Real Estate Investing in Little Rock, Arkansas (72227)

Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.

Pulaski County • Population: 11,800 • Data updated: September 2026

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Should you buy in 72227 (Little Rock, AR)? Our answer, based on the numbers below.

🏠 For Homebuyers
MIXED
Grade C (60/100)

Mixed signals — some positives, some negatives. Worth considering but not a slam-dunk.

📈 For Investors
MIXED
3.0 / 5 (47/100)

A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.

⚠️ Risks to Know
1 flag
  • High vacancy: 13.0% of homes vacant — above national norms.

What’s happening in Little Rock, AR (72227)?

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3.0/ 5

Investability

Overall investment appeal

2.0/ 5

Appreciation

Long-term value growth

3.0/ 5

Cashflow ROI

Rental yield potential

Avg Home Value $279,425
Avg Monthly Rent $1,206
1% Rule ✗ Does Not Meet
Median Income $78,542
% Renters 35.5%

Market Analysis: 72227 Little Rock

Not every below-median market is a bargain. Little Rock's 72227 ZIP shows signals that favor experienced operators who can absorb the risk $279K pricing implies.

Rent of $1,206/mo on a $279K basis reads well until vacancy, delinquency, and capex enter the model. The honest cap rate in 72227 sits below the stated 0.0% once reality is priced in.

Nearby ZIPs in Little Rock have seen price recovery that 72227 has not matched. Pulaski County data supports the view that the spread is structural rather than temporary.

Resident income in 72227 sits below the county median. That reality colors rent collection, vacancy, and reinvestment math in ways that outside investors often underestimate.

Strategy in 72227 is an operator game, not a passive one. On the rental side, entry prices of $279K are inviting, the management lift is real and non-optional.

Explore the Data — Click a Tab Below
🏦 Current 30-yr Fixed Mortgage Rate: 6.76% as of Sep 10 Source: Freddie Mac PMMS

Here's what matters if you're considering buying a home in Little Rock:

C+ Average
Buy Confidence Score: 69/100
Affordability
15/25
Appreciation
18/25
Stability
11/20
Timing
10/15
Rental backup
15/15
Affordability
Moderate
Homes cost 3.6× the median income
Value Trend
Rising (+5.9%)
How home values changed in the past year
Rental Backup
Strong
Could rent for $1,206/mo if you need to move
Market Conditions
COOL
More inventory, negotiating room for buyers
Bottom Line: Mixed signals in this market. Research specific properties carefully and be prepared to negotiate.
❄️
COOL MARKET
Little Rock-North Little Rock-Conway, AR Metro Area
More inventory, negotiating room for buyers
73 days
Average time to sell
Slow
8.0%
Listings with price cuts
Few Cuts
0.0%
Sale price vs asking
Below Ask
0.0%
Income needed for mortgage
Affordable
📅 Market conditions as of August 29, 2026 — updated weekly from Little Rock-North Little Rock-Conway, AR metro data
🏠

Property Strategy for 72227

Which property type performs best in this market?

Best for Cash Flow
2BR
4.8% cap rate
Best for Appreciation
5BR
+6.2% 5yr CAGR
Best Overall Value
4BR
$78,298/bedroom
📊 Compare All Property Types →
Type Median Value Est. Rent Cap Rate 5yr CAGR $/Bedroom
2BR $171,910 $1,140 4.8% +6.1% $85,955
3BR $250,925 $1,530 4.4% +6.2% $83,642
4BR $313,193 $1,810 4.2% +5.8% $78,298
5BR $500,513 +6.2% $100,103

Market Trends

Home Value History (with trend line)

$288K$264K$240K$216K$192K$167KJul 2006Jul 2016Jul 2026

Rent History (with trend line)

$1,302$1,219$1,136$1,052$969$886Nov 2022Sep 2024Jul 2026

📊 How Does 72227 Compare?

Metric 72227 Little Rock Little Rock-North Little Rock-Conway, AR Arkansas
Home Value $279,425 $268,834 N/A $216,341
5-Year CAGR 4.6% 3.8% N/A 5.7%
Avg Rent $1,206 $1,226 N/A -
Cap Rate 3.4% 4.3% - -
💡 Why Invest in 72227? Click to expand

With a 3/5 investability rating, this ZIP shows solid fundamentals for buy-and-hold investors.

A healthy rental market with 36% renter-occupied households ensures tenant availability.

📊 See where this ZIP ranks in our Best-of lists →
A great house in the wrong ZIP is still a bad deal — screen every market by cash flow & cap rate.
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Landlord Ground Truth

Real numbers from people who own or manage rentals in ZIP 72227 (Little Rock, AR). Anonymous, moderated, never written by AI.

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Property managers serving Pulaski County

Manage rentals here? List your business →

Solid Rock Property Management, LLC offers professional and affordable property management services for Central Arkansas, focusing on excellent customer service. summary from their website

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Listings are shown for convenience — Repit doesn’t endorse or vet these companies. Ratings shown come only from email-verified visitors.

Investability
Good
Cap Rate
3.4%
Low
5yr Growth
+4.6%
Moderate

📊 Market Snapshot

Home Value $279,425
Monthly Rent $1,206
Price-to-Rent 19.3:1
1% Rule ✗ Fails

💰 Return Metrics

Gross Yield 5.2%
Cap Rate 3.4%
5-Year IRR 8.0%

📈 Home Appreciation

1-Year +5.9% ▲
3-Year CAGR +3.2% ▲
5-Year CAGR +4.6% ▲
10-Year CAGR +4.3% ▲

🏠 Rent Trends

1-Year +12.6% ▲
3-Year CAGR +8.8% ▲
5-Year CAGR N/A
Negative Leverage — IRR / Tax Play Cap Rate: 3.4%  |  30yr Rate: 6.8%
Leverage reduces cash returns at current rates.

