Is the New Orleans, LA metro area good for real estate investing?

The New Orleans, LA metropolitan area has an investment score of 64/100, rated as "Buy". It ranks #378 nationally among 894 metro areas analyzed.

What is the rent-to-price ratio in New Orleans, LA?

The rent-to-price ratio in the New Orleans, LA metro area is 7.59% annually, which ranks in the 83th percentile nationally. Higher ratios indicate better cash flow potential.

What is the median home price in New Orleans, LA?

The median home price in the New Orleans, LA metro area is $252,775. The metro area includes 7 counties with prices ranging from the most affordable to more premium markets.

What counties are in the New Orleans, LA metro area?

The New Orleans, LA metropolitan area includes 7 counties. Top-rated counties for investing include Jefferson Parish, Saint Charles Parish, Saint Bernard Parish. Each county has its own investment profile based on local market conditions.

Can you cash flow on rental properties in New Orleans, LA?

Based on median values with 20% down at current rates, a typical rental in the New Orleans, LA metro would generate negative cash flow of $286/month. Individual property and county performance varies. Explore the county-level analysis for more specific opportunities.

Metropolitan Area

New Orleans, LA

Louisiana07 counties

/100

Buy

#378 of 894 metros

Top 42% nationally for investing

Market Snapshot

$252,775

Median Home Price

3% above national median

$1,598/mo

Median Rent

15% above national median

7.59%

Rent-to-Price Ratio

Top 17% nationally

-$286

Est. Monthly Cash Flow

With 20% down at 6.9% rate

Price History

Trend based on YoY growth rate. Source: Zillow ZHVI/ZORI

Quick Investment Calculator

Down Payment20%

5%50%100%

Purchase

Purchase Price$252,775

Down Payment (20%)$50,555

Loan Amount$202,220

Interest Rate6.85%

Monthly Cash Flow

Gross Rent+$1,598

Monthly P&I-$1,325

Est. Expenses (35%)-$559

Net Cash Flow-$286/mo

4.9%

Cap Rate (all cash)

-5.9%

Cash-on-Cash Return

7.59%

Rent-to-Price Ratio

Negative leverage: At 6.85% rates, borrowing costs exceed the 4.9% cap rate. All-cash buyers may see better returns.

* Based on metro-wide median values. 35% expenses include taxes, insurance, maintenance, vacancy, and property management. Individual counties and properties vary significantly.

Run Full Analysis Try House Hack Strategy

Score Breakdown

Overall Investment Score

64/100

Cash Flow(30%)

76/100

Based on 7.59% rent-to-price ratio. Higher ratios indicate stronger cash flow potential.

Appreciation(25%)

55/100

Based on 1.0% YoY price growth. Moderate growth (3-8%) scores highest.

Stability(25%)

50/100

Based on 0.0% population growth. Growing areas indicate economic stability.

Affordability(20%)

76/100

Based on price relative to estimated local incomes.

Scores are calculated using real Zillow metro-level home value and rent data, Census population data, and economic indicators. The weighted average produces the overall investment score. This metro score represents area-wide averages; individual counties may vary significantly.

Investment Outlook

Strengths

+Above-average rent-to-price ratio (7.59%)
+Affordable relative to local incomes
+Low unemployment (0.0%)
+Large metro with 7 counties offering diverse opportunities

Challenges

-Negative cash flow at typical financing (-$286/mo)
-Negative leverage (cap rate 4.9% < mortgage rate 6.9%)

Counties in New Orleans, LA

						Verdict
Jefferson ParishLA	436,171	70	$265,366	$1,526	6.90%	Buy	View
Saint Charles ParishLA	52,191	64	$264,364	$1,509	6.85%	Buy	View
Saint Bernard ParishLA	44,038	63	$202,245	$1,486	8.81%	Buy	View
Saint James ParishLA	20,090	62	$193,087	Est.		Buy	View
Saint John the Baptist ParishLA	41,986	62	$201,700	$1,450	8.63%	Buy	View
Saint Tammany ParishLA	266,168	59	$279,584	$1,528	6.56%	Hold	View
Orleans ParishLA	380,408	58	$242,574	$1,665	8.24%	Hold	View

