Location: Van Buren County, AR | Metro: Cleburne 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 | $650 |
| 1 Bedroom | $720 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,250 |
| 4 Bedrooms | $1,270 |
| 5 Bedrooms | $1,473 |
| 6 Bedrooms | $1,650 |
| 7 Bedrooms | $1,782 |
| 8 Bedrooms | $1,871 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $910 | $112,253 | 0.81% | C |
| 3BR | $1,250 | $218,412 | 0.57% | F |
U.S. Census Bureau data (2024)
The rent math in ZIP 72088, encompassing Fairfield Bay, AR, and part of the Van Buren County, AR metro area, is favorable but tight. The Fair Market Rent (FMR) set at $880 for fiscal year 2026 is slightly above the current market rent of $838 as reported by the Census Bureau's American Community Survey (ACS). This indicates that rental properties can command a premium close to the FMR, making it possible to cover operational costs and generate a modest profit.
Acquisition in this ZIP code is relatively affordable. With a median home value of $143,042, the cost of entry into the real estate market is manageable for most investors. However, the lack of available data on days on market (DOM) and the low 0.1% price-cut share suggest that homes are selling quickly without significant discounts. This implies that while the median home value is low, competition among buyers could drive up prices, potentially affecting affordability.
Tenant demand is present but limited. The ZIP code has a population of 2,542, with only 13.0% of residents being renters. This means approximately 330 individuals are actively seeking rental housing. Given the size of the population, landlords should expect a smaller pool of potential tenants compared to larger metropolitan areas. It's crucial to maintain competitive rental rates and attractive property conditions to attract and retain tenants.
Verdict: ZIP 72088 presents an opportunity for landlords and small-portfolio investors who can manage tight margins and are prepared to compete in a market where homes sell quickly. While tenant demand exists, it is limited, necessitating careful management of rental properties to ensure occupancy. The slight premium between the FMR and market rent supports the viability of rental investments, but success will depend on the ability to navigate the local market dynamics effectively.
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.