scenario with potential for growth but requires careful consideration of the local rental dynamics.
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.