FMR stands for Fair Market Rent and is an established average rent for the local area. Because it covers a wide expanse (three counties locally) this cannot be confused with rent reasonableness for a specific community. Generally speaking, most numbers are based on the HUD FMR standards listed below but different grants use different FMR years for reference. There are often HUD FMR and HUD MSHDA. It is often important to check the funding source when a person is involved with a specific program (i.e. Section 8, local subsidies, or leasing assistance) to determine what number to provide.
The FMR is needed when getting financial assistance from a housing commission or other grants. These numbers represent the maximum allowed and considers number of bedrooms for the unit. Number of bedrooms is typically based on two heartbeats per room, but can often be calculated with extenuating circumstances such as disability, gender and generations that comprise the specific family makeup.
2018 HUD Fair Market Rate for Oakland, Macomb, Wayne
|Efficiency||One Bedroom||Two Bedroom||Three Bedroom||Four Bedroom|
Please note that while MSHDA and HUD Guidelines for FMR are the same often granters require that the FMR reference be from when the grant was approved rather than when it was implemented. Updated Information for FMR’s from HUD can be found and searched by local community for 2018 at: https://www.huduser.gov/portal/datasets/fmr.html#2018
Please note that FMRS go into effect every October in accordance with Fiscal Year. It is also important to mention that there are other guidelines for programs that are sometimes used, depending on funding. This includes a concept of “rent reasonableness” which will often examine housing costs by location, space, and other features such as the year built and amenities. MSHDA will sometimes use payment standards for some programs.
Updated information for MSHDA is not yet available but does follow HUD standards.