Location: Lake Charles, LA | Metro: Lake Charles, LA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $830 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $1,100 |
| 3 Bedrooms | $1,320 |
| 4 Bedrooms | $1,450 |
| 5 Bedrooms | $1,682 |
| 6 Bedrooms | $1,884 |
| 7 Bedrooms | $2,035 |
| 8 Bedrooms | $2,137 |
U.S. Census Bureau data (2024)
The classification of ZIP code 70643 based on the provided data reveals a unique market scenario that lies somewhere between high-yield and steady-cashflow zones. With the Fair Market Rent (FMR) at $890 for fiscal year 2024, it indicates a potential high-yield environment, assuming that the rental market in this area can command such rates. However, the lack of specific market rent and home value data introduces uncertainty into the analysis.
The stability of the market is influenced by the percentage of renters and the median household income. In ZIP 70643, 30.2% of the population are renters, which suggests a moderate level of stability. A higher proportion of renters could indicate lower stability due to potential turnover risks. The median household income of $58,125 provides some insight into the economic base supporting the rental market, though without knowing the average market rent, it's challenging to fully assess affordability and demand.
The absence of data on days on market (DOM) further complicates the stability assessment. Typically, a lower DOM would suggest a more stable and liquid market where properties are rented out quickly, reducing vacancy periods and increasing cash flow predictability. Without this figure, it's difficult to gauge how rapidly units might be filled once vacated.
In conclusion, ZIP 70643 presents a market that has the potential for high yields given the FMR rate, but its stability is somewhat compromised by the relatively low percentage of renters and the unknown dynamics of the rental market. For landlords and small-portfolio investors, this ZIP code may offer opportunities for steady cash flow, albeit with a cautious approach to mitigate risks associated with uncertain market conditions and limited data points.
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.