Location: Mackinac County, MI | Metro: Mackinac County, MI
| Unit Size | Monthly FMR |
|---|---|
| Studio | $820 |
| 1 Bedroom | $920 |
| 2 Bedrooms | $1,120 |
| 3 Bedrooms | $1,410 |
| 4 Bedrooms | $1,570 |
| 5 Bedrooms | $1,821 |
| 6 Bedrooms | $2,040 |
| 7 Bedrooms | $2,203 |
| 8 Bedrooms | $2,313 |
U.S. Census Bureau data (2024)
The Section 8 housing market in ZIP code 49838, located in Mackinac County, MI metro, presents a unique set of opportunities and challenges for landlords and small-portfolio investors. The HUD Fair Market Rent (FMR) for the area is set at $1,020 per month for fiscal year 2026. However, the lack of available market rent data makes it difficult to directly compare the FMR to actual rental rates.
To determine the cash flow potential of voucher tenants at the FMR, we must consider the median home value in the area, which stands at $197,529. This figure can be used to derive the rent-to-price ratio, offering insight into the financial viability of renting versus buying. In ZIP 49838, the median home value suggests that the rent-to-price ratio is relatively low, indicating that voucher tenants at the FMR level will likely provide marginal cash flow at best. Investors would need to focus on premium units or those with lower operating costs to ensure positive cash flow.
The absence of day median Days on Market (DOM) and the percentage of price cuts in the area means that the typical time it takes to sell a property and the frequency of price reductions cannot be assessed. Nonetheless, these metrics are crucial for understanding the local real estate market's liquidity and competitiveness. Given the limited data, it is prudent for investors to consider the stability and long-term appreciation potential of properties in this ZIP code rather than short-term cash flow.
The strongest angle for investors in ZIP 49838 is likely appreciation. With a median home value that reflects a relatively affordable market, there is potential for property values to rise as demand increases, particularly for those interested in long-term investment strategies.
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.