Arkansas Mortgage Calculator

Calculate your monthly mortgage payment in Arkansas. Average home price: $179,000 · Property tax rate: 0.62% · Median household income: $52,528.

Calculate Your Arkansas Mortgage Payment

Home Price ($)

Down Payment ($)

Interest Rate (%)

Loan Term (Years)

Property Tax Rate (%)

Annual Insurance ($)

HOA Monthly ($)

Loan Type

Arkansas Housing Market Overview

$179,000

Avg Home Price

0.62%

Property Tax Rate

$2,250

Annual Insurance

6.8%

Avg Mortgage Rate

The average home price in Arkansas is $179,000, with a property tax rate of 0.62%. With 20% down at 6.8%, your estimated monthly payment would be approximately $1,214/month including principal, interest, taxes, and insurance (PITI).

Arkansas's median household income is $52,528, making the average home roughly 3.4x the median annual income. Financial advisors generally recommend a home price no more than 3-4x your annual income.

How Mortgage Payments Work in Arkansas

Your monthly mortgage payment in Arkansas consists of four components (PITI):

Principal: The portion that reduces your loan balance. Starts small and grows over time.
Interest: The cost of borrowing. At 6.8%, you'll pay significant interest in the early years.
Taxes: Arkansas's property tax rate of 0.62% means approximately $92/month on the average home.
Insurance: Homeowners insurance in Arkansas averages $2,250/year ($188/month).

If your down payment is less than 20%, you'll also pay Private Mortgage Insurance (PMI), typically 0.5-1% of the loan annually. FHA loans require mortgage insurance for the life of the loan.

Tips for Arkansas Home Buyers

Get pre-approved: Know exactly how much you can afford before shopping in Arkansas.
Compare rates: Even a 0.25% rate difference saves thousands over 30 years on a $179,000 home.
Consider property taxes: Arkansas's 0.62% rate can vary significantly by county — research your target area.
Shop insurance: Arkansas homeowners insurance averages $2,250/year, but rates vary. Get 3-5 quotes.
Budget for closing costs: Expect 2-5% of the purchase price ($3,580-$8,950) in closing costs.
Build an emergency fund: Set aside 3-6 months of mortgage payments ($3,641-$7,281) for emergencies.

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Frequently Asked Questions

What is the average mortgage payment in Arkansas?

Based on the average home price of $179,000 with 20% down at 6.8%, the typical monthly payment in Arkansas is approximately $1,214, including principal, interest, property taxes (0.62%), and homeowners insurance ($2,250/year).

What is the property tax rate in Arkansas?

Arkansas's effective property tax rate is approximately 0.62%. On a $179,000 home, that's about $1,110/year or $92/month. Property tax rates can vary by county within Arkansas.

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

For a conventional loan, 20% down on the average Arkansas home ($179,000) would be $35,800. FHA loans require as little as 3.5% ($6,265), and VA loans offer 0% down for eligible veterans. Lower down payments mean higher monthly payments and PMI.

What credit score do I need for a mortgage in Arkansas?

Conventional loans typically require 620+, FHA loans 580+ (for 3.5% down) or 500+ (for 10% down), and VA loans have no minimum but lenders typically prefer 620+. Higher scores get better rates — a 760+ score in Arkansas could save you 0.5-1% on your rate.

Should I get a 15-year or 30-year mortgage in Arkansas?

A 30-year mortgage offers lower monthly payments but more total interest. A 15-year mortgage has higher payments but saves significantly on interest. On a $143,200 loan at 6.8%, you'd save approximately $73,032 in total interest with a 15-year term.

How much house can I afford in Arkansas?

With Arkansas's median household income of $52,528, following the 28% rule (housing should be ≤28% of gross income), you could afford approximately $1,226/month for housing. That supports a home price of roughly $183,848-$210,112 depending on rates, taxes, and insurance.