Michigan’s Most Expensive ZIP Codes – Supply Flatlines, But Rents Up Throughout State

Key takeaways:

• 48104 is the #1 most expensive ZIP code for renters in Michigan at an average of $2,021
• Grand Rapids’ 49504 is the ZIP code with the highest Y-o-Y rent growth rate at 9.12%
• Flint’s 48503 (#161) had the highest expansion rate, increasing stock by 34%
• Around 30% of Detroit renters are Baby Boomers, with Millennials making up half the renter population

Featuring a state-wide average rent of $939, Michigan stands below the national average rent, which hit $1,354 for the month of September, according to Yardi Matrix. In fact, only the 6 most expensive ZIP codes in the state posted rents above the national average in 2017. Its priciest ZIP is Ann Arbor’s 48104, where rents clocked in at $2,021.

Apartment supply flatlined in 2017 in the vast majority of Michigan—unsurprising, as the Detroit-Warren-Dearborn metro is considered one of the weakest markets for apartment deliveries in 2017, with a projected supply of just 1,615 new units for the current year. This makes Detroit the 4^th weakest apartment market among the nation’s top 50 metros. Moreover, Detroit also has the misfortune to feature the 2^nd worst apartment application approval rate, with 27.4% of applicants rejected, according to RentGrow. Comparatively, Detroit also has the highest rate of Baby Boomer renters, with about 30% of applicants falling into this category, while Millennials make up around 50%.

The interactive table below allows you to take a detailed look at Michigan’s top 50 most expensive ZIP codes for renters. Use the search box or click on the header of each column to sort results according to your preferences.

Top Most Expensive ZIP Codes in Michigan

At an average of $2,021, Ann Arbor’s 48104 is the #1 most expensive ZIP code for renters in Michigan. Located on the west side of Metro Detroit, Ann Arbor is home to the University of Michigan. ZIP code 48104 covers most of Downtown Ann Arbor as well as the Burns Park, Germantown, Oxbridge, Tuomy Hills and Huron Hills neighborhoods south of the Huron River and west of the local portion of US Route 23. The Washtenaw County ZIP boosted its apartment stock by 2.25% year-over-year, while rents ticked up 2.43% over the same period.

With an uptick of 3.16% in the average rent, West Bloomfield’s 48322 is the #2 most pricey ZIP code in Michigan. The average rent for 2017 hit $1,566—a $48 year-over-year expansion, while stock remained unchanged from the year-ago figure of 2,214 units. Covering the southern portion of West Bloomfield Township, 48322 includes options such as Aldingbrooke Apartments and Brandywine Apartments, where rents can near and even go over the $3,000 mark.

Detroit’s 48226 climbed from last year’s 5^th position to Michigan’s #3 most expensive ZIP code this year, with the average rent in 2017 expanding 7.47% Y-o-Y. Currently at $1,539, 48226 paired its impressive rent growth with new apartment deliveries. Totaling 3,003 units, 48226 registered a 9.24% year-over-year uptick in stock levels. The pricey ZIP code unsurprisingly covers Detroit’s Central Business District, including neighborhoods such as Foxtown, Greektown, Bricktown and the DTW Plaza.  Pricey rental options in 48226 include apartments at 35W, where rents can reach $2,200, or 1525 Broadway at $2,600/month.

48104 is the most expensive ZIP code in Michigan, with the average rent clocking in at $2,021.  Curious to see if other states’ priciest ZIPs can take Michigan on? Just move your cursor to another state boundary.

Methodology

• Data compilation, analysis, and mapping done by RentCafe using rent and construction data provided by Yardi Matrix, a RentCafe sister company.
• The average rent figures in this article were calculated from the actual rents charged in apartment buildings with at least 50 rental units, located in 125 U.S. markets, totaling approximately 15 million apartment units.
• ZIP codes with less than 200 rental units and less than 3 properties were excluded from the calculations.
• Rent pricies are for apartments only, no single-family homes or townhomes were included.