Location: Richland Parish, LA | Metro: Morehouse Parish, LA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $730 |
| 1 Bedroom | $730 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,150 |
| 4 Bedrooms | $1,240 |
| 5 Bedrooms | $1,438 |
| 6 Bedrooms | $1,611 |
| 7 Bedrooms | $1,740 |
| 8 Bedrooms | $1,827 |
U.S. Census Bureau data (2024)
The HUD Fair Market Rent (FMR) for ZIP code 71264 in Richland Parish, LA, for fiscal year 2024 is set at $820. This figure represents the maximum amount that voucher holders can pay towards their monthly rent under the Section 8 program. However, due to the lack of current market rent data for this area, it's challenging to make a direct comparison. Based on the available HUD FMR, we can infer that voucher tenants would likely cashflow in this market, especially considering the median home value of $181,962.
To derive the rent-to-price ratio, we use the median home value and the FMR. Assuming a typical mortgage payment structure, where rent should cover around 1% of the home value per month, the expected rent would be approximately $1,820. Given that the HUD FMR is $820, the rent-to-price ratio is significantly lower, indicating that properties rented to voucher tenants will generate positive cash flow. Landlords and small-portfolio investors can expect to save on the difference between the actual market rent and the $820 FMR paid by voucher holders.
The median days on market (DOM) and the percentage of homes that experience price cuts are not available for this area. Nonetheless, these metrics typically influence the rent-versus-buy decision. In ZIP 71264, the strong cash flow potential from Section 8 rentals outweighs the need for detailed DOM and price-cut data. The consistent income from government-backed vouchers provides stability that is unmatched in the fluctuating home purchase market.
The strongest investor angle in this market is cash flow. With a substantial gap between the median home value and the HUD FMR, landlords can secure reliable, government-subsidized rental income while potentially holding onto properties that appreciate over time, adding an additional layer of benefit to the investment strategy.
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.