Location: Tensas Parish, LA | Metro: Concordia Parish, LA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $640 |
| 1 Bedroom | $700 |
| 2 Bedrooms | $890 |
| 3 Bedrooms | $1,140 |
| 4 Bedrooms | $1,490 |
| 5 Bedrooms | $1,728 |
| 6 Bedrooms | $1,935 |
| 7 Bedrooms | $2,090 |
| 8 Bedrooms | $2,195 |
U.S. Census Bureau data (2024)
The Section 8 cap-rate analysis for ZIP code 71334 reveals an interesting contrast between federally determined Fair Market Rents (FMRs) and local market rents. Using the annualized 2BR FMR of $830 for Fiscal Year 2026, the implied gross yield is approximately 9.7%. This is calculated by taking the annualized rent ($830 * 12 = $9,960) and dividing it by the median home value ($85,479), yielding a percentage of roughly 9.7%. In contrast, using the Census ACS reported market rent of $731, the implied gross yield drops to about 8.5%, derived similarly by annualizing the market rent ($731 * 12 = $8,772) and comparing it to the median home value.
Given the 28.3% renter density in ZIP 71334, the market rent scenario appears more realistic. The federal FMR tends to be higher due to broader regional considerations, whereas local market conditions often dictate lower rental rates. Additionally, the lack of data regarding the days on market (DOM) suggests that properties in this area might not turn over frequently, making it harder to consistently achieve the higher FMR rates. Local market dynamics, including competition and economic factors, are likely to keep rental rates closer to the $731 figure, implying a gross yield of 8.5%.
Landlords and small-portfolio investors should focus on the market rent scenario when evaluating potential returns, as it aligns better with the actual rental environment in ZIP 71334. While the FMR provides a benchmark, the practical implications of achieving such rates in a less dense rental market are questionable. Therefore, an expected gross yield of 8.5% is more aligned with the reality faced by property owners in this area.
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.