Location: Jackson County, AR | Metro: Jonesboro, AR HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $730 |
| 1 Bedroom | $790 |
| 2 Bedrooms | $940 |
| 3 Bedrooms | $1,270 |
| 4 Bedrooms | $1,340 |
| 5 Bedrooms | $1,554 |
| 6 Bedrooms | $1,740 |
| 7 Bedrooms | $1,879 |
| 8 Bedrooms | $1,973 |
U.S. Census Bureau data (2024)
The Section 8 cap-rate analysis for ZIP code 72479 provides valuable insights into potential investment returns for landlords and small-portfolio investors. Using the annualized Fair Market Rent (FMR) for a 2-bedroom apartment at $810 and the Census-reported market rent of $853, we can calculate the gross yields based on the median home value of $139,128.
First, let's consider the FMR scenario. With an annual rent of $810, the gross yield would be calculated as follows:
Next, we examine the market rent scenario. At $853 annually, the gross yield is:
Given these calculations, the gross yield under the market rent scenario is slightly higher than that under the FMR scenario. However, it's important to note that the gross yield alone does not provide a complete picture of investment viability. The renter density in ZIP 72479 is 21.0%, indicating that a significant portion of residents are likely to be seeking rental assistance through programs such as Section 8.
The N/A-day Days on Market (DOM) suggests that there may be limited data available regarding how quickly properties are rented out in this area. This could imply either a robust demand for rentals or a less active market, depending on the context. In light of the high percentage of renters seeking assistance, the FMR scenario is more realistic for most investors. While the market rent offers a marginally better gross yield, the likelihood of attracting tenants who qualify for Section 8 vouchers is substantial due to the renter density. Therefore, the FMR-based gross yield of 0.58% should be considered a more practical expectation for landlords and small-portfolio investors looking to participate in the Section 8 program within ZIP 72479.
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.