Arkansas housing costs at a glance
| Arkansas | |
|---|---|
| Median home value (Zillow) | $226,000 |
| Average effective property tax | 0.54% |
| Typical rate for a new buyer (calculator default) | 0.65% |
| Average homeowners insurance ($300k dwelling) | $3,552 a year |
| 2026 conforming loan limit (one unit) | $832,750 |
Example: median-priced home
Arkansas home for $226,000, 20% down, 6.5% 30-year fixed: principal and interest $1,143 + property tax $122 + insurance $296 = about $1,561 a month. Enter your own rate quote and the actual tax rate of the property for a precise figure.
Arkansas property tax
Arkansas assesses homes at 20% of market value, and the average effective rate is low, about 0.54%. A homestead also gets a homestead property tax credit of several hundred dollars a year, and its assessed value can rise by at most 5% a year (10% for other property). Owners aged 65 and over can freeze the assessed value of their home.
Other Arkansas costs
- Real property transfer tax: $3.30 per $1,000 of the price (0.33%), usually split or paid by the seller.
- Insurance: about $3,550 a year on average because of tornadoes and storms.
- See also the Arkansas paycheck calculator.
Other states
See also the Arkansas paycheck calculator and mortgage costs in other states.
Frequently asked questions
What is the property tax rate in Arkansas?
About 0.54% of home value on average.
What is the monthly payment on a median-priced Arkansas home?
On a $226,000 home with 20% down at 6.5%, principal and interest are about $1,143; with property tax at 0.65% and average insurance the total is about $1,561 a month.
What is the Arkansas homestead credit?
A yearly credit of several hundred dollars against the property tax on your primary residence; apply with the county assessor.
How much is the transfer tax in Arkansas?
$3.30 per $1,000 of the sale price (0.33%).
For information only; not a loan offer. Property tax, insurance and closing costs depend on the specific property and lender.
Sources
- Arkansas Assessment Coordination Division
- FHFA – 2026 conforming loan limits
- U.S. Census Bureau ACS 2024 – real estate taxes (via NAHB / Construction Coverage)
- Zillow Home Value Index
- Insurify – home insurance by state
Rules checked: October 2026