Location: Houma-Bayou Cane-Thibodaux, LA | Metro: Houma-Bayou Cane-Thibodaux, LA MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $690 |
| 1 Bedroom | $820 |
| 2 Bedrooms | $1,000 |
| 3 Bedrooms | $1,200 |
| 4 Bedrooms | $1,320 |
| 5 Bedrooms | $1,531 |
| 6 Bedrooms | $1,715 |
| 7 Bedrooms | $1,852 |
| 8 Bedrooms | $1,945 |
U.S. Census Bureau data (2024)
The ZIP code 70352 presents several challenges for landlords considering Section 8 investments. Tenant turnover is a significant concern, as the market rent is currently unavailable but the Fair Market Rent (FMR) for the fiscal year 2024 is set at $890. This can lead to frequent changes in occupancy, which disrupts stability and increases management costs. Additionally, the vacancy exposure is heightened due to the lack of data on the average days on market (DOM), making it difficult to predict how long properties might remain vacant between tenancies.
Deferred maintenance is another risk factor. The absence of data on typical home values and median incomes in ZIP 70352 indicates that landlords may face properties that require substantial repairs or upgrades, without clear indicators of the financial health of tenants to cover such costs. This can result in unexpected expenses and delays in achieving a positive cash flow.
However, these risks must be weighed against the high renter density in the area, with a 13.8% share of renters. High renter concentration often correlates with increased demand for housing vouchers, which can provide a steady stream of tenants and reduce the likelihood of prolonged vacancies. Section 8 tenants are also subject to federal guidelines ensuring timely rent payments, which can offer a degree of financial security for landlords.
Verdict: Moderate risk for a first-time Section 8 landlord. While there are notable challenges, the potential benefits of a stable tenant base through voucher programs make it a viable option with careful consideration and preparation.
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.