Posted 5 months ago

Deep Dive into Metro Detroit Ring Cities: Oak Park

Source: Google Maps

Every day, out-of-state investors are drawn to Metro Detroit’s rental market

But often, they don’t know where to start.

That’s why we created this Deep Dive series—to simplify the search and spotlight the area’s 185 cities and Detroit’s 290 neighborhoods, one zip code at a time.

In this installment, we’re exploring Oak Park, Michigan—an inner-ring suburb of Detroit that’s a favorite among rental investors.

Why Oak Park?

Affordable home prices, strong rental demand, and reliable tenants make Oak Park a standout market. Watch our video tour to see why:

With over 30 years of experience living and investing here, we’ve gathered key insights on Oak Park’s:

Housing market
Tenant demographics
Livability
Market trends

So let’s dive in and uncover why this Detroit suburb is a top choice for investors.

Oak Park at a Glance

Oak Park, one of Detroit’s “Ring Cities” (suburbs bordering the city), offers a winning combination of affordability, convenience, and growth potential.

Close to hotspots like Ferndale and just minutes from four major freeways, it’s a magnet for tenants seeking quality living at a reasonable price.

Properties here move fast—selling in just 12 days on average—and rents have surged in the past year, reflecting the area’s growing demand.

Housing Market Snapshot

While Detroit is known for its sub-$100k investment properties, suburbs like Oak Park command higher prices:

Average Rent: $1,700/month
Average Sale Price: $228,998 (up 1.2% from last year)
Rent-to-Price Ratio: 0.74%

Though slightly below the 1% rule, there are still opportunities to find properties that meet this benchmark—for now.

Market Trends

Oak Park’s housing market has seen remarkable growth, with home values rising over 50% since 2018.

Source: Zillow

Want more info on specific investment opportunities in Oak Park, Michigan? for a free consultation.

Rent Trends

As home prices in Oak Park have climbed, so have rents. According to Zillow data, rents are up $75 year-over-year.

This is a trend: since 2018, both home values and rental rates have surged by more than 50%.

This data paints a clear picture: the window of opportunity to enter this market is closing. But if you know where to look, there are still solid investments to be found.

Don’t worry–we’ll give you our tips for exactly which streets to focus on below.

Understanding the Housing Stock

Oak Park’s housing is dominated by single-family homes (72.8%), with some apartment complexes (16.9%) and townhomes (6.2%). Our focus here is on single-family homes, as those are the most sought-after by renters in the area.

A key geographic insight for investors is the difference between the east and west sides of Coolidge Highway.

Properties east of the highway, closer to the highly desirable Ferndale area, typically command higher prices. In contrast, homes near Eight Mile and closer to Detroit are generally more affordable.

A look at current Zillow listings highlights an interesting market dynamic:

Of the 67 houses for sale and 97 available rentals, there’s a stark difference in terms of housing type.

While the rental market appears saturated with condos and apartments, the demand for single-family rental homes remains strong.

This mismatch spells opportunity for buy-and-hold investors who can acquire and offer the right type of property to a hungry tenant pool.

Now let's look at what investing here really looks like.

Example Investment Properties

Let's look at a real-world example to see what kind of deals are available.

The Fixer-Upper

This 1950s brick ranch is a classic example of the housing stock you'll find in Oak Park:

At nearly 1,600 sq. ft., it’s a decent size but requires a full-scale modernization to meet tenant expectations. Its location next to a high school would likely make it very popular with family applicants, too.

Assuming you could negotiate the price down by about $10k, here’s how the numbers could work out:

Purchase Price: $140,000
Repair Costs: $30,000
After-Repair Value: $170,000
Rent Zestimate: $1,843
Rent-to-Price (RTP) Ratio: 1.08%

See?

We told you it’s still possible to find cash-flowing properties that hit the 1% rule in Oak Park.

This is a perfect example of why you shouldn't let an area's average RTP ratio discourage you right away. The right property can still deliver solid returns.

The Turnkey Rental

If you'd rather avoid renovations, especially if you're investing from out-of-state, a turnkey property offers immediate income potential. Here’s an example of one in Oak Park:

And the financials:

Purchase Price: $149,900
Repair Costs: $0
After-Repair Value: $149,900
Rent Zestimate: $1,496
Rent-to-Price (RTP) Ratio: 1.00%

Both of these examples are among the most affordable properties currently available in Oak Park, where most homes are selling in the low $200,000s.

It just goes to show that if you find the right deal, positive cash flow is certainly achievable here.

Hopefully, this provides a clearer picture of what's possible when investing in Oak Park.

Area and Tenant Quality

Now, let's move from the numbers to the more qualitative factors before we give Oak Park its final score as a rental investment market.

