Location: Cross County, AR | Metro: Memphis, TN-MS-AR HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $830 |
| 1 Bedroom | $910 |
| 2 Bedrooms | $1,000 |
| 3 Bedrooms | $1,310 |
| 4 Bedrooms | $1,520 |
| 5 Bedrooms | $1,763 |
| 6 Bedrooms | $1,975 |
| 7 Bedrooms | $2,133 |
| 8 Bedrooms | $2,240 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 72331 within the Cross County, AR metro area reveals key insights for potential Section 8 landlords and small-portfolio investors.
The rent math does not work in favor of Section 8 participation. The Fair Market Rent (FMR) set at $960 for the fiscal year 2024 exceeds the average market rent of $583 as reported by the Census ACS. This discrepancy suggests that landlords could potentially earn more by renting to non-subsidized tenants.
Acquisition in this ZIP code is affordable, with a median home value of $67,167. However, the lack of available data on days on market (DOM) and the percentage of homes that have had their prices cut indicates an incomplete picture of the local housing market dynamics. To make a fully informed decision, additional research into these metrics would be beneficial.
Tenant demand is present but limited. With a total population of 2,316, nearly half (48.6%) are renters. This significant proportion of renters could provide a steady stream of potential Section 8 tenants, although the overall number of residents is relatively small, which might limit the pool of applicants.
In summary, while the acquisition cost is low and there is a notable share of renters, the higher FMR compared to the market rent makes Section 8 participation less financially attractive. The small population size further constrains the potential benefits, suggesting that landlords and investors should carefully consider other factors before committing to this ZIP code for Section 8 properties.
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.