Location: St. James Parish, LA | Metro: St. James Parish, LA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $760 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,180 |
| 4 Bedrooms | $1,440 |
| 5 Bedrooms | $1,670 |
| 6 Bedrooms | $1,870 |
| 7 Bedrooms | $2,020 |
| 8 Bedrooms | $2,121 |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 70086 are straightforward. The SAFMR (Standard Amount for Fair Market Rent) for a two-bedroom apartment is set at $930 per month for fiscal year 2024. This figure is specifically tailored for this ZIP code, reflecting the unique housing market conditions here.
Local market rent, according to Census ACS data, averages $616 for a similar two-bedroom unit. This means that the SAFMR is significantly higher than the average market rent, which can be advantageous for landlords participating in the program.
A Section 8 voucher works by covering the difference between what a tenant can afford and the SAFMR. Tenants typically contribute 30% of their adjusted income towards rent. For simplicity, let's assume a tenant's adjusted monthly income is $1,000. In this case, the tenant would pay $300 towards rent.
The voucher itself will cover the remaining amount up to the SAFMR. Therefore, for a two-bedroom apartment, the voucher would pay $630 ($930 - $300). However, it's important to note that the voucher payment also includes an allowance for utilities. These allowances vary but are typically around $100-$200 per month, depending on the type of utilities and the number of bedrooms.
If we factor in a utility allowance of $150, the total reimbursement from the voucher would be $780 ($630 for rent + $150 for utilities). This leaves a surplus for the landlord when compared to the local market rent of $616. In this scenario, the landlord would receive $164 more than the average market rent for a two-bedroom unit in ZIP 70086.
It's crucial for landlords to understand these calculations to make informed decisions about participating in the Section 8 program. The key takeaway is that while the tenant pays $300, the voucher pays the balance up to $930, plus any applicable utility allowance, resulting in a net positive for landlords in this ZIP code.
In summary, for a two-bedroom apartment in ZIP 70086, the typical voucher reimbursement exceeds the local market rent by $164, providing a financial benefit to landlords who choose to participate in the Section 8 program.
Data Sources: FMR data from HUD (2027). 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.