The rising demand from both homebuyers and renters in Oak Park isn't a surprise. It’s one of Metro Detroit’s more desirable middle-class suburbs, offering a blend of well-kept homes, ample amenities, and proximity to the popular dining and shopping in Ferndale.

Let's break down why quality tenants are drawn to this area.

Housing Stock Insights

A high homeownership rate of 59% means streets are generally well-maintained and inviting. Most properties are cared for by their owners, which is a positive sign for any investor.

When looking at the age of the housing stock, a clear pattern emerges:

As you can see, almost half of all homes were built in the 1950s.

This means that when you're looking at a fixer-upper, you should anticipate age-related issues like outdated plumbing and electrical systems. A thorough inspection is non-negotiable to get accurate repair quotes before you make an offer.

That said, since most homes are owner-occupied, they have often been well-maintained over the years, meaning major exterior work is less common.

Tenant Stock Analysis

Oak Park has about 29,402 residents in a fairly average population density for the Metro area. The city attracts a diverse mix of families and young professionals, drawn by the easy access to nearby amenities and a vibrant community atmosphere.

Here’s a breakdown of the renters you can expect to find:

While many tenants are individuals or couples without children, the area remains popular with families. The average rent of $1,700/month is significantly more affordable than the national average. However, landlords must be diligent with financial screening.

Average Monthly Household Income: $5,490
Average Monthly Rent: $1,700
Income-to-Rent Ratio: 3.23x

This ratio is just above the standard "3x rent" rule of thumb. It’s a clear signal that you need a robust screening process that goes beyond just looking at pay stubs to verify financial stability.

Honestly, though? For the Detroit area, Oak Park offers one of the strongest tenant pools you can find without moving into much pricier Class A suburbs like Ferndale or Birmingham.

The majority of tenants either live alone or don’t have children, although it is still a popular area with families. And with average rents only $1,700 a month, it’s much more affordable than the US average.

Economic Development

There’s a lot happening in Oak Park in 2025, with several key city projects poised to boost the area's appeal even further, like:

Major Community Upgrades: A $7.5 million investment is transforming Shepherd Park with a new destination playground, upgraded pavilions, modern restrooms, and a warming kitchen.
Elevate Oak Park Project: The city is creating a new central hub with a performing arts area, a year-round farmers' market, and dedicated event spaces. This aims to foster a community-focused environment, making it more attractive to tenants.
New Community Center and Pool: A modern facility will replace the outdated 1958 community center, offering residents enhanced amenities that improve quality of life.

These improvements are a strong signal of future growth and will almost certainly increase property values and rental demand.

Crime and Safety

Overall, crime rates in Oak Park are at or below national averages. When Niche polled residents, the majority described the area as "pretty safe."

This sentiment is echoed in reviews from locals. One lifelong resident noted, "My neighbors were always friendly and I felt safe growing up there. There were many shops and things to do in the area..."

While safety can be a legitimate concern in parts of Metro Detroit, you can be confident that crime is not a major issue for investors or tenants in Oak Park.

Investment Report Card

So, how does Oak Park stack up?

We use a standardized Report Card to evaluate each neighborhood we cover.

As you can see, Oak Park delivers a mix of benefits for buy-and-hold investors:

Solid Tenant Demand: The area is consistently popular with tenants seeking a great quality of life without the high costs of nearby Ferndale.
Positive Cash Flow Potential: With the right research, finding properties that meet the 1% Rule is relatively easy.
Quality Housing Stock: The well-maintained brick ranches are ideal starter homes for a rental portfolio.

This combination means prices will likely continue to rise, along with competition from other landlords.

While we rate this a hot investment area for now, we expect it may become prohibitively expensive for new investors within a few years.

Our advice? Buy now.

Insider Tips on Where to Invest

As promised, here are our tips on where to focus your search.

Streets to Focus On:

Near Oak Park High School & Francis Scott Key Elementary: The streets around these schools, like Rosemary Blvd and Parklawn, feature green, tree-lined lots with classic brick ranch homes perfect for families.
Majestic Street & Surrounding Blocks: Heading east from the high school, you'll find similarly idyllic neighborhoods, though prices tend to climb. If you can find a fix-and-flip opportunity here, it's worth pursuing.

Frankly, it's hard to go wrong in most of Oak Park.

The main area to be cautious of is north of I-696, where high home values make it difficult for rental property numbers to work. Otherwise, it’s just a matter of finding a street that fits your budget and a property that cash flows.

This is why Oak Park is at the top of our list of "Ring Cities" for clients looking to expand their rental portfolios.

Stay tuned for our next Deep Dive. If you have a specific area you'd like us to cover, let us know in the comments.

Want to explore available investment properties in Oak Park? for a current list.