Location: Conway County, AR | Metro: Little Rock-North Little Rock-Conway, AR HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $890 |
| 1 Bedroom | $900 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,390 |
| 4 Bedrooms | $1,640 |
| 5 Bedrooms | $1,902 |
| 6 Bedrooms | $2,130 |
| 7 Bedrooms | $2,300 |
| 8 Bedrooms | $2,415 |
U.S. Census Bureau data (2024)
The ZIP code 72125 presents a dynamic rental market that is influenced by several key factors. The Fair Market Rent (FMR) for the area stands at $850 for the fiscal year 2024, which is notably higher than the market rent of $690 based on recent Census American Community Survey (ACS) data. This discrepancy suggests that the rental market is currently experiencing downward pressure, indicative of a situation where supply may be outpacing demand.
The median home value in ZIP 72125 is $151,761. While this figure alone does not provide a complete picture of the housing market dynamics, it can be interpreted alongside the rental market data to understand the broader context. With a relatively low median home value, there might be an inclination towards homeownership rather than renting, which could explain why the market rent is below the FMR. However, the 16.0% renter share indicates that a significant portion of the population still relies on rentals, suggesting long-term housing pressure remains a factor.
The lack of specific data regarding price-cut share and days on market (DOM) makes it challenging to pinpoint exact trends in the rental market's responsiveness to changes in supply and demand. Nevertheless, the lower market rent compared to the FMR points to a potential surplus of rental units, leading landlords and small-portfolio investors to consider pricing strategies carefully to attract tenants.
Landlords should be aware of these dynamics and consider adjusting their rents to align with the market conditions while also ensuring they remain competitive. The snapshot of the market suggests a balance between attracting tenants and maintaining profitability, especially given the relatively low median home value and the ongoing reliance on rental housing.
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.