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 | $1,010 |
| 1 Bedroom | $1,130 |
| 2 Bedrooms | $1,360 |
| 3 Bedrooms | $1,750 |
| 4 Bedrooms | $2,050 |
| 5 Bedrooms | $2,378 |
| 6 Bedrooms | $2,663 |
| 7 Bedrooms | $2,876 |
| 8 Bedrooms | $3,020 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,360 | $230,828 | 0.59% | F |
| 3BR | $1,750 | $289,839 | 0.6% | D |
| 4BR | $2,050 | $360,457 | 0.57% | F |
U.S. Census Bureau data (2024)
The potential pitfalls for a Section 8 landlord in ZIP 70121, Jefferson, LA, include significant tenant turnover. The market rent for the area stands at $1,683, while the Fair Market Rent (FMR) for FY 2024 is set at $1,190. This discrepancy suggests that tenants might struggle to afford the higher market rents without assistance, leading to frequent moves and higher vacancy rates. Additionally, the vacancy exposure is heightened due to an unknown number of days on market (DOM), which indicates a lack of reliable data on how quickly properties can be filled.
The deferred maintenance exposure is another critical risk factor. With a typical home value of $251,223 and a median income of $59,562, homeowners in this area might find it challenging to keep up with necessary repairs and improvements. This could result in higher maintenance costs for landlords, especially when dealing with tenants who may not prioritize property upkeep.
However, these risks must be weighed against the substantial renter share of 40.9%. High renter density often translates into robust demand for rental properties, particularly those accepting Section 8 vouchers. This demand can help mitigate the impact of tenant turnover and vacancy exposure by ensuring a steady stream of interested tenants.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.