Location: Fort Smith, AR | Metro: Fort Smith, AR-OK MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $690 |
| 1 Bedroom | $700 |
| 2 Bedrooms | $920 |
| 3 Bedrooms | $1,240 |
| 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)
ZIP code 72935, located within the Fort Smith, AR-OK MSA, stands out due to its unique characteristics compared to the average ZIP codes in the same metropolitan area. The Fair Market Rent (FMR) for ZIP 72935 is set at $890 for fiscal year 2024, which is higher than the typical market rent of $582 observed in this ZIP. This discrepancy suggests that 72935 is likely a value pocket for Section 8 tenants, where the government-subsidized rents exceed what is typically available on the market.
The absence of specific home value data for ZIP 72935 makes direct comparisons difficult, but given the high renter share of 21.9%, it indicates a significant portion of residents rely on rental properties. In the context of the Fort Smith, AR-OK MSA, where rental shares might vary, this high percentage of renters combined with below-average market rents can be indicative of an area favored by low-income households, including those participating in Section 8 programs. Landlords in this ZIP could benefit from the guaranteed income provided by Section 8 subsidies, especially when market rents are lower than the FMR.
A high renter share with below-metro home values often signals a Section 8 sweet spot. Since the home values are not specified for ZIP 72935, we can infer that it is not a premium sub-market, but rather a mid-tier neighborhood that leans towards being a value pocket. This inference is based on the higher FMR compared to the actual market rent and the notable percentage of renters.
Landlords and small-portfolio investors should consider the implications of these figures when evaluating potential investments in ZIP 72935. The alignment of Section 8 subsidies with lower market rents presents an opportunity to attract stable tenants while maintaining competitive rental rates.
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.