ROIStack
Market Intelligence

Detroit, MI

Updated quarterly · Data sourced from Zillow ZHVI/ZORI, Census ACS, and FHFA. · Michigan overview

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Home Value

$220k-1.1%

Median Rent

$1,410+1.1%

Per month average

Gross Yield

7.69%

Annual rent / value

Rent / Price

0.641%

1% rule benchmark

HH Income

$68,000

Median household

Owner-Occ

68.0%

Renter-Occ

32.0%

Tenant demand share

Population

4.4M

Metro area census

Market Analysis

The Detroit, MI real estate market currently sits at a median home value of $220k with median rents around $1,410/month, producing a gross yield of 7.69%. That puts Detroit in the category of solid gross yield, right at the 7% LTR sweet spot. Over the past year, home values are down 1.1%, while rents rose 1.1%, the gap between those two trends is what determines whether yield compresses or expands over time for buy-and-hold investors in Michigan. Detroit is an owner-occupier market (68% owner-occupied) where investor competition is generally lighter, with median household income of $68,000 setting the affordability ceiling on future rent growth.

Frequently asked questions

What is the average rent in Detroit, MI?
As of late 2025, the median rent in Detroit is approximately $1,410 per month, with rent growth of 1.1% year over year.
Is Detroit a good market for rental property investing?
Detroit produces a gross rental yield of about 7.69%. That is above the 7% threshold most long-term rental investors target, making it an attractive cash-flow market. Run your specific numbers in a calculator before committing capital.
What is the median home price in Detroit?
The median home value in Detroit, MI is approximately $220,000, down 1.1% from a year ago.
How have home prices changed in Detroit over the past year?
Home values in Detroit have moved -1.1% year over year, while rents have changed by 1.1%. This price-to-rent gap is the single biggest driver of long-term rental investor returns in the Michigan market.
What is the rent-to-price ratio in Detroit?
Detroit has a rent-to-price ratio of 0.641%, meaning monthly rent is about 0.641% of the home's price. The "1% rule" used by buy-and-hold investors looks for 1.0%+; this market falls short of that bar, which is typical for most large US metros today.

Nearby Michigan markets

Grand Rapids, MI

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