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 | $1,040 |
| 1 Bedroom | $1,070 |
| 2 Bedrooms | $1,210 |
| 3 Bedrooms | $1,530 |
| 4 Bedrooms | $1,940 |
| 5 Bedrooms | $2,250 |
| 6 Bedrooms | $2,520 |
| 7 Bedrooms | $2,722 |
| 8 Bedrooms | $2,858 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,530 | $241,672 | 0.63% | D |
| 4BR | $1,940 | $335,304 | 0.58% | F |
U.S. Census Bureau data (2024)
The ZIP code 70754 stands out in its county with a population of 11,641 residents, where 23.3% of them rent their homes. The median income in this area is $56,011, which is modest compared to the median home value of $252,823. This indicates that homeownership is relatively expensive in 70754, making rental properties an attractive option for many.
When it comes to Section 8 vouchers, the Fair Market Rent (FMR) for ZIP 70754 in fiscal year 2024 is set at $1,390, whereas the market rent, according to Census ACS data, averages around $1,103. This means that landlords who participate in the Section 8 program can expect to receive a higher rent subsidy per unit, effectively covering the gap between the market rate and the FMR. The difference of $287 per month can be a significant factor in determining the viability of accepting Section 8 tenants.
Based on the economic indicators provided, the data signature for ZIP 70754 suggests a stable environment. The median income, while not high, is sufficient to support the current level of renters, and the FMR is set above the market average, providing a financial incentive for landlords to participate in the Section 8 program. This stability is further reinforced by the relatively high median home value, indicating a mix of affordable and more expensive housing options within the ZIP code.
Landlords and small-portfolio investors should consider the following:
In conclusion, the data signature for ZIP 70754 points towards a stable community, where the Section 8 program can offer a reliable source of income for landlords willing to accept vouchers. The financial incentives provided by the higher FMR make this ZIP code an attractive investment opportunity for those interested in the rental market.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.