Location: Claiborne Parish, LA | Metro: Monroe, LA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $690 |
| 1 Bedroom | $720 |
| 2 Bedrooms | $930 |
| 3 Bedrooms | $1,190 |
| 4 Bedrooms | $1,230 |
| 5 Bedrooms | $1,427 |
| 6 Bedrooms | $1,598 |
| 7 Bedrooms | $1,726 |
| 8 Bedrooms | $1,812 |
U.S. Census Bureau data (2024)
The investment landscape for Section 8 properties in ZIP code 71256 presents several challenges that landlords must navigate. Firstly, tenant turnover is a significant concern due to the discrepancy between the market rent of $611 and the Fair Market Rent (FMR) of $820 for FY 2024. This gap can lead to frequent changes in occupancy, increasing the administrative burden on landlords.
Vacancy exposure is another critical issue. The Days on Market (DOM) figure is currently unavailable, which suggests there might be a lack of comprehensive data regarding how long properties remain vacant before being rented out. This uncertainty can be risky, especially when considering the deferred maintenance costs that often accompany older rental units. With a typical home value of $97,144 and a median income of $43,611, many residents may struggle to afford necessary repairs, leaving landlords responsible for maintaining the property's condition.
Despite these risks, the high concentration of renters—comprising 16.8% of the population—indicates a robust demand for housing assistance programs such as Section 8 vouchers. This high renter density can translate into a steady stream of potential tenants who qualify for federal subsidies, mitigating some of the financial risks associated with lower market rents.
In conclusion, while the risks of tenant turnover, vacancy exposure, and deferred maintenance are present, the strong demand for subsidized housing makes ZIP code 71256 a moderate risk for first-time Section 8 landlords. The balance between manageable risks and the likelihood of finding qualified tenants ensures a viable investment opportunity.
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.