Location: Nevada County, AR | Metro: Columbia County, AR
| Unit Size | Monthly FMR |
|---|---|
| Studio | $650 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,090 |
| 4 Bedrooms | $1,270 |
| 5 Bedrooms | $1,473 |
| 6 Bedrooms | $1,650 |
| 7 Bedrooms | $1,782 |
| 8 Bedrooms | $1,871 |
U.S. Census Bureau data (2024)
In ZIP code 71860, there are several potential issues that could impact a Section 8 investment. First, the tenant turnover rate is likely to be higher due to the disparity between the market rent at $768 and the Fair Market Rent (FMR) at $880 for fiscal year 2026 in the metropolitan area. This gap indicates that tenants might struggle to cover their portion of the rent, leading to increased turnover and associated costs.
Second, the vacancy exposure is significant. The days on market (DOM) for properties is not available, which suggests that it might be challenging to predict how long a property will remain vacant before finding a tenant. This uncertainty can result in financial losses for landlords, as vacancies mean lost rental income.
Third, there is a notable deferred maintenance exposure. With a typical home value of $83,578 and a median income of $36,758, residents may find it difficult to afford necessary repairs and maintenance, potentially leaving these tasks undone. Over time, this can lead to costly repairs and decreased property value if not addressed promptly.
However, these risks must be weighed against the high renter share in the area, which stands at 26.0%. High renter density typically translates into higher demand for housing vouchers, such as those offered through Section 8. This demand can help stabilize occupancy rates and ensure a steady stream of tenants who are able to pay their portion of the rent consistently.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.