The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (3.4%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.

Run an IRR Analysis →

⚠️ Risk Signals

Composite view of factors that can impact a ZIP's stability and your downside risk.

Vacancy
13.0%
Moderate risk
Landlord Climate
5.0/5
Friendly
Value Trend (5yr)
+4.6%
Stable
Eviction process: Fast Rent control: Favorable

Demographics in 72227

Population: 11,800

💰 Median Household Income
$78,542
This area
$78,542
State
$52,981
USA
$74,580
🏠 Renter Occupied
35.5%
This area
35.5%
State
24.2%
USA
34.0%
💼 Unemployment Rate
2.8%
This area
2.8%
State
-21.7%
USA
3.7%
🎓 College Educated
57.1%
This area
57.1%
State
-9.2%
USA
33.7%
👤 Median Age
39.4 years
This area
39.4 years
State
3.7 years
USA
38.9 years
🏚️ Vacancy Rate
13.0%
This area
13.0%
State
22.6%
USA
10.5%
👥 Population by Ethnicity
White 66.3%
Black/African American 24.6%
Other/Mixed 8.4%
Hispanic/Latino 6.4%
Asian 0.5%
👶 Under 18
25.2%
This area
25.2%
USA
22.0%
👴 65 and Over
19.8%
This area
19.8%
USA
17.3%
📊 Poverty Rate
5.6%
This area
5.6%
USA
11.5%

Crime & Safety

🚧

Crime & Safety Data Coming Soon

We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.

Expected: Q1 2025

🎓 Schools in 72227

Nearby Schools (5 more)

Schools in adjacent ZIP codes that may serve this area

A Very Good

LITTLE ROCK HALL STEAM MAGNET HIGH SCHOOL

📚 09 – 12 High School
📍 6700 H Street, Little Rock
👥
305 Students
👨‍🏫
11.8:1 Class Size
💰
$15,987 Per Student
A Very Good

PULASKI HEIGHTS MIDDLE SCHOOL

📚 06 – 08 Middle
📍 401 N PINE ST, LITTLE ROCK
👥
584 Students
👨‍🏫
14.7:1 Class Size
💰
$15,987 Per Student
B+ Above Average

MCDERMOTT ELEMENTARY SCHOOL

📚 K – 05 Elementary
📍 1200 RESERVOIR RD, LITTLE ROCK
👥
262 Students
👨‍🏫
13.3:1 Class Size
💰
$15,987 Per Student
B+ Above Average

BRADY ELEMENTARY SCHOOL

📚 K – 05 Elementary
📍 7915 W MARKHAM ST, LITTLE ROCK
👥
322 Students
👨‍🏫
15.7:1 Class Size
💰
$15,987 Per Student
B+ Above Average

FOREST HEIGHTS STEM ACADEMY

📚 K – 08 School
📍 5901 EVERGREEN, LITTLE ROCK
👥
782 Students
👨‍🏫
15.2:1 Class Size
💰
$15,987 Per Student
About Repit School Scores

Traditional school ratings rely heavily on standardized test scores, which often reflect family income more than school quality. Repit takes a different approach.

We evaluate schools based on factors that research shows actually impact educational outcomes:

  • Class Size — Smaller classes mean more individual attention
  • School Funding — Resources available for programs, staff, and facilities
  • Community Factors — Neighborhood characteristics that influence student success
  • School Environment — Size, type, and structure

Scores are updated annually using federal education data.

🎓 Nearby Colleges & Universities

8 Nearby 7,103 Off-Campus Students
D
University of Arkansas System Office
0 students · 1.8 mi
D
University of Arkansas Grantham
3,742 students · 1.8 mi
C
University of Arkansas for Medical Sciences
3,275 students · 3.6 mi
B
University of Arkansas at Little Rock
8,158 students · 4.3 mi
C
University of Arkansas-Pulaski Technical College
4,175 students · 4.3 mi
D
GoodFellas Barber College
34 students · 4.8 mi
C
Baptist Health College Little Rock
512 students · 4.8 mi
D
Arkansas State University System
0 students · 5.4 mi

Investor Insight: With 7,103 students living off-campus nearby, this area has strong rental demand from the college population.

Frequently Asked Questions

Are renters plentiful in Little Rock, AR?

The tenant pool in Little Rock, AR is solid, supported by local employment and population fundamentals. Rents of $1,206/mo are well-absorbed by the market.

Does Little Rock, AR favor landlords or tenants?

For rental operators, Little Rock, AR rates as landlord-friendly. The regulatory environment standard buy-and-hold operations.

What are home prices like in Little Rock, AR?

In Little Rock, AR the median home value sits at $279K. Against the broader AR market, that reads as reasonable for most investors.

What real estate strategy is ideal for Little Rock, AR?

Investors who focus on careful cash-flow rentals with hands-on management typically do well in Little Rock, AR. The numbers - $279K homes against $1,206/mo rents - support that play.

Is Little Rock, AR a good market for FHA house hackers?

The house hack math a challenging in Little Rock, AR. Owner-occupant buyers benefit from the $1,206/mo rents and $279K home values.

You know 72227 now. You don’t know where it ranks.

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How 72227 ranks in Little Rock-North Little Rock-Conway, AR

Every ZIP in this metro, ranked. Free.

Cash Flow → Appreciation → Affordable →
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