Location: Allen Parish, LA | Metro: Jefferson Davis Parish, LA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $630 |
| 1 Bedroom | $730 |
| 2 Bedrooms | $890 |
| 3 Bedrooms | $1,170 |
| 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 Section 8 thesis for ZIP code 70532 is built upon a significant gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for the metro area in fiscal year 2026 is set at $880, while the Census ACS data indicates that the average market rent in this area is only $636. This creates a disparity of $244, or approximately 27.7%, between what landlords can charge through the Section 8 program and what they currently receive from open-market tenants.
In this scenario where the FMR exceeds the market rent, landlords have an opportunity to increase their rental income significantly by participating in the Section 8 program. Voucher tenants provide a stable source of income, which can be leveraged to improve yields on rental properties. Given that 27.9% of residents are renters and the median home value stands at $114,543, there is a clear demand for affordable housing. The median income of $44,095 suggests that many residents rely on assistance programs such as Section 8 to afford housing, making it a viable strategy for landlords to maximize returns.
However, landlords must also consider the potential downsides of accepting Section 8 vouchers. While the higher rent can boost yields, the process of securing and maintaining voucher tenants involves additional administrative work and scrutiny. It's important to weigh these factors against the benefits of increased rental income. Additionally, the stability of the tenant base should be considered, as voucher holders typically have a strong incentive to maintain their housing status.
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.