Location: Grant County, AR | Metro: Grant County, AR HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $800 |
| 1 Bedroom | $810 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,200 |
| 4 Bedrooms | $1,470 |
| 5 Bedrooms | $1,705 |
| 6 Bedrooms | $1,910 |
| 7 Bedrooms | $2,063 |
| 8 Bedrooms | $2,166 |
U.S. Census Bureau data (2024)
The rent math for ZIP 72129 does not align favorably. The Fair Market Rent (FMR) set by HUD for fiscal year 2024 is $810, whereas the Census ACS reports a market rent of $825. This means that landlords participating in the Section 8 program would receive slightly less than what the market demands, resulting in a potential loss of $15 per unit monthly.
Regarding acquisition affordability, the data indicates that the median home value is not available, nor is the average number of days on the market (DOM) or the percentage of homes needing price cuts. Without these specific figures, it's challenging to assess how affordable property acquisition might be for investors looking to enter this market through the Section 8 program.
Tenant demand in ZIP 72129 is relatively low. The area has a total population of 1,506, with only 4.7% being renters. This translates to approximately 71 tenants who might be interested in Section 8 housing. Given the limited number of potential tenants, competition for rental units could be fierce, and landlords might struggle to find enough qualified applicants to fill their properties.
Verdict: Investing in ZIP 72129 under the Section 8 program is not advisable due to unfavorable rent math and low tenant demand. The discrepancy between the FMR and market rent, along with the scarcity of renters in the area, suggests that landlords would face financial challenges and difficulty in finding tenants. Until there is a significant increase in the number of renters or a change in the FMR to better match market rates, the risks outweigh the benefits for both landlords and small-portfolio investors.
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.