Location: Shreveport-Bossier City, LA | Metro: Shreveport-Bossier City, LA MSA
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 | $790 |
| 1 Bedroom | $890 |
| 2 Bedrooms | $1,000 |
| 3 Bedrooms | $1,320 |
| 4 Bedrooms | $1,400 |
| 5 Bedrooms | $1,624 |
| 6 Bedrooms | $1,819 |
| 7 Bedrooms | $1,965 |
| 8 Bedrooms | $2,063 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,000 | $84,597 | 1.18% | B |
| 3BR | $1,320 | $158,382 | 0.83% | C |
| 4BR | $1,400 | $248,838 | 0.56% | F |
U.S. Census Bureau data (2024)
The Section 8 thesis for ZIP code 71107 in Shreveport, LA, is built around the discrepancy between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the FMR stands at $1030, while the market rent, measured by ZORI, is $1,217. This creates a gap of $187 per month, representing a 18.15% difference between the two figures.
In Shreveport, where 36.4% of residents are renters, the median home value is $139,301 and the median income is $48,365. Given these economic conditions, the FMR being lower than the market rent suggests that landlords accepting housing vouchers may face financial implications. The cost of housing voucher tenants below open-market rates means landlords must decide whether the steady, government-backed income compensates for the lower rental rates.
To illustrate, if a landlord rents out a property for $1030 through a Section 8 voucher, they are leaving $187 per month on the table compared to renting it at the market rate of $1,217. This scenario makes the investment more about yield stability rather than maximizing monthly rental income. However, the decision should also consider the administrative ease and reliability of Section 8 payments versus the potential volatility of collecting rent directly from individual tenants.
The median income figure of $48,365 provides context for the local economic landscape. It indicates that many residents rely heavily on assistance programs such as Section 8 to afford housing. Thus, landlords who choose to participate in the Section 8 program are playing a critical role in providing affordable housing options to a significant portion of the population.
Given the median home value of $139,301, it's clear that the real estate market in Shreveport is relatively stable but not highly lucrative. Therefore, the choice to accept Section 8 vouchers can be seen as a strategic decision to balance income with social responsibility, particularly in an area where a substantial percentage of the population is already reliant on rental housing.
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.