Location: Baton Rouge, LA | Metro: Baton Rouge, LA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $980 |
| 1 Bedroom | $1,010 |
| 2 Bedrooms | $1,140 |
| 3 Bedrooms | $1,450 |
| 4 Bedrooms | $1,840 |
| 5 Bedrooms | $2,134 |
| 6 Bedrooms | $2,390 |
| 7 Bedrooms | $2,581 |
| 8 Bedrooms | $2,710 |
U.S. Census Bureau data (2024)
The potential risks for investing in ZIP 70733 under the Section 8 program include significant tenant turnover due to the gap between the market rent of $1,568 and the Fair Market Rent (FMR) of $1200 for fiscal year 2024. This discrepancy can lead to frequent changes in occupancy, increasing management costs and reducing rental stability. Additionally, vacancy exposure is a concern given the lack of data on days on market (DOM), which makes it difficult to predict how long properties might remain unoccupied. The typical home value of $235,273 in ZIP 70733 contrasts sharply with the median income of $74,853, suggesting a higher likelihood of deferred maintenance issues, as many tenants may struggle to afford necessary repairs and upkeep.
Despite these challenges, the high renter share of 15.9% in ZIP 70733 indicates a robust demand for rental housing, which typically translates into a greater interest in Section 8 vouchers. A dense population of renters often means a larger pool of potential voucher holders, thereby increasing the chances of securing a steady stream of qualified tenants. This demand can help mitigate the risks associated with vacancy and tenant turnover, as there is likely to be consistent interest in renting properties.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.