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 | $1,210 |
| 1 Bedroom | $1,350 |
| 2 Bedrooms | $1,630 |
| 3 Bedrooms | $2,090 |
| 4 Bedrooms | $2,460 |
| 5 Bedrooms | $2,854 |
| 6 Bedrooms | $3,196 |
| 7 Bedrooms | $3,452 |
| 8 Bedrooms | $3,625 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,630 | $221,911 | 0.73% | D |
| 3BR | $2,090 | $326,052 | 0.64% | D |
| 4BR | $2,460 | $469,688 | 0.52% | F |
| 5BR | $2,854 | $648,274 | 0.44% | F |
U.S. Census Bureau data (2024)
The HUD Fair Market Rent (FMR) for ZIP code 70123, River Ridge, LA, in the New Orleans-Metairie, LA HUD Metro FMR Area for fiscal year 2024 is set at $1,690. This figure represents the amount that Section 8 voucher holders can use to cover rental costs in the area. In comparison, the market rent, as indicated by Zillow's ZORI (Zestimate Owner Occupied Rent Index), stands at $1,333, which is significantly lower than the HUD FMR.
Voucher tenants in River Ridge will cashflow at the FMR rate, meaning landlords can expect to receive the full HUD-set amount without having to subsidize the difference. This is a positive indicator for landlords and small-portfolio investors as it ensures a steady income stream without the need to offer premium units to attract tenants.
The median home value in River Ridge is $342,585, leading to a rent-to-price ratio of approximately 0.39%. This ratio suggests that rental properties are relatively affordable compared to the cost of homeownership, which could influence the rent-versus-buy decision among potential residents. However, with a median Days on Market (DOM) of 70 days and a price-cut share of just 0.2%, it appears that the housing market in River Ridge is stable and favorable for buyers, indicating a balanced rental market.
The strong cashflow potential derived from the disparity between the HUD FMR and the market rent makes River Ridge an attractive investment location for Section 8 investors. This cashflow advantage provides a solid foundation for financial returns and supports the stability angle as the strongest investor proposition in this market.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.