FY2027 Small Area FMR · Chelsea, MI
ZIP 48118 Fair Market Rent & Payment Standards
HUD's FY2027 Small Area Fair Market Rent for a two-bedroom home in ZIP code 48118 (Chelsea, MI) is $2,030 a month, up 3.6% from FY2026. That is 13% above the Ann Arbor, MI area-wide FMR of $1,804.
Payment standard range, 2 bedrooms
Housing agencies may set voucher payment standards anywhere from 90% to 110% of the FMR without asking HUD.
FY2027 FY2026
Where 48118 sits in the Ann Arbor, MI area
Of the 33 ZIP codes HUD lists for the area, 48118 has the 7th highest two-bedroom Small Area FMR. Ann Arbor, MI is not on HUD's list of mandatory Small Area FMR areas, so voucher payment standards here are normally based on the area-wide FMR of $1,804 for two bedrooms; an agency that opts in to Small Area FMRs would use $2,030 for this ZIP code instead.
ZIP code 48118 crosses more than one HUD area. HUD also lists it under Jackson, MI (same figures). The figure that applies depends on which side of the line the home is.
All unit sizes
| Unit | FY2027 SAFMR | Payment standard range | Area-wide FMR | FY2026 SAFMR |
|---|---|---|---|---|
| Studio | $1,640 | $1,476 – $1,804 | $1,458 | $1,620 |
| 1 bedroom | $1,690 | $1,521 – $1,859 | $1,503 | $1,640 |
| 2 bedrooms | $2,030 | $1,827 – $2,233 | $1,804 | $1,960 |
| 3 bedrooms | $2,440 | $2,196 – $2,684 | $2,164 | $2,350 |
| 4 bedrooms | $2,670 | $2,403 – $2,937 | $2,371 | $2,600 |
A household renting a two-bedroom home at the Small Area FMR of $2,030 needs about $81,200 a year to keep housing costs at 30% of income. The area median family income is $142,300 and the 80% low-income limit for four people is $106,800. ZIP code 48118 lies mainly in Washtenaw County. See the Ann Arbor, MI county page for the full income limits table and the household check.
Nearby ZIP codes
Questions
What is the Fair Market Rent for ZIP code 48118?
HUD's FY2027 Small Area Fair Market Rents for 48118 are $1,640 (studio), $1,690 (1 BR), $2,030 (2 BR), $2,440 (3 BR) and $2,670 (4 BR) a month.
What is the Section 8 payment standard in 48118?
Housing agencies set payment standards between 90% and 110% of the applicable FMR without HUD approval. For a two-bedroom unit in 48118 that range is $1,827 to $2,233 if the agency uses Small Area FMRs. Ask your housing agency for its actual payment standard.
Which income limits apply in 48118?
The FY2026 income limits of the Ann Arbor, MI area apply: median family income $142,300, low-income (80%) limit $106,800 for a family of four.