Location: Woodruff County, AR | Metro: Monroe County, AR
| Unit Size | Monthly FMR |
|---|---|
| Studio | $770 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $1,090 |
| 3 Bedrooms | $1,320 |
| 4 Bedrooms | $1,480 |
| 5 Bedrooms | $1,717 |
| 6 Bedrooms | $1,923 |
| 7 Bedrooms | $2,077 |
| 8 Bedrooms | $2,181 |
U.S. Census Bureau data (2024)
If a landlord is considering purchasing a property in ZIP code 72392 for Section 8 participation, they must follow a structured decision-making process based on financial feasibility and market demand.
Step 1: Financial Feasibility
The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $880. This amount needs to cover the debt service on the property. However, since the data does not provide a specific property price or debt service figure for ZIP 72392, we cannot definitively state whether this FMR will cover the necessary costs. Without a clear understanding of the property's financials, including mortgage payments, taxes, insurance, and maintenance, the answer to whether you should buy here is it depends.
Step 2: Market Rent Comparison
The Census American Community Survey (ACS) reports that the average market rent in ZIP 72392 is $1,008. This is higher than the FMR of $880, indicating that properties rented out at market rates would generate more income than those participating in the Section 8 program. If your goal is to maximize rental income, then the answer is no; Section 8 properties would not be as profitable. However, if you are interested in stable, government-backed rental income, the answer is yes.
Step 3: Rental Demand Analysis
In ZIP 72392, 28.0% of residents are renters. Additionally, the number of days on market (DOM) for properties is not specified, making it difficult to assess the urgency of the rental demand. If the DOM is low, indicating quick turnover of rental listings, there is likely sufficient demand to support Section 8 properties. In the absence of this data, the answer to whether there is enough demand is it depends. To make an informed decision, a landlord would need to research the DOM for rental properties in the area.
Decision Summary:
Note: The decision to invest in Section 8 properties also hinges on factors such as the landlord's experience with subsidized housing, their ability to manage properties effectively under HUD guidelines, and their long-term investment goals. These considerations are outside the scope of the provided data but are important for a comprehensive analysis.
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.