Real Estate Investing in Dearborn, Michigan (48126)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 48126 (Dearborn, MI)? Our answer, based on the numbers below.
Mixed — home prices are stretched relative to local incomes. Run the math on your specific situation.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
- Elevated vacancy: 9.0% vacancy may signal weakening demand.
- Elevated poverty: 29.1% poverty rate — can affect rent collection.
What’s happening in Dearborn, MI (48126)?
Click any question — our AI will research it live from the web and show you sources.
Market Analysis: 48126 Dearborn
From a cash-flow lens, ZIP 48126 has challenges — vacancy pressure, softer price growth, and tenant stability concerns sit alongside the $241K median. It rewards specialists, not generalists.
Looking more closely, the numbers look inviting — $241K purchase price, 0.0% nominal cap — the work to hit that pro forma in 48126 is substantial and deserves full respect.
The gap between 48126 and stronger Dearborn ZIPs is not closing quickly. Investors should weight long-horizon assumptions accordingly.
Stepping back, 52,075 residents fill the ZIP, renter turnover runs higher than neighboring postal codes and delinquency risk is a real line item rather than a theoretical one.
Strategy in 48126 is an operator game, not a passive one. Looking more closely, entry prices of $241K are inviting, the management lift is real and non-optional.
Here's what matters if you're considering buying a home in Dearborn:
Property Strategy for 48126
Which property type performs best in this market?
📊 Compare All Property Types →
| Type | Median Value | Est. Rent | Cap Rate | 5yr CAGR | $/Bedroom |
|---|---|---|---|---|---|
| 2BR | $170,982 | $1,380 | 5.8% | +9.4% | $85,491 |
| 3BR | $223,310 | $1,690 | 5.4% | +8.6% | $74,437 |
| 4BR | $261,225 | $1,830 | 5.0% | +8.0% | $65,306 |
| 5BR | $275,082 | — | — | +8.1% | $55,016 |
Market Trends
Home Value History (with trend line)
Rent History (with trend line)
📊 How Does 48126 Compare?
| Metric | 48126 | Dearborn | Detroit-Warren-Dearborn, MI | Michigan |
|---|---|---|---|---|
| Home Value | $241,129 | $264,150 | N/A | $253,279 |
| 5-Year CAGR | 6.7% | 6.6% | N/A | 6.8% |
| Avg Rent | $1,758 | $1,793 | N/A | - |
| Cap Rate | 5.7% | 5.3% | - | - |
Similar ZIPs Within 25 Miles
Compare other nearby markets to see if a neighbor offers a better fit.
Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 48126 (Dearborn, MI). Anonymous, moderated, never written by AI.
Do you own or manage rentals in ZIP 48126 (Dearborn, MI)?
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Property managers serving Wayne County
Manage rentals here? List your business →Metro Detroit Property Management manages and maintains properties with high standards, committed to the success of real estate investments in the Metro Detroit area. summary from their website
Michigan Property Management Solutions offers homes for rent in Michigan, near Macomb Twp., Fraser, Utica, Clinton Valley, and Detroit. summary from their website
Premier Property Services offers real estate services in Detroit, Fort Lauderdale, and Grosse Pointe Woods. summary from their website
Listings are shown for convenience — Repit doesn’t endorse or vet these companies. Ratings shown come only from email-verified visitors.
📊 Market Snapshot
| Home Value | $241,129 |
| Monthly Rent | $1,758 |
| Price-to-Rent | 11.4:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 8.8% |
| Cap Rate | 5.7% |
| 5-Year IRR | 12.3% |
📈 Home Appreciation
| 1-Year | +8.0% ▲ |
| 3-Year CAGR | +7.7% ▲ |
| 5-Year CAGR | +6.7% ▲ |
| 10-Year CAGR | +8.6% ▲ |
🏠 Rent Trends
| 1-Year | +1.9% ▲ |
| 3-Year CAGR | +3.9% ▲ |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (5.7%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.
Run an IRR Analysis →⚠️ Risk Signals
Composite view of factors that can impact a ZIP's stability and your downside risk.
Demographics in 48126
Population: 52,075
Crime & Safety
Crime & Safety Data Coming Soon
We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.
Expected: Q1 2025
🎓 Schools in 48126
Schools in This ZIP Code
About Repit School Scores
Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.
We evaluate schools based on factors that research shows actually impact educational outcomes:
- Class Size — Smaller classes mean more individual attention
- School Funding — Resources available for programs, staff, and facilities
- Community Factors — Neighborhood characteristics that influence student success
- School Environment — Size, type, and structure
Scores are updated annually using federal education data.
🎓 Nearby Colleges & Universities
Investor Insight: With 6,511 students living off-campus nearby, this area has strong rental demand from the college population.
Frequently Asked Questions
What is the typical rental rate in Dearborn, MI?
Rent in Dearborn, MI is around $1,758/mo. The resulting rent-to-value relationship with $241K pricing is reasonable for most investor models.
Can I house hack in Dearborn, MI?
The house hack math a challenging in Dearborn, MI. Owner-occupant buyers benefit from the $1,758/mo rents and $241K home values.
Is Dearborn, MI a smart market for rental property?
Yes - Dearborn, MI a 3.0/5 investability score. With $241K home prices against $1,758/mo monthly rent, the market delivers a reasonable entry point for new investors.
Where do home prices stand in Dearborn, MI?
Typical homes in Dearborn, MI go for around $241K. The 5-year CAGR of 0.0% even-keeled price movement.
What strategy should investors use in Dearborn, MI?
Most investors in Dearborn, MI run a careful cash-flow rentals with hands-on management strategy. It aligns with the 3.0/5 investability profile and the market fundamentals.
You know 48126 now. You don’t know where it ranks.
This page stays free — all of it. What one page can’t tell you is how 48126 compares to every other market. Investor ($19/mo) screens every U.S. ZIP by cap rate, the 1% rule, vacancy and landlord climate, and exports your shortlist.
How 48126 ranks in Detroit-Warren-Dearborn, MI
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