Location: Cheboygan County, MI | Metro: Cheboygan 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 | $720 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,210 |
| 4 Bedrooms | $1,380 |
| 5 Bedrooms | $1,601 |
| 6 Bedrooms | $1,793 |
| 7 Bedrooms | $1,936 |
| 8 Bedrooms | $2,033 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,210 | $263,453 | 0.46% | F |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors targeting ZIP code 49799 in Cheboygan County, MI metro, reveals a favorable environment for rental properties. The HUD Fair Market Rent (FMR) for the area is set at $970 per month for fiscal year 2026, which is significantly higher than the market rent reported by the Census ACS at $675 per month. This disparity indicates that voucher tenants will cashflow at FMR levels, providing a stable income source for landlords and small-portfolio investors.
To derive the rent-to-price ratio, we use the median home value of $194,521. Given an average monthly rent of $675, the annual rent would be approximately $8,100. This results in a rent-to-price ratio of about 4.17%, which is relatively low compared to typical investment benchmarks. A low rent-to-price ratio suggests that while rental yields might be modest, the area could offer strong appreciation potential for property values over time.
The median Days on Market (DOM) and percentage of homes that required price cuts before selling are not available for ZIP 49799. However, in areas where such metrics are relevant, they can provide insights into the local real estate market's liquidity and competition. For instance, a high DOM might indicate slower sales, while a significant share of homes requiring price cuts could signal a buyer's market. In the absence of these data points, we focus on the existing information to guide investment decisions.
The strongest investor angle in ZIP 49799 is appreciation. With the current HUD FMR well above market rents and a low rent-to-price ratio, there is potential for property values to rise, making it an attractive location for long-term investments aimed at capital growth.
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.