Location: Alexandria, LA | Metro: Alexandria, 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 | $690 |
| 1 Bedroom | $730 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,230 |
| 4 Bedrooms | $1,380 |
| 5 Bedrooms | $1,601 |
| 6 Bedrooms | $1,793 |
| 7 Bedrooms | $1,936 |
| 8 Bedrooms | $2,033 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $910 | $64,833 | 1.4% | A |
| 3BR | $1,230 | $130,676 | 0.94% | C |
| 4BR | $1,380 | $191,801 | 0.72% | D |
U.S. Census Bureau data (2024)
The median income in ZIP code 71302, which encompasses Alexandria, LA, stands at $34,669 according to recent Census ACS data. This figure places significant constraints on the financial capacity of households to cover market-rate rents. The current market rate for rentals in this area is $850 per month. Given the median income, it becomes evident that many residents would struggle to meet this expense, especially considering other living costs.
Section 8 vouchers offer an alternative payment method, with the Fair Market Rent (FMR) set at $920 for zip code 71302 in fiscal year 2024. While this amount is slightly higher than the market rate, it still represents a challenge for the average household given their income levels. The difference between the market rate and the voucher payment is minimal, suggesting that landlords might not see a substantial financial benefit in choosing one over the other.
Affordability remains a critical issue for both renters and landlords. With 43.4% of the 13,579 population being renters, there is considerable competition among landlords to secure tenants. However, the affordability gap means that many potential renters may rely heavily on subsidies such as Section 8 vouchers to find housing they can afford.
The takeaway for landlords is clear: while the FMR for Section 8 vouchers is slightly above the market rate, the overall financial landscape in Alexandria, LA, suggests that voucher tenants will be a significant part of the rental market. Landlords should consider the stability and reliability of voucher payments versus the risk of having cash-paying tenants who may struggle to maintain consistent rent payments due to the high cost of housing relative to local incomes. By accepting Section 8 vouchers, landlords can tap into a reliable source of income and meet the needs of a substantial portion of the local rental market.
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.