%
CapRateCity
Free cap rate calculators for every US market
← All comparisons

Baton Rouge vs New Orleans for Rental Property Investing

Side-by-side comparison of Baton Rouge, LA and New Orleans, LA — cap rates, rent, prices, and investment metrics.

◉
Baton Rouge wins 4–3 across key metrics
Baton Rouge leads on cash flow (4.76% vs 4.51% cap rate)
Metric
Baton Rouge, LA
New Orleans, LA
Est. Cap Rate
4.76%
4.51%
Median Home Price
$220,000
$265,000
Median Monthly Rent
$1,200
$1,380
1% Rule
0.55%
0.52%
GRM
15.3x
16.0x
Price / Income
4.6x
5.9x
Property Tax Rate
0.56%
0.55%
Vacancy Rate
6.5%
6.2%
Population Growth
0.5% / yr
0.4% / yr
Annual Appreciation
2.3%
2.6%
Population
224,149
376,971
Median Income
$48,200
$45,200

Baton Rouge vs New Orleans: Which Is Better for Investors?

Cash flow: Baton Rouge has the edge with an estimated cap rate of 4.76% compared to New Orleans's 4.51%. Neither city passes the 1% rule outright, so deal sourcing and value-add strategies become more important. Median home prices are $220,000 in Baton Rouge vs $265,000 in New Orleans, while rents come in at $1,200/mo and $1,380/mo respectively.

Growth & appreciation: Baton Rouge is growing faster at 0.5% annually vs New Orleans's 0.4%. New Orleans leads on home value appreciation at 2.6% per year.

Costs & risk: Property taxes are 0.56% in Baton Rouge vs 0.55% in New Orleans. Vacancy rates of 6.5% and 6.2% are mixed — New Orleans has the tighter rental market.

Bottom line: Baton Rouge edges out New Orleans on most key metrics. While cap rates are moderate at 4.76%, Baton Rouge's overall profile is stronger. Use our free calculators to model specific deals in Baton Rouge or New Orleans.

Baton Rouge, LA
4.76% cap rate · $220,000 median · $1,200/mo
Full analysis →
New Orleans, LA
4.51% cap rate · $265,000 median · $1,380/mo
Full analysis →
The CapRateCity Report
Weekly market analysis: highest cap rate cities, emerging markets, and deal breakdowns. Free, no spam.