Location: Baton Rouge, LA | Metro: Baton Rouge, 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 | $1,050 |
| 1 Bedroom | $1,080 |
| 2 Bedrooms | $1,220 |
| 3 Bedrooms | $1,550 |
| 4 Bedrooms | $1,960 |
| 5 Bedrooms | $2,274 |
| 6 Bedrooms | $2,547 |
| 7 Bedrooms | $2,751 |
| 8 Bedrooms | $2,889 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,550 | $268,986 | 0.58% | F |
| 4BR | $1,960 | $317,565 | 0.62% | D |
U.S. Census Bureau data (2024)
The ZIP code 70710 presents an interesting scenario when analyzed from the renter's perspective. The median household income here stands at $108,041, which is notably high. However, the market rate rent, known as ZORI, is $1,528. This figure represents the actual cost that tenants would pay for housing in this area.
Comparatively, the Fair Market Rent (FMR) for voucher payments in ZIP 70710 for fiscal year 2024 is set at $1,330. This means that tenants utilizing Section 8 vouchers will be able to afford less expensive housing options, creating a discrepancy between what the market demands and what the government subsidizes.
With 20.5% of the 7,252 residents being renters, there is a significant portion of the population looking for affordable housing solutions. The difference between the ZORI and the FMR creates an affordability gap where tenants relying on vouchers might struggle to find suitable accommodations that landlords are willing to accept.
This gap has implications for landlord competition. Landlords who are open to accepting Section 8 vouchers will have access to a segment of the rental market that others might miss out on. However, those who prefer cash-paying tenants might find themselves competing in a higher price range where demand is also higher due to the limited supply of non-voucher units.
The takeaway for landlords is clear: accepting Section 8 vouchers can provide a steady stream of tenants but comes with lower rental rates. On the other hand, focusing on cash-paying tenants could lead to higher rents but requires navigating a competitive landscape. Landlords must weigh these factors carefully, considering the local rental dynamics and their own financial goals.
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.