Location: Little Rock-North Little Rock-Conway, AR | Metro: Little Rock-North Little Rock-Conway, AR HUD Metro FMR Area
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 | $1,060 |
| 1 Bedroom | $1,060 |
| 2 Bedrooms | $1,230 |
| 3 Bedrooms | $1,650 |
| 4 Bedrooms | $1,990 |
| 5 Bedrooms | $2,308 |
| 6 Bedrooms | $2,585 |
| 7 Bedrooms | $2,792 |
| 8 Bedrooms | $2,932 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,230 | $142,764 | 0.86% | C |
| 3BR | $1,650 | $256,324 | 0.64% | D |
| 4BR | $1,990 | $443,323 | 0.45% | F |
| 5BR | $2,308 | $551,124 | 0.42% | F |
U.S. Census Bureau data (2024)
The rental market in ZIP code 72211, located in Little Rock, Arkansas, presents a complex landscape for both renters and landlords. The median income for households in this area stands at $83,134, which is a significant figure. However, when compared to the market rate for rent, which is $1,144 per month (ZORI), the financial picture becomes less rosy. This amount represents a considerable portion of the average household’s monthly income, making it challenging for residents to find affordable housing.
To put this into perspective, the federal government sets a Fair Market Rent (FMR) standard for ZIP 72211 at $1,140 for fiscal year 2024. This FMR is used to determine the maximum amount that a Section 8 voucher will cover. Given that the ZORI and FMR rates are nearly identical, it indicates that the market is closely aligned with the government's affordability benchmarks. For renters, this means that those who qualify for Section 8 vouchers can find housing that matches their financial assistance levels.
In ZIP 72211, where 50.4% of the population are renters, and the total population is 22,335, the affordability gap has a direct impact on landlord competition. Landlords must be aware that a substantial portion of potential tenants may be relying on vouchers to cover their rent. This reliance can create a scenario where landlords have to compete with others for voucher-supported tenants, as these individuals may have limited options outside of subsidized housing.
The takeaway for landlords considering whether to accept vouchers versus focusing on cash-paying tenants is clear. While accepting vouchers can ensure a steady stream of rental income, it may also mean lower rents compared to market rates. On the other hand, targeting cash-paying tenants could result in higher rental income but also increased competition for those few households that can afford to pay above the FMR without assistance. Landlords should consider the balance between these two approaches based on their financial goals and the local demand for both types of housing.
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.