Location: Ouachita County, AR | Metro: Hempstead County, AR
| Unit Size | Monthly FMR |
|---|---|
| Studio | $690 |
| 1 Bedroom | $750 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,170 |
| 4 Bedrooms | $1,350 |
| 5 Bedrooms | $1,566 |
| 6 Bedrooms | $1,754 |
| 7 Bedrooms | $1,894 |
| 8 Bedrooms | $1,989 |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 71857, located in Ouachita County, AR metro, reveals several key insights. The HUD Fair Market Rent (FMR) for the area is set at $920 for fiscal year 2026. In comparison, the market rent based on Census ACS data stands at $906. This indicates that voucher tenants will generally cashflow at the FMR rate, though with minimal margins given the close alignment between the two figures.
To further analyze the investment potential, consider the median home value in the area, which is $91,826. Using this figure, we can calculate a rent-to-price ratio. The annual rent at the FMR rate would be approximately $11,040 ($920 x 12 months), leading to a rent-to-price ratio of about 12%. This ratio suggests that rental income is relatively high compared to property values, making it an attractive option for investors seeking steady cash flow.
The dynamics of days on market (DOM) and price-cut shares are not applicable in this scenario, as the provided data indicates these metrics are N/A. However, the low median home value and favorable rent-to-price ratio suggest that the buy vs. rent decision leans heavily towards renting, particularly for those utilizing Section 8 vouchers. This supports the idea that rental properties are likely to maintain occupancy rates and generate consistent income.
The strongest investor angle in ZIP code 71857 is cash flow. Given the slight premium of FMR over market rent and the favorable rent-to-price ratio, investors can expect to see positive cash flow from their rental properties, especially if they manage to secure and retain voucher tenants.
Data Sources: FMR data from HUD (2027). 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.