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 | $1,170 |
| 1 Bedroom | $1,200 |
| 2 Bedrooms | $1,360 |
| 3 Bedrooms | $1,720 |
| 4 Bedrooms | $2,180 |
| 5 Bedrooms | $2,529 |
| 6 Bedrooms | $2,832 |
| 7 Bedrooms | $3,059 |
| 8 Bedrooms | $3,212 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,720 | $256,045 | 0.67% | D |
| 4BR | $2,180 | $361,752 | 0.6% | D |
U.S. Census Bureau data (2024)
The ZIP code 70818 hosts a population of 9,370 residents, with 20.7% identified as renters. This indicates that while there is a notable presence of renters, the area is not dominated by them, suggesting a moderate rather than deep demand for rental properties. The median household income stands at $78,432, which provides a benchmark for assessing affordability.
In the context of rental costs, the average market rent is $2,238. To contextualize this figure, it represents approximately 28.5% of the median household income when calculated annually. This means that a significant portion of local incomes goes towards housing, potentially limiting disposable income for other expenses. However, it is important to note that the Fair Market Rent (FMR) for FY 2024 in this ZIP code is set at $1,270, indicating that the market rent is nearly double the FMR.
The discrepancy between the market rent and the FMR highlights the potential challenges for landlords seeking tenants who rely on Section 8 vouchers. Section 8 vouchers are designed to cover up to 40% of the FMR, which in this case would be around $508 per month. Therefore, landlords should expect that voucher holders will likely struggle to meet the current market rents without additional contributions, making it less favorable for those exclusively targeting Section 8 tenants.
A landlord in ZIP 70818 should anticipate a tenant pool that includes a mix of individuals and families with varying income sources. While some may qualify for Section 8 assistance, others might have higher incomes that allow them to afford the market rates. Given the median income and the high market rent, tenants will predominantly be those who can afford to pay above the voucher limit or those who supplement their voucher with personal funds.
To summarize, ZIP 70818 is not heavily dominated by renters nor is it an area with abundant Section 8 voucher demand. Landlords should prepare for a tenant base that requires a balance between affordable and market-rate rents, with voucher holders needing to contribute extra to cover the difference between the voucher amount and the actual rent.
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.