Location: Clay County, AR | Metro: Clay County, AR
| Unit Size | Monthly FMR |
|---|---|
| Studio | $700 |
| 1 Bedroom | $720 |
| 2 Bedrooms | $940 |
| 3 Bedrooms | $1,250 |
| 4 Bedrooms | $1,330 |
| 5 Bedrooms | $1,543 |
| 6 Bedrooms | $1,728 |
| 7 Bedrooms | $1,866 |
| 8 Bedrooms | $1,959 |
U.S. Census Bureau data (2024)
The ZIP code 72430 presents several challenges for landlords considering participation in the Section 8 program. Tenant turnover is a significant concern due to the difference between the market rent of $830 and the Fair Market Rent (FMR) of $910 for the fiscal year 2026 in the metropolitan area. This gap can lead to higher vacancy rates, as tenants may struggle to find properties that match their voucher allowances. Vacancy exposure is heightened by the lack of available data on days on market (DOM), which makes it difficult to predict how long units might remain unoccupied.
Deferred maintenance is another critical issue, as the median income of $57,604 in ZIP 72430 suggests that many residents may not have the financial capacity to invest in property upkeep. Without a clear indication of the typical home value in the area, it's challenging to assess the overall condition of rental properties and the potential for increased maintenance costs. These factors combined create a scenario where landlords must be prepared for both financial and operational challenges.
However, these risks are offset by the high renter share of 28.9%. High renter density typically correlates with higher demand for housing vouchers, indicating a steady stream of potential tenants who qualify for Section 8 assistance. This demand can help mitigate some of the financial risks associated with vacancy and turnover.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.