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Michigan DSCR Loans for Growing Your Rental Portfolio

With affordable property values, strong rental yields and steady demand across various markets, Michigan is quickly becoming a favorite spot for first-time and seasoned SFR investors to break in without overextending their capital. From college towns to job hubs, the state offers an ideal mix of markets to fulfill short- and long-term rental strategies.

Markets like Ann Arbor, Kalamazoo and Lansing have all seen solid growth in average SFR rents. Ann Arbor led with a 6.4% YoY increase, pushing average rent to $2,862 per month. Kalamazoo followed with a 6.1% rise to $1,677, while Lansing saw a 4.8% bump, bringing rents to $1,404 monthly1.

With a 14.6% gross yield, the third highest on their list, this market combines affordability with high earning potential. Investors can expect to recoup costs in under seven years, making it a perfect market for cash flow2.

Visio Lending is Michigan’s premier DSCR lender. SFR investors turn to us for fast, dependable and flexible financing solutions to help them scale their rental portfolios in this growing market.

Why Michigan is Catching Investors’ Attention

Michigan is proving to be one of the best bang-for-your-buck states in real estate. Ann Arbor, Kalamazoo, and Lansing are all seeing rents climb steadily, giving investors dependable income. On top of that, Michigan’s strong gross yields mean you can recoup your costs faster than in many other markets. Visio Lending’s DSCR loans make it easy to get financing based on your property’s income, so you can grow your portfolio without unnecessary hurdles.

Note: Visio does not finance properties in Detroit and Flint.

Sources:

1: Rentometer
2: AirDNA – Best Places to Invest in Short-Term Rentals in 2025