Location: Scott County, AR | Metro: Fort Smith, AR-OK MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $650 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $920 |
| 3 Bedrooms | $1,200 |
| 4 Bedrooms | $1,520 |
| 5 Bedrooms | $1,763 |
| 6 Bedrooms | $1,975 |
| 7 Bedrooms | $2,133 |
| 8 Bedrooms | $2,240 |
U.S. Census Bureau data (2024)
The real estate landscape in ZIP 72927 suggests a balanced market with slight indications of stability and potential growth, particularly for long-term investors. The median home value stands at $153,663, which is relatively low compared to many other areas, indicating a region where affordability is a key factor.
A noteworthy figure is that only 0.1% of listings have seen price reductions. This minimal reduction rate signals that sellers are holding firm on their prices, suggesting strong seller confidence and limited downward pressure on property values. Coupled with the median days on market (DOM) being listed as N/A, it points to a scenario where homes are selling quickly, often before a detailed analysis of DOM can be conducted. This rapid turnover is indicative of a healthy demand for housing in the area.
On the rental side, the Fair Market Rent (FMR) for ZIP 72927 is set at $890 for fiscal year 2024, while the current market rent is approximately $775. This gap between the FMR and the actual market rent suggests an opportunity for landlords and small-portfolio investors to increase rents gradually towards the FMR without losing tenants. The discrepancy also hints at a growing rental market, as rents trend upwards to meet the FMR.
For long-hold investors, the setup in ZIP 72927 implies a realistic appreciation thesis based on several factors. Firstly, the low median home value provides a solid foundation for future growth, especially if economic conditions improve or if there's an influx of new residents into the area. Secondly, the steady demand for both homeownership and rentals, evidenced by quick sales and rising rents, supports the idea that property values will likely appreciate over the next 12-24 months. However, the lack of significant historical appreciation data means that investors should proceed with caution, focusing on long-term strategies that leverage current affordability and potential rental income growth.
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.