Location: Acadia Parish, LA | Metro: Acadia Parish, LA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $660 |
| 1 Bedroom | $730 |
| 2 Bedrooms | $940 |
| 3 Bedrooms | $1,130 |
| 4 Bedrooms | $1,300 |
| 5 Bedrooms | $1,508 |
| 6 Bedrooms | $1,689 |
| 7 Bedrooms | $1,824 |
| 8 Bedrooms | $1,915 |
U.S. Census Bureau data (2024)
The classification of ZIP code 70516, based on the provided data, falls into a category that offers moderate potential for both yield and stability, making it neither a high-yield/low-stability flip-style market nor purely a steady-cashflow zone.
First, let's examine the yield aspect. The Fair Market Rent (FMR) for ZIP 70516 in fiscal year 2024 is set at $840. This is significantly lower than the market rent of $994, indicating a potential gap where landlords can charge above the FMR to increase their rental yields. However, the absence of home value data suggests that there might be limitations on the ability to leverage property appreciation as part of the investment strategy.
Moving on to stability, we see a 14.4% rate of renters, which is relatively low compared to other areas. This could imply a higher risk of vacancy and turnover. Additionally, the lack of data on days on market (DOM) further obscures the picture of how quickly properties are rented out. On the positive side, the median household income of $53,750 provides some assurance that residents have the financial capability to meet their rent obligations.
To summarize, ZIP 70516 presents an opportunity for landlords to achieve decent yields by charging market rates rather than just the FMR. However, the stability is somewhat compromised due to the low percentage of renters and unknown DOM figures, though the income level does offer a degree of security. Landlords should consider these factors carefully before investing, ensuring they have a plan to manage potential vacancies and turnovers while capitalizing on the rental price differential.
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.