What’s the average mortgage payment in Arkansas?

According to data collected from Redfin and Rocket Mortgage, the average monthly mortgage payment in Arkansas is around $1,655 before factoring in property taxes and insurance. With below-average home prices and low property tax rates, Arkansas is one of the more affordable states for potential home buyers.

Overview of the Arkansas housing market

The median sale price in Arkansas is about $268,700, according to recent Redfin data. Home prices have increased modestly year over year, with steady sale price increases in cities like Fayetteville and Little Rock, while remaining far below national median home prices.

Here’s a snapshot of recent median sale prices from Redfin across the state’s major cities:

Factors that influence mortgage payments in Arkansas

Your monthly mortgage payment consists of principal, interest, taxes, and insurance (PITI). Tools like the Rocket Mortgage^® mortgage calculator help buyers estimate their payments and understand how each component changes with interest rates, down payments, and home prices.

Home price and down payment

Arkansas’s average home price is well below the national median, which leads to smaller loan amounts, one of the biggest reasons the state’s average monthly mortgage payment is a low as it is.

Assuming a 20% down payment and 6.5% interest rate, an average Arkansas home buyer can expect to pay about $1,359. This is before taking homeowners insurance or property taxes into account.

Mortgage rate

Your Arkansas mortgage rate depends on:

• Credit score and history
• Debt-to-income ratio (DTI)
• Down payment
• Loan type
• Property type
• Current interest rate conditions

Just a small rate change can meaningfully affect housing affordability in Arkansas, especially in higher-priced markets like Bentonville, Fayetteville, and Rogers.

Loan term

The duration of the mortgage plays a major role when it comes to mortgage payment. 30-year fixed mortgages are most common and come with slightly lower monthly payments. The 15-year mortgage, while more expensive on a month-to-month basis, provides significant interest savings in the long run.

Property taxes and insurance

Arkansas has some of the lowest property taxes in the nation, with an average effective rate of 0.57%.

Homeowners insurance varies by region, with higher premiums in areas prone to severe weather, such as tornado-prone central and northern counties.

How do mortgage payments in Arkansas compare to others in the region?

Mortgage rates remain relatively consistent across states, but total monthly mortgage payments differ due to differences in home prices and taxes.

Here’s how Arkansas compares with its neighbors:

Arkansas remains one of the more affordable states in the South, with monthly payments just slightly above those in Louisiana and Oklahoma and far below those in Texas.

Counties with the highest mortgage payments in Arkansas

Arkansas’s most expensive counties tend to be in Northwest Arkansas, where major employers such as Walmart, Tyson Foods, and J.B. Hunt continue to attract buyers and fuel demand.

Based on Q1 2025 median sale prices from the National Association of REALTORS^®, here are the five counties with the highest estimated monthly mortgage payments:

Counties with the lowest mortgage payments in Arkansas

More rural areas throughout the state offer significantly lower home prices and some of the most affordable mortgage payments in the country.

Here are the five counties with the lowest estimated monthly mortgage payments:

How to calculate your mortgage payment

Mortgage lenders use a formula based on your loan amount, loan term, and interest rate.

Rocket Mortgage offers an easy-to-use mortgage calculator that lets you estimate your payment and compare different loan scenarios.

Adding estimates for taxes, insurance, and PMI can help you get a realistic total monthly payment for homes throughout Arkansas.

Arkansas-specific mortgage resources

Arkansas homebuyers can access several programs to lower upfront costs or reduce long-term mortgage burdens:

Arkansas Development Finance Authority (ADFA): Provides down payment assistance, competitive mortgage rates, and programs geared toward first-time home buyers.

ADFA Move-Up Program: Allows eligible buyers to secure down payment help along with a 30-year fixed mortgage.

Average mortgage payment in Arkansas FAQ

Where can I find the lowest mortgage payment in Arkansas?

Some of the lowest mortgage payments in Arkansas are found in rural counties such as Lafayette, Chicot, and Desha, where median home prices are significantly lower than in urban or suburban areas. These counties routinely offer estimated mortgage payments under $700 per month, making them some of the most affordable places to buy in the state.

Which county has the highest mortgage payment in Arkansas?

Based on Q1 2025 median prices, Benton County has the highest estimated monthly mortgage payment at $2,390.

How much do you need to make to afford a home in Arkansas?

Using the “28/36” income-to-debt guideline, homeowners should spend no more than 28% of their gross monthly income on housing. With an average mortgage payment of about $1,655, a typical household would ideally earn around $5,900 per month or about $71,000. Your exact income needs will vary based on down payment, loan type, and local property taxes.

The bottom line: Multiple factors shape your mortgage payment in Arkansas

Arkansas’s affordable home prices and low property taxes create a wide range of mortgage payments across the state. Overall, much of the state remains highly affordable for most house hunters, with some of the lowest mortgage payments in the country.

Whether you’re a first-time buyer or an experienced homeowner, get prequalified for a loan with Rocket Mortgage to understand your buying power and begin the process with confidence.

Methodology: Average monthly mortgage payment in a region, calculated based on average home purchase price for a fixed 30-year loan and a 52-week average interest rate of 6.68% from Freddie Mac as of August 2025.

This article is for informational purposes only and is not intended to provide financial, investment, or tax advice. You should consult a qualified financial or tax professional before making decisions regarding your retirement funds or mortgage.

Rocket Mortgage is a VA-approved lender, not endorsed or sponsored by the Dept. of Veterans Affairs or any government agency.

Rocket Mortgage is not acting on behalf of FHA or HUD.

The 3% down payment option is only available on certain conventional loan products and is not available in all states. Additional terms and conditions may apply.