Section 8 Fair Market Rent (FMR) for ZIP 70119 - 2027
Location: New Orleans-Metairie, LA | Metro: New Orleans-Metairie, LA HUD Metro FMR Area
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $1,300 |
| 1 Bedroom | $1,450 |
| 2 Bedrooms | $1,750 |
| 3 Bedrooms | $2,250 |
| 4 Bedrooms | $2,640 |
| 5 Bedrooms | $3,062 |
| 6 Bedrooms | $3,429 |
| 7 Bedrooms | $3,703 |
| 8 Bedrooms | $3,888 |
Demographics & Housing Statistics
U.S. Census Bureau data (2024)
Median Household Income
$53,143
Housing Authorities Serving ZIP 70119
To determine if a landlord should buy in ZIP code 70119 (New Orleans, LA) for Section 8 purposes, follow this decision tree:
- Does FMR $1,500 (ZIP FY 2024) clear debt service on a $289,545 property?
- Yes: The Fair Market Rent (FMR) of $1,500 is sufficient to cover the debt service on a property valued at $289,545. This means that the rental income can meet the mortgage payments and other financial obligations associated with owning the property.
- No: The FMR of $1,500 does not clear the debt service on a property worth $289,545. This would make it financially unfeasible to own a property under these conditions solely relying on Section 8 rental income.
- Is market rent $1,617 (ZORI) above, at, or below FMR?
- Above: The Zillow Observed Rental Index (ZORI) of $1,617 indicates that the market rent is higher than the FMR. This suggests that there might be opportunities to rent out properties at market rates when not occupied by Section 8 tenants, thus potentially increasing profitability.
- At: The ZORI of $1,617 is close to the FMR of $1,500. This implies that the market rent aligns closely with the Section 8 rates, making it less likely to find significant additional profit outside of Section 8.
- Below: The ZORI of $1,617 being below the FMR of $1,500 is not possible given the numbers provided; however, if the market rent were indeed lower, it would indicate that the property might be overpriced relative to the rental market.
- Are 62.8% renters + 112-day DOM enough demand?
- It Depends: With 62.8% of residents being renters and an average Days on Market (DOM) of 112 days, the demand for rental properties is present but not overwhelming. A high DOM suggests that it might take longer to find a tenant, whether they are a Section 8 participant or a regular renter. However, the relatively high percentage of renters indicates a steady need for housing, which could still make the area viable for Section 8 investments.
If the FMR clears debt service and the market rent is above the FMR, then the answer is yes, a landlord should consider buying in ZIP 70119 for Section 8. If the FMR does not clear debt service, the answer is no. If the market rent is at or below FMR and the demand is moderate, the decision hinges on the landlord's risk tolerance and investment strategy.
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.