Location: Carroll County, AR | Metro: Fayetteville-Springdale-Rogers, AR MSA
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 | $910 |
| 1 Bedroom | $1,010 |
| 2 Bedrooms | $1,220 |
| 3 Bedrooms | $1,690 |
| 4 Bedrooms | $2,000 |
| 5 Bedrooms | $2,320 |
| 6 Bedrooms | $2,598 |
| 7 Bedrooms | $2,806 |
| 8 Bedrooms | $2,946 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,220 | $289,331 | 0.42% | F |
| 3BR | $1,690 | $371,692 | 0.45% | F |
| 4BR | $2,000 | $494,982 | 0.4% | F |
U.S. Census Bureau data (2024)
840 is the Fair Market Rent (FMR) for ZIP 72632, Eureka Springs, AR, for fiscal year 2024, indicating the maximum rental amount allowed under the Section 8 program. 881 is the average market rent reported by the Census Bureau's American Community Survey, showing a slight premium over the FMR. 311,199 represents the median home value in the area, which is a substantial figure but still lower than many metropolitan regions, making it attractive for investors looking for a balance between cost and demand. 23.1% is the proportion of renters in the local housing market, suggesting a moderate dependency on rental properties. 46,354 is the median household income in the area, which is relatively low compared to national averages, pointing towards a significant portion of the population relying on assistance programs such as Section 8. The data does not provide a specific number for days on market (DOM), but this absence could imply a stable market where property turnover is consistent and predictable. 0.1% is the share of homes experiencing price cuts, which is exceptionally low, reflecting strong seller confidence and a robust local real estate market.
Investors should note that while the market rent slightly exceeds the FMR, the overall economic conditions of Eureka Springs support a steady demand for affordable housing. The low percentage of homes needing price adjustments suggests that properties are likely to retain their value well, which is crucial for long-term investment strategies. Additionally, the relatively low median income aligns with the purpose of Section 8, which aims to assist those who cannot afford market rents. This makes the area particularly suitable for landlords willing to participate in the Section 8 program, as there will be a steady pool of eligible tenants.
The combination of these factors—specifically the FMR at $840, median home value at $311,199, and median income at $46,354—points to a favorable environment for Section 8 landlords. The market is stable, with a modest but present demand for rental units, and the low rate of price cuts suggests that property values are resilient. For small-portfolio investors, Eureka Springs offers a niche market where affordable housing is needed, and the program can help ensure a reliable tenant base.
Section 8 verdict: Eureka Springs, AR, is a viable option for landlords seeking stable, long-term investments in an area with a steady demand for affordable 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.