Baraga County

Baraga County sits at a median home price of $174,178 and posted 12.05% year-over-year appreciation, which is the headline number here. The affordability index of 93 confirms prices remain accessible relative to income, and the overall score of 77 out of 100 places Baraga in the 96th national percentile across 1,000 counties ranked, with a state rank of 5 out of 83 Michigan counties. What the data does not provide is a median rent figure or gross rent multiplier for Baraga itself, which means cap rate and cash-on-cash return are not calculable from the available inputs. Investors should treat this market as appreciation-oriented rather than a yield play until local rent comps are independently verified.

The appreciation score of 85 is the dominant signal here, and it points clearly toward a buy-and-hold investor whose thesis is price growth rather than monthly spread. The 12.05% one-year price gain is material on a $174,178 asset, representing roughly $20,989 in equity accrued in twelve months. The affordability index of 93 suggests the entry point is still reasonable relative to local incomes, which is a positive indicator that appreciation has not yet priced out the local buyer pool. A cash-flow buyer, however, should approach with caution: without rent data for Baraga, the cash flow score registers at zero, meaning the model cannot confirm positive carry. A value-add operator looking to force equity through renovation may find the price point attractive, but the small population of 8,245 limits the pool of qualified tenants and end buyers, which is a real constraint on exit optionality.

The stability score of 50 deserves attention. At a population of 8,245, Baraga is a micro market, and that size introduces concentration risk. A single employer contraction or a demographic shift can move vacancy rates meaningfully in a county this small. No economic anchor data was provided, so employer-specific demand drivers cannot be assessed here, but any investor underwriting this market should independently confirm the employment base before committing capital. Thin tenant demand can be masked during periods of price appreciation and reveal itself sharply when credit conditions tighten or out-migration accelerates.

The carry cost picture is a real underwriting consideration. Michigan's state-average effective property tax rate of 1.54% is high enough to deserve its own line on your underwrite. On a $174,178 purchase, that translates to $2,682 in annual property taxes, and combined with $453 in annual insurance, the monthly tax-plus-insurance burden runs $261. That figure erodes cash flow before debt service, management, maintenance, or capital expenditure reserves are factored in. It is worth emphasizing that the 1.54% is a state-average estimate sourced from Tax Foundation 2024 data, and actual county and township millage rates in Baraga may differ, possibly higher given Michigan's Upper Peninsula assessment practices. Confirm the specific parcel-level rate before closing.

Comparing Baraga to its neighbors sharpens the picture. Chippewa County scores 78 overall at a $202,561 median, meaning a buyer pays roughly $28,000 more for a marginally better overall score. Crawford County scores 76 at $179,615, nearly identical pricing to Baraga but a lower overall score. Iron County at $138,682 and a score of 75 is the cheapest entry in this peer group, though the lower score reflects weaker metrics. The two neighbors where rent data is available are instructive: Wayne County shows a rent-to-price ratio of 9.59% at a $172,107 median and $1,375 monthly rent, and Bay County shows 7.84% at a $175,060 median and $1,143 monthly rent. Both ratios suggest meaningfully better cash-flow potential than what Baraga's data can currently support. If yield is the priority, Wayne County's 9.59% gross rent ratio is the strongest signal in this peer group, and that is where a cash-flow buyer should look first. Baraga makes sense over its neighbors specifically when the investor's thesis is price appreciation in an affordable Upper Peninsula market with limited downside on entry price, and when they can independently document tenant demand sufficient to maintain occupancy in a county with fewer than 8,300 residents.