Location: Ashley County, AR | Metro: Ashley County, AR
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $710 |
| 1 Bedroom | $710 |
| 2 Bedrooms | $930 |
| 3 Bedrooms | $1,110 |
| 4 Bedrooms | $1,550 |
| 5 Bedrooms | $1,798 |
| 6 Bedrooms | $2,014 |
| 7 Bedrooms | $2,175 |
| 8 Bedrooms | $2,284 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,110 | $132,102 | 0.84% | C |
U.S. Census Bureau data (2024)
The real estate landscape in ZIP code 71635 is set to remain stable over the next 12-24 months, with several key indicators pointing towards a balanced market. The median home value stands at $80,578, which is relatively low compared to many other regions, suggesting that there is significant affordability for potential buyers. This factor alone can attract first-time homebuyers and investors looking for entry-level properties.
The fact that only 0.2% of listings have been reduced further underscores the sellers' pricing power. In a market where reductions are minimal, it typically means that homes are selling close to their asking prices, indicating strong demand relative to supply. Landlords and small-portfolio investors should take note of this trend as it suggests that maintaining or slightly increasing property values could be feasible without encountering significant resistance from the market.
However, the median days on market (DOM) being listed as N/A signals a need for caution. While this could indicate that homes are selling quickly, it also might suggest that the data is incomplete or inconsistent. Therefore, while the current pricing power is strong, landlords and investors must remain vigilant for any changes in market conditions that could affect the speed of sales.
Moving to the rental side, the Fair Market Rent (FMR) for the metro area in fiscal year 2026 is projected to be $890, whereas the current market rent is $725 according to Census ACS data. This gap indicates an upward pressure on rents, signaling potential growth opportunities for long-term investors. As the market rent approaches the FMR, landlords may find themselves in a position to increase rents, thereby improving cash flows.
For long-hold investors, the realistic appreciation thesis is anchored in the steady increase in rental rates. With the current market rent significantly below the projected FMR, there is a clear path for rental income growth. However, appreciation in home values will likely be modest due to the already low median home value and the potential for limited price increases without a corresponding rise in household incomes.
In summary, ZIP 71635 presents a market where pricing power is currently strong but may face challenges if the speed of sales slows down. On the rental front, the setup implies a favorable environment for gradual rent increases, benefiting long-term investors who can capitalize on the growing gap between current market rents and future fair market rents.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.