2023 Grand Rapids/Kent County HUD Fair Market Rent Update

HUD just came out with their new Fair Market Rent (FMR) that will take effect on October 1st. This is used to determine payment standards for many housing assistance programs. It is encouraging to see significant increases in response to the consistent rise in rent rates in the area. Rent rates have been steadily rising over the past few years due to several factors including:

  • People wanting more space or to relocate because they are now working from home caused a larger demand in some areas.
  • Soaring home prices left many unable to buy, so they needed a place to rent which increased demand.
  • Many landlords sold their rental properties because the market was high, leaving less units available. in the area.

The combination of these supply and demand changes contributed to rent rates increasing.

“Because rents have risen so quickly recently, voucher holders are increasingly unable to find units available to rent within HUD payment standards. The new FMR levels announced today will enable the voucher program to keep up with rent increases in the private market. These new FMRs will allow voucher holders to access and secure leases in more units so that they can benefit from the housing affordability and stability that vouchers provide.” – HUD PUBLISHES FY 2023 FAIR MARKET RENTS

The biggest rental hikes are for three- and four-bedroom units, and this is going to give more access to housing for everyone. As you can see from the chart below, it is a significant increase for 2023 in the Grand Rapids-Wyoming, MI area.

The biggest rental hikes are for three- and four-bedroom units

Keep in mind these numbers are the maximum they will pay, but not necessarily what they end up paying. Find more details on how they calculate base rate, adjustments for inflation, and more at FY 2023 Fair Market Rent Documentation System.

Looking for a property management company in Grand Rapids?

If you have questions about the rental property registration process or other property management questions, feel free to reach out to Jon at jon@simplepmgroup.com or (616) 329-6318.