Mortgage Affordability Calculator for Arkansas (AR) — Free Calculator

Buying a Home in Arkansas: What You Can Afford

The median home value in Arkansas is $170,000. Arkansas home prices have grown faster than historical norms since 2020, up ~25%, driven by out-of-state migration to markets like Bentonville and Fayetteville.

Conforming Loan Limits in Arkansas

The conforming loan limit in Arkansas is $726,200. All Arkansas counties are at the standard conforming limit. Loans above this threshold are considered jumbo loans and typically carry stricter qualification requirements and slightly higher rates.

Property Taxes to Budget For

Beyond your mortgage payment, budget for Arkansas's property taxes: the effective rate is 0.62%, meaning a home at the median value generates about $743/year in taxes. This is a real cost that lenders include in your debt-to-income (DTI) calculation.

Closing Costs in Arkansas

Buyers typically pay around $2,200 in closing costs in Arkansas. Arkansas has minimal state-level transfer taxes, keeping closing costs modest. Factor this into your upfront cash requirement alongside your down payment.

Data: Tax Foundation (2024), US Census Bureau ACS 2023, Zillow, ATTOM Data Solutions. Updated 2024–2025. Figures reflect state averages — consult a licensed professional for personalized advice.

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Frequently Asked Questions

What is the median home price in Arkansas?

The median home value in Arkansas is $170,000. Arkansas home prices have grown faster than historical norms since 2020, up ~25%, driven by out-of-state migration to markets like Bentonville and Fayetteville.

What is the conforming loan limit in Arkansas?

The conforming loan limit in most of Arkansas is $726,200. All Arkansas counties are at the standard conforming limit.

How much are property taxes in Arkansas?

Arkansas's effective property tax rate is 0.62%, with an average annual bill of $743. Lenders include property taxes in your monthly PITI payment and DTI calculation.

How much do I need for a down payment in Arkansas?

For a home at Arkansas's median value of $170,000, a 20% conventional down payment is $34,000, and a 3.5% FHA down payment is $6,000. Budget an additional $2,200 for closing costs.