Baton Rouge, LA Rental Market Analysis

Updated March 2026 — Investment metrics, cap rates, rent data, and neighborhood analysis for rental property investors in Baton Rouge, Louisiana.

Median Price
$225,000
Avg Monthly Rent
$1,300
Avg Cap Rate
6.9%
Rent-to-Price
0.58%
Est. Cash-on-Cash
12.3%
Gross Rent Multiplier
14.4x
Est. DSCR (25% Down)
0.54
Annual Appreciation
3.5%

Baton Rouge Rental Market Overview

Baton Rouge combines LSU student rental demand with petrochemical and state government employment for diversified cash flow.

With a median home price of $225,000 and average monthly rents around $1,300, Baton Rouge offers investors a rent-to-price ratio of 0.58%. At current market conditions, a typical rental property in Baton Rouge generates an estimated cap rate of 6.9% and a cash-on-cash return of approximately 12.3% with 25% down financing at 6.5%.

Major Employers in Baton Rouge

Rental demand in Baton Rouge is supported by major employers including Louisiana State University, ExxonMobil, Our Lady of the Lake, State of Louisiana. These institutions provide the job base that drives consistent tenant demand for rental housing in East Baton Rouge Parish.

Baton Rouge ZIP Codes for Investors

Key ZIP codes in the Baton Rouge metro area: 70801,70802,70805,70806,70807,70808,70809,70810,70811,70812,70814,70815,70816,70817,70819,70820. Each neighborhood carries different risk/return profiles — use becvio's property analysis tools to evaluate specific deals.

Analyze a Baton Rouge Rental Property

Why Invest in Baton Rouge, LA Rental Properties?

Baton Rouge stands out for rental property investors because of its strong cap rates averaging 6.9%, combined with solid annual appreciation of 3.5%. The $225,000 median home price makes Baton Rouge accessible for investors at various capital levels, while $1,300/month rents provide meaningful cash flow.

With a gross rent multiplier of 14.4x and estimated DSCR of 0.54 on conventional financing, Baton Rouge rental properties may require careful underwriting to ensure positive cash flow. Investors using becvio can track these metrics in real-time across their entire portfolio.

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