Click any county to see detailed investment analysis

Compare to Similar Metros

Metro Area					Verdict
Paducah, KY Paducah, KY	82	$165,710	$1,291	9.35%	Strong Buy	View
Indiana, PA Indiana, PA	82	$158,790	$1,376	10.40%	Strong Buy	View
Connersville, IN Connersville, IN	82	$158,083	Est.		Strong Buy	View
Enid, OK Enid, OK	81	$137,435	$1,076	9.39%	Strong Buy	View
Danville, IL Danville, IL	81	$93,319	$815	10.48%	Strong Buy	View
Current New Orleans, LA	64	$252,775	$1,598	7.59%	Buy

The Bottom Line

BuyNew Orleans, LA offers solid investment potential with good cash flow or appreciation prospects.

The New Orleans, LA metro area scores 64/100, ranking #378 of 894 US metros (top 42%). The 7.59% rent-to-price ratio indicates moderate cash flow potential. Among 7 counties, Jefferson Parish shows the strongest investment potential (score: 70).

Monthly Cash Flow

$-286/mo

Cap Rate

4.9%

Cash-on-Cash

-6.8%

Ready to Invest in New Orleans, LA?

Use our investment calculators to run detailed numbers on specific properties, or explore individual counties for more targeted opportunities.

Single Family1-4 unit rentals House HackOwner-occupied Multifamily5+ unit properties Best CountyJefferson Parish

Explore Other Markets

Quick Investment Calculator

Down Payment20%

5%50%100%

Purchase

Purchase Price$252,775

Down Payment (20%)$50,555

Loan Amount$202,220

Interest Rate6.85%

Monthly Cash Flow

Gross Rent+$1,598

Monthly P&I-$1,325

Est. Expenses (35%)-$559

Net Cash Flow-$286/mo

4.9%

Cap Rate (all cash)

-5.9%

Cash-on-Cash Return

7.59%

Rent-to-Price Ratio

Negative leverage: At 6.85% rates, borrowing costs exceed the 4.9% cap rate. All-cash buyers may see better returns.

* Based on metro-wide median values. 35% expenses include taxes, insurance, maintenance, vacancy, and property management. Individual counties and properties vary significantly.

Run Full Analysis Try House Hack Strategy

Score Breakdown

Overall Investment Score

64/100

Cash Flow(30%)

76/100

Based on 7.59% rent-to-price ratio. Higher ratios indicate stronger cash flow potential.

Appreciation(25%)

55/100

Based on 1.0% YoY price growth. Moderate growth (3-8%) scores highest.

Stability(25%)

50/100

Based on 0.0% population growth. Growing areas indicate economic stability.

Affordability(20%)

76/100

Based on price relative to estimated local incomes.

Counties in New Orleans, LA

						Verdict
Jefferson ParishLA	436,171	70	$265,366	$1,526	6.90%	Buy	View
Saint Charles ParishLA	52,191	64	$264,364	$1,509	6.85%	Buy	View
Saint Bernard ParishLA	44,038	63	$202,245	$1,486	8.81%	Buy	View
Saint James ParishLA	20,090	62	$193,087	Est.		Buy	View
Saint John the Baptist ParishLA	41,986	62	$201,700	$1,450	8.63%	Buy	View
Saint Tammany ParishLA	266,168	59	$279,584	$1,528	6.56%	Hold	View
Orleans ParishLA	380,408	58	$242,574	$1,665	8.24%	Hold	View

Click any county to see detailed investment analysis

Compare to Similar Metros

Metro Area					Verdict
Paducah, KY Paducah, KY	82	$165,710	$1,291	9.35%	Strong Buy	View
Indiana, PA Indiana, PA	82	$158,790	$1,376	10.40%	Strong Buy	View
Connersville, IN Connersville, IN	82	$158,083	Est.		Strong Buy	View
Enid, OK Enid, OK	81	$137,435	$1,076	9.39%	Strong Buy	View
Danville, IL Danville, IL	81	$93,319	$815	10.48%	Strong Buy	View
Current New Orleans, LA	64	$252,775	$1,598	7.59%	Buy

The Bottom Line

BuyNew Orleans, LA offers solid investment potential with good cash flow or appreciation prospects.

Monthly Cash Flow

$-286/mo

Cap Rate

4.9%

Cash-on-Cash

-6.8%