Section 8 Fair Market Rent (FMR) for ZIP 71118 - 2027

Location: Shreveport-Bossier City, LA | Metro: Shreveport-Bossier City, LA MSA

Investment Score for ZIP 71118

Monthly Rent (2BR)

$1,040

Median Price (2BR)

$128,968

1% Rule

0.81%

Annual Yield

9.68%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$830
1 Bedroom	$920
2 Bedrooms	$1,040
3 Bedrooms	$1,370
4 Bedrooms	$1,440
5 Bedrooms	$1,670
6 Bedrooms	$1,870
7 Bedrooms	$2,020
8 Bedrooms	$2,121

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
2BR	$1,040	$128,968	0.81%	C
3BR	$1,370	$172,806	0.79%	D
4BR	$1,440	$223,681	0.64%	D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

23,219

Median Household Income

$50,287

Housing Units

10,326

Renter Percentage

38.7%

Occupancy Rate

90.4%

Renter Occupied

3,611

ZIP 71118, located in Shreveport, LA, within the Shreveport-Bossier City, LA MSA metro area, serves as a strong cash-flow anchor in a Section 8 portfolio strategy. The Fair Market Rent (FMR) for ZIP 71118 in fiscal year 2024 is set at $1070, while the current market rent stands at $1269. This indicates that properties in ZIP 71118 can be rented out at a premium above the FMR, providing an additional $199 per unit over what is covered by the Section 8 voucher program. The median home value in the area is $167,056, which suggests that property acquisition costs are relatively low compared to higher-priced markets.

The spread between the FMR and market rent provides a significant buffer for landlords and small-portfolio investors. This allows them to cover operational costs such as maintenance, insurance, and property taxes while still generating positive cash flow. Additionally, the low median home value makes it easier to acquire properties at a reasonable cost, further enhancing the overall profitability of the investment.

Cash Flow: With a rental rate above the FMR, landlords can expect steady and reliable cash flow from their Section 8 properties in ZIP 71118.
Maintenance Costs: Lower property values generally correlate with lower maintenance costs, contributing to higher net cash flows.
Operational Stability: The consistency of Section 8 vouchers ensures that tenants can pay rent on time, reducing the risk of vacancy and delinquency.

While ZIP 71118 also shows potential as an appreciation play with a 0.2% price-cut share and a 21-day days-on-market (DOM), and as a diversifier with a 38.7% renter share and median income of $50,287, the primary benefit lies in its role as a cash-flow anchor. The combination of a favorable rent differential and manageable property costs makes it an attractive option for investors seeking stable returns within their Section 8 portfolio.

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.