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Lafayette, LA

Rental Property Investment Guide: Lafayette, LA

Updated 2026 · Based on median market data for Lafayette, LA

Cap Rate
4.83%
Median Price
$210K
Rent/Mo
$1,150
1% Rule
0.55%
Fails

Market Snapshot

Lafayette sits in the South with a population of 126,000 growing at 0.6% annually. The median home costs $210,000 while rents average $1,150/mo, producing an estimated cap rate of 4.83%. This is a moderate market that rewards careful deal sourcing.

Who Should Invest Here

Lafayette works best for experienced investors with a clear strategy — Section 8, student housing, or deep value-add rehabs. The 4.83% cap rate at median prices is tight, so success depends on buying below market, forcing appreciation through renovation, or accessing above-market rent streams through niche tenant bases.

Deal Criteria for Lafayette

Target properties priced 15-25% below the $210,000 median — around $168,000 or less. At this price point with $1,150/mo rents, your cap rate improves to roughly 6.4%. Factor in 0.52% property taxes ($1,092/yr), budget 5% of gross rent for maintenance, and underwrite to a 6.4% vacancy rate. On a 20% down conventional loan at 7%, monthly PITI will run approximately $1,308.

Risks and Considerations

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.

Next Steps

Run the numbers on a specific Lafayette property using our cap rate calculator (pre-filled with Lafayette data). Compare Lafayette against similar markets in the South region. If you're considering a value-add approach, try our BRRRR calculator to model a rehab scenario.

Full Lafayette Analysis →Cap Rate CalculatorBRRRR Calculator

More Lafayette Guides

Rent AnalysisProperty Tax GuideCost of Living & AffordabilityAppreciation & Growth ForecastNeighborhood Investment Guide

Similar Markets in the South

Jacksonville, NC$210K · $1,200/mo
4.8%
Fayetteville, NC$195K · $1,120/mo
4.9%
Baltimore, MD$230K · $1,380/mo
4.9%
Augusta, GA$180K · $1,050/mo
4.8%
Baton Rouge, LA$220K · $1,200/mo
4.8%
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