Location: Fayetteville-Springdale-Rogers, 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 | $1,150 |
| 1 Bedroom | $1,330 |
| 2 Bedrooms | $1,580 |
| 3 Bedrooms | $2,190 |
| 4 Bedrooms | $2,640 |
| 5 Bedrooms | $3,062 |
| 6 Bedrooms | $3,429 |
| 7 Bedrooms | $3,703 |
| 8 Bedrooms | $3,888 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,190 | $315,255 | 0.69% | D |
| 4BR | $2,640 | $430,387 | 0.61% | D |
| 5BR | $3,062 | $736,995 | 0.42% | F |
U.S. Census Bureau data (2024)
The analysis of ZIP code 72719 within the Fayetteville-Springdale-Rogers, AR MSA reveals several key points for potential landlords and small-portfolio investors.
Firstly, the rent math does not favor landlords. The Fair Market Rent (FMR) set at $1,420 for fiscal year 2024 is notably lower than the market rent indicated by ZORI, which stands at $1,688. This discrepancy suggests that landlords may struggle to cover their costs if they adhere strictly to the FMR guidelines.
Secondly, the acquisition cost of properties is reasonable. With a median home value of $356,575, purchasing homes in this area is within reach for many investors. However, the lack of data on days on market (DOM) and the low price-cut share of 0.3% imply that the market is relatively stable, but it might be challenging to find deals below the median value.
Lastly, there is a sufficient tenant demand. The ZIP code has a population of 19,701, with 37.3% of residents being renters. This indicates a steady pool of potential tenants, supporting the viability of rental investments.
Verdict: While there is ample tenant demand and acquisition costs are manageable, the rent math poses a significant challenge due to the disparity between the FMR and market rents. Investors must carefully consider their ability to charge above FMR levels and ensure that their costs align with the actual market conditions to achieve profitability. Despite these challenges, the presence of a substantial renter base makes ZIP 72719 a viable investment location, provided that careful financial planning is undertaken.
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.