Location: New Orleans-Metairie, LA | Metro: New Orleans-Metairie, LA HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,400 |
| 1 Bedroom | $1,570 |
| 2 Bedrooms | $1,890 |
| 3 Bedrooms | $2,430 |
| 4 Bedrooms | $2,850 |
| 5 Bedrooms | $3,306 |
| 6 Bedrooms | $3,703 |
| 7 Bedrooms | $3,999 |
| 8 Bedrooms | $4,199 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,430 | $263,907 | 0.92% | C |
| 4BR | $2,850 | $373,564 | 0.76% | D |
U.S. Census Bureau data (2024)
To classify ZIP code 70070, we must analyze its yield and stability based on the provided figures. The Fair Market Rent (FMR) for ZIP 70070 in fiscal year 2024 is set at $1,610. This figure represents the maximum monthly rent a landlord can charge to Section 8 participants. In contrast, the market rent stands at $1,713. Given that the home value in this area is $283,188, the rental income potential appears modest relative to property value.
The stability of the market can be gauged by several factors. First, the percentage of renters is 13.0%, which is relatively low. This suggests that the majority of residents prefer homeownership over renting, potentially leading to less demand for rental properties. Additionally, the median household income in ZIP 70070 is $76,539. While this income level is above the poverty line, it does not indicate high financial stability among renters. The lack of data on days on market (DOM) further complicates the assessment of stability.
Based on these figures, ZIP 70070 leans towards being a moderate-stability, moderate-yield market. It is not a high-yield/low-stability flip-style market because the FMR and market rent are closely aligned, and there is no indication of rapid turnover or speculative investment opportunities. However, it also does not qualify as a steady-cashflow zone due to the low percentage of renters and the absence of strong indicators of financial stability.
A key driver of this classification is the low renter population, which limits the potential for high rental yields. The close alignment between FMR and market rent suggests a balanced market where landlords can expect reasonable returns without significant risk. The median income figure provides some assurance regarding the ability of tenants to pay rent, but it is not sufficiently high to ensure robust financial stability.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.