Section 8 Fair Market Rent (FMR) for ZIP 70753 - 2027
Location: Baton Rouge, LA | Metro: Baton Rouge, LA HUD Metro FMR Area
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $930 |
| 1 Bedroom | $960 |
| 2 Bedrooms | $1,090 |
| 3 Bedrooms | $1,360 |
| 4 Bedrooms | $1,750 |
| 5 Bedrooms | $2,030 |
| 6 Bedrooms | $2,274 |
| 7 Bedrooms | $2,456 |
| 8 Bedrooms | $2,579 |
Demographics & Housing Statistics
U.S. Census Bureau data (2024)
Median Household Income
$33,587
To determine if a landlord should buy in ZIP code 70753 for Section 8 purposes, follow these decision points:
- Does the Fair Market Rent (FMR) of $1320 cover the debt service on a property?
- Yes: If the FMR of $1320 is sufficient to cover all monthly mortgage payments, insurance, taxes, and maintenance costs, then proceeding with a purchase can be financially viable.
- No: If the FMR of $1320 does not meet the total debt service requirements, buying in this area would not be advisable as it would lead to financial losses.
- Is the market rent above, at, or below the FMR of $1320?
- Above: If the market rent exceeds $1320, the property could potentially generate higher income outside of Section 8. However, this also means that tenants receiving Section 8 vouchers might find it challenging to afford the rent, reducing demand for Section 8 properties.
- At: If the market rent matches the FMR, there is no premium or discount, making the property a straightforward choice for Section 8 participation.
- Below: If the market rent is less than $1320, it indicates that the property could be rented out for less than what the government pays, which could be beneficial for landlords who want to ensure they receive the full FMR amount.
- Are the 5.7% of renters combined with an average of N/A days on the market (DOM) enough demand for a Section 8 property?
- It Depends: The percentage of renters being 5.7% suggests a relatively low demand for rental properties in this area. However, the number of days on the market (DOM) is critical to understanding how quickly properties are leased. A lower DOM indicates faster leasing times, which could offset the lower percentage of renters. Conversely, a high DOM might indicate a slower market, making it harder to fill vacancies. Without specific DOM data, the decision hinges on the balance between the percentage of renters and the speed at which units are typically filled.
In summary, a landlord considering ZIP 70753 for Section 8 investment must first confirm that the $1320 FMR can cover their debt service. Next, they should evaluate the market rent relative to the FMR to gauge potential profitability. Lastly, the combination of the 5.7% renters and the actual DOM will determine if there's enough demand to justify the investment.
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.