Updated 2026 · Based on median market data for Houma, LA
Houma sits in the South with a population of 50,000 growing at 0.3% annually. The median home costs $175,000 while rents average $1,320/mo, producing an estimated cap rate of 7.10%. This puts Houma in the upper tier of investable US markets.
Houma is ideal for cash flow investors, BRRRR practitioners, and anyone building a portfolio of affordable, income-producing rentals. The low price point ($175,000) means you can get started with a $35,000 down payment, and the 7.10% cap rate should produce positive cash flow even with conservative financing.
Target properties priced 15-25% below the $175,000 median — around $140,000 or less. At this price point with $1,320/mo rents, your cap rate improves to roughly 9.2%. Factor in 0.54% property taxes ($945/yr), budget 5% of gross rent for maintenance, and underwrite to a 6.7% vacancy rate. On a 20% down conventional loan at 7%, monthly PITI will run approximately $1,110.
Every deal should be evaluated individually using our calculator tools. Median data provides a starting point; actual returns depend on the specific property, financing, and your management approach.
Run the numbers on a specific Houma property using our cap rate calculator (pre-filled with Houma data). Compare Houma against similar markets in the South region. If you're considering a value-add approach, try our BRRRR calculator to model a rehab scenario.
Houma vs Louisiana state average and national average across key investment metrics. Houma outperforms both benchmarks on cap rate.