Location: Iberia Parish, LA | Metro: Lafayette, 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 | $790 |
| 1 Bedroom | $890 |
| 2 Bedrooms | $1,070 |
| 3 Bedrooms | $1,400 |
| 4 Bedrooms | $1,770 |
| 5 Bedrooms | $2,053 |
| 6 Bedrooms | $2,299 |
| 7 Bedrooms | $2,483 |
| 8 Bedrooms | $2,607 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,400 | $204,080 | 0.69% | D |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 70563 are defined by the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment, which is set at $1070 per month for the fiscal year 2024. This SAFMR is specifically tailored to this ZIP code, reflecting the unique rental market conditions here. The local market rent, according to Census ACS data, is slightly lower at $1,038 per month for a similar unit.
When a landlord participates in the Section 8 program, they receive payment from the Housing Choice Voucher Program for the portion of rent that exceeds what the tenant can afford. The tenant's portion is typically 30% of their adjusted income. For simplicity, let's assume a tenant has an adjusted income of $1,500 per month. In this case, the tenant would pay $450 towards the rent ($1,500 * 0.3).
The voucher program then covers the difference between the tenant's contribution and the SAFMR. In our example, the voucher would cover $620 of the rent ($1070 - $450). However, it's important to note that the voucher also includes utility allowances, which can vary but are generally around $200 per month for a two-bedroom unit. Thus, the total reimbursement from the voucher program would be $820 ($620 for rent + $200 for utilities).
This means that if you are a landlord renting a two-bedroom apartment at the SAFMR rate of $1070, you will receive $820 from the voucher program and $450 from the tenant, totaling $1270. If your local market rent is $1,038, you would have a surplus of $232 per month when using the voucher program. Conversely, if you charge the SAFMR rate, you would face a gap of $250 per month compared to the local market rent, where you'd only collect $1,038 instead of $1,270.
In summary, the SAFMR for ZIP 70563 is $1070 for a two-bedroom unit, while the local market rent is $1,038. The typical reimbursement from a voucher, including utility allowances, is $820, leaving a surplus when charging below the SAFMR and a shortfall when charging above the local market rent. This economic reality shapes the decision-making process for landlords considering participation in the Section 8 program.
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.