Location: Iberville Parish, LA | Metro: Iberville Parish, LA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $780 |
| 1 Bedroom | $820 |
| 2 Bedrooms | $900 |
| 3 Bedrooms | $1,220 |
| 4 Bedrooms | $1,440 |
| 5 Bedrooms | $1,670 |
| 6 Bedrooms | $1,870 |
| 7 Bedrooms | $2,020 |
| 8 Bedrooms | $2,121 |
U.S. Census Bureau data (2024)
The analysis for ZIP code 70740 reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for the area, as set by HUD for fiscal year 2024, is $980. However, the market rent figure is currently unavailable, indicating that the actual rents could be higher or lower than the FMR. This scenario presents two potential investment strategies for landlords and small-portfolio investors.
If the market rent exceeds the FMR, landlords who accept Section 8 vouchers will be renting their properties below the open-market rate. For instance, if the market rent were hypothetically $1,200, the gap would be $220, representing a 22.2% discount. In such a case, landlords must weigh the benefits of guaranteed, government-backed rental income against the lower yield compared to market rents. The risk of vacancy is mitigated by the stability of voucher payments, making it a viable strategy for those prioritizing security over maximum profitability.
Conversely, if the FMR surpasses the market rent, accepting voucher tenants becomes a lucrative opportunity. With 9.1% of residents being renters and a median income of $57,371, landlords can attract tenants who might otherwise struggle to find affordable housing. By setting rents at or slightly above the FMR, landlords ensure they receive competitive rates while providing much-needed assistance to low-income families. This strategy is particularly appealing given the high percentage of renters and the relatively low median income, suggesting a strong demand for subsidized housing options.
To make informed decisions, landlords should consider the broader economic context of ZIP 70740. Despite the lack of median home value data, the median income provides insight into the financial capabilities of potential tenants. A median income of $57,371 indicates that many residents may rely on Section 8 vouchers to afford housing, making properties that accept vouchers highly sought after.
In summary, the decision to participate in the Section 8 program in ZIP 70740 should be based on the relationship between FMR and market rents. When FMR is higher than market rents, it's a yield play; when FMR is lower, landlords must account for the cost of renting below market rates. The local economic landscape, characterized by a high percentage of renters and moderate incomes, supports the viability of both approaches depending on the specific circumstances of each property.
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.