Overview
Arkansas offers exceptional affordability with low property taxes and cost of living. Northwest Arkansas (Bentonville/Fayetteville) has emerged as a surprisingly dynamic region driven by Walmart headquarters, while Little Rock serves as the traditional center. The Ozark Mountains provide natural beauty and outdoor recreation.
Arkansas Real Estate Market
Northwest Arkansas has seen strong appreciation driven by Walmart, Tyson Foods, J.B. Hunt, and quality of life amenities. The region has attracted remote workers and corporate transfers. Little Rock remains affordable with stable demand. Hot Springs offers retirement and tourism appeal. Rural Arkansas provides extremely low prices.
Property Taxes in Arkansas
Arkansas has relatively low property taxes with a homestead credit.
Average effective rate: 0.62%
Annual tax on median home: ~$1,209
Homestead credit: $375 annual tax credit for owner-occupied homes
First-Time Buyer Programs
ADFA Programs: Arkansas Development Finance Authority offers:
- ADFA Move-Up - Down payment assistance
- ADFA Down Payment Assistance - Up to $15,000
- Mortgage Credit Certificate
- HOME Investment Partnerships Program
Closing Costs in Arkansas
Arkansas closing costs are low, typically 2-2.5% of purchase price.
Common costs include:
- Title insurance: Based on purchase price
- Real estate transfer tax: $3.30 per $1,000
- Recording fees: County-dependent
Frequently Asked Questions
Northwest Arkansas is home to Walmart, Tyson Foods, and J.B. Hunt headquarters. These companies have invested in community amenities including Crystal Bridges Museum and the Razorback Greenway, creating a surprisingly cosmopolitan small metro.
Bentonville has become the most expensive market in Arkansas due to Walmart headquarters and corporate influx. Prices are moderate by national standards but high for the state. Rogers and other nearby cities offer more affordable options.
Arkansas offers natural beauty, outdoor recreation, friendly communities, and very low cost of living. The trade-offs include limited metro areas, lower wages, and fewer cultural amenities outside Northwest Arkansas.