Location: Texarkana, AR | Metro: Texarkana, TX-Texarkana, AR HUD Metro FMR Area
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 | $800 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $1,060 |
| 3 Bedrooms | $1,330 |
| 4 Bedrooms | $1,600 |
| 5 Bedrooms | $1,856 |
| 6 Bedrooms | $2,079 |
| 7 Bedrooms | $2,245 |
| 8 Bedrooms | $2,357 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,060 | $112,892 | 0.94% | C |
| 3BR | $1,330 | $206,781 | 0.64% | D |
| 4BR | $1,600 | $324,845 | 0.49% | F |
U.S. Census Bureau data (2024)
The market in ZIP 71854, Texarkana, AR, is characterized by a strong presence of renters, indicating a dynamic housing environment. With a 38.6% renter share, there is significant long-term housing pressure, suggesting that many residents prefer or require rental options over homeownership.
The Fair Market Rent (FMR) of $960 for the fiscal year 2024 contrasts with the Zillow Observed Rent Index (ZORI) at $1,392. This gap implies that the actual rental market may be experiencing upward pressure, with rents higher than the government's benchmark for affordability.
A 0.2% price-cut share and a 66-day Days on Market (DOM) suggest that while there is some negotiation in the rental market, it is minimal. The DOM figure indicates that properties are typically rented within two months, which is relatively quick but not unusually fast. This points towards a balanced market, neither heavily favoring landlords nor tenants.
The $167,064 median home value reflects the overall affordability of the area, making it accessible for first-time buyers and those seeking to purchase homes. However, the high renter share and the disparity between FMR and ZORI indicate that rental demand remains robust.
In summary, the market in ZIP 71854 is in a state of flux, with rental demand holding steady and property values remaining within reach for potential buyers. Landlords and small-portfolio investors should pay close attention to these indicators to understand the local housing dynamics.
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.