Real Estate Investing in Mountain Home, Arkansas (72653)

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

Baxter County • Population: 28,906 • Data updated: September 2026

☆ Watch this market Free account

Should you buy in 72653 (Mountain Home, AR)? Our answer, based on the numbers below.

🏠 For Homebuyers
CAUTION
Grade D (52/100)

Proceed carefully. Weak appreciation or affordability makes this a harder case for most buyers.

📈 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: 12.5% of homes vacant — above national norms.

What’s happening in Mountain Home, AR (72653)?

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3.0/ 5

Investability

Overall investment appeal

3.0/ 5

Appreciation

Long-term value growth

3.0/ 5

Cashflow ROI

Rental yield potential

Avg Home Value $237,120
Avg Monthly Rent $1,167
1% Rule ✗ Does Not Meet
Median Income $47,665
% Renters 27.5%

Market Analysis: 72653 Mountain Home

The 72653 ZIP in Mountain Home, AR is a local-operator market. Outside capital chasing a $237K entry has to pair deep knowledge with the discount.

If the plan assumes clean turnover, on-time rent, and low maintenance on a $237K asset, 72653 is the wrong submarket. If the plan prices in friction, the yield can still work.

Within AR, ZIP 72653 trails on several market indicators that neighboring Baxter County submarkets outperform. The gap is real and substantial enough to shape underwriting.

Who lives in 72653 is part of why the ZIP is priced as it is. The demographic profile requires hands-on management, tight screening, and local knowledge.

The 72653 ZIP fits a narrow investor profile — hands-on, patient, and willing to accept that the cap rate on paper is not the cap rate in reality.

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 Mountain Home:

C+ Average
Buy Confidence Score: 66/100
Affordability
10/25
Appreciation
22/25
Stability
13/20
Timing
6/15
Rental backup
15/15
Affordability
Moderate
Homes cost 5× the median income
Value Trend
Stable (+2.3%)
How home values changed in the past year
Rental Backup
Strong
Could rent for $1,167/mo if you need to move
Market Conditions
WARM
Seller-favorable conditions, steady activity
Bottom Line: Mixed signals in this market. Research specific properties carefully and be prepared to negotiate.
☀️
WARM MARKET
Mountain Home, AR Metro Area
Seller-favorable conditions, steady activity
0 days
Average time to sell
Very Fast
5.4%
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 Mountain Home, AR metro data
🏠

Property Strategy for 72653

Which property type performs best in this market?

Best for Cash Flow
2BR
3.8% cap rate
Best for Appreciation
2BR
+10.4% 5yr CAGR
Best Overall Value
3BR
$86,033/bedroom
📊 Compare All Property Types →
Type Median Value Est. Rent Cap Rate 5yr CAGR $/Bedroom
2BR $186,707 $980 3.8% +10.4% $93,354
3BR $258,098 $1,290 3.6% +9.3% $86,033
4BR $385,570 $1,300 2.4% +8.8% $96,393

Market Trends

Home Value History (with trend line)

$249K$223K$197K$171K$145K$119KJul 2006Jul 2016Jul 2026

Rent History (with trend line)

$1,180$1,141$1,103$1,064$1,025$987Oct 2025Mar 2026Jul 2026

📊 How Does 72653 Compare?

Metric 72653 Mountain Home Mountain Home, AR Arkansas
Home Value $237,120 $237,120 N/A $216,341
5-Year CAGR 5.4% 5.4% N/A 5.7%
Avg Rent $1,167 $1,167 N/A -
Cap Rate 3.8% 3.8% - -
💡 Why Invest in 72653? Click to expand

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

📊 See where this ZIP ranks in our Best-of lists →
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Landlord Ground Truth

Real numbers from people who own or manage rentals in ZIP 72653 (Mountain Home, AR). Anonymous, moderated, never written by AI.

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Investability
Good
Cap Rate
3.8%
Low
5yr Growth
+5.4%
Moderate

📉 Market Crash Risk Index

Based on Mountain Home, AR metro

0/10
Low Risk
Price YoY
0/3
N/A
Rent YoY
0/2
N/A
Below List
0/3
0%
Days Pending
0/2
0 days

View all metro crash risk rankings →

📊 Market Snapshot

Home Value $237,120
Monthly Rent $1,167
Price-to-Rent 16.9:1
1% Rule ✗ Fails

💰 Return Metrics

Gross Yield 5.9%
Cap Rate 3.8%
5-Year IRR 9.2%

📈 Home Appreciation

1-Year +2.3% ▲
3-Year CAGR +2.4% ▲
5-Year CAