Location: Lake Charles, LA | Metro: Lake Charles, 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 | $830 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $1,100 |
| 3 Bedrooms | $1,320 |
| 4 Bedrooms | $1,460 |
| 5 Bedrooms | $1,694 |
| 6 Bedrooms | $1,897 |
| 7 Bedrooms | $2,049 |
| 8 Bedrooms | $2,151 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,320 | $185,394 | 0.71% | D |
U.S. Census Bureau data (2024)
The ZIP code 70663, located in Louisiana, presents an interesting scenario when analyzed from the renter's perspective. The median income here stands at $64,707, which places significant constraints on housing affordability. At a market rate of $1,167 per month (ZORI), renting becomes a substantial financial commitment for most households.
To put this into context, let's consider the voucher payment standard of $1,040 (FMR) for the fiscal year 2024. This figure represents a more affordable option for renters compared to the market rate. However, it also means that landlords must carefully weigh the benefits of accepting vouchers versus collecting higher cash payments.
The area has a total population of 27,799, with 19.7% being renters. This indicates a relatively small rental market, which could lead to increased competition among landlords for tenants who can pay the ZORI rate. On the other hand, the number of voucher holders could provide a steady stream of income, albeit at a lower rate, with less competition.
The affordability gap between the ZORI ($1,167) and the FMR ($1,040) suggests that many renters may find it challenging to secure housing at market rates. This gap is particularly pronounced given the median income level, which implies that a significant portion of the population may rely heavily on assistance programs such as housing vouchers.
Takeaway for Landlords: Accepting housing vouchers can be a strategic move in ZIP 70663. While the monthly payment is lower at $1,040, it ensures a more stable and consistent tenant base. In contrast, focusing solely on cash-paying tenants at the ZORI rate of $1,167 may limit your pool of potential renters and increase vacancy risks. Balancing both strategies could optimize occupancy rates and financial returns.
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.