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 | $910 |
| 1 Bedroom | $1,020 |
| 2 Bedrooms | $1,230 |
| 3 Bedrooms | $1,580 |
| 4 Bedrooms | $1,860 |
| 5 Bedrooms | $2,158 |
| 6 Bedrooms | $2,417 |
| 7 Bedrooms | $2,610 |
| 8 Bedrooms | $2,741 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,230 | $224,419 | 0.55% | F |
| 3BR | $1,580 | $240,678 | 0.66% | D |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 70113 in New Orleans, Louisiana, for fiscal year 2024 is set at $1120. This figure represents the maximum amount that the U.S. Department of Housing and Urban Development (HUD) will pay to cover a tenant's portion of the rent through the Section 8 program. It is not the actual rent you can charge your tenants.
In comparison, the median monthly rent for ZIP 70113 is currently $1561, according to the Zillow Observed Rent Index (ZORI). This means that the FMR is lower than the typical market rent, which could affect the profitability of your investment if you solely rely on Section 8 payments.
The 75.4% renter share indicates a high demand for rental properties in this area. With such a significant portion of the population renting, there is a strong likelihood that your property will be occupied, which can help ensure steady income.
If you're looking to acquire a new rental property, the average home value in ZIP 70113 is around $234,943. This gives you an idea of the acquisition cost you might face when purchasing a property for your Section 8 rental portfolio.
Before making your decision to enter the Section 8 market, it is crucial to verify that the property meets HUD’s Housing Quality Standards (HQS). These standards ensure that the property is safe, decent, and sanitary for the tenants. Failure to meet these standards can result in disqualification from the program.
In summary, while the FMR of $1120 is less than the local median rent of $1561, the high renter share suggests a robust demand for rentals. The average home price of $234,943 provides insight into potential acquisition costs. Ensure the property meets HQS to avoid any issues with eligibility.
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.