Location: Vernon Parish, LA | Metro: Beauregard Parish, LA
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 | $730 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,280 |
| 4 Bedrooms | $1,710 |
| 5 Bedrooms | $1,984 |
| 6 Bedrooms | $2,222 |
| 7 Bedrooms | $2,400 |
| 8 Bedrooms | $2,520 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,280 | $210,224 | 0.61% | D |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 70634, located in Vernon Parish, LA metro, reveals a favorable cashflow scenario for those utilizing the HUD Fair Market Rent (FMR) of $1,050. This figure, which is set for fiscal year 2026, stands above the current market rent of $922, as reported by the Census ACS.
The difference between the HUD FMR and the market rent suggests that voucher tenants can generate positive cashflow at the FMR rate. Landlords and small-portfolio investors can expect to see a margin of approximately $128 per month, assuming they charge the HUD FMR and their properties are within the acceptable range for voucher eligibility.
To further understand the investment landscape, the median home value in ZIP 70634 is $177,304. Using this figure, we can derive a rent-to-price ratio. The annual rent at the FMR rate would be $12,600 ($1,050 x 12 months), leading to a rent-to-price ratio of roughly 7.1%. This indicates that rental income represents a significant portion of the property's value, making it a strong consideration for investors looking to capitalize on rental yields.
The dynamics of the local real estate market also support the viability of Section 8 investments. With a median Days on Market (DOM) of N/A and a negligible 0.2% share of homes experiencing price cuts, the buy-versus-rent decision leans heavily towards renting. This environment stabilizes rental demand, ensuring consistent occupancy rates for landlords.
In conclusion, the strongest investor angle in ZIP 70634 is cashflow. Given the positive differential between the HUD FMR and the market rent, along with the solid rent-to-price ratio, investors can confidently pursue Section 8 properties knowing they will likely achieve steady, positive cashflow without relying on premium units or speculative growth.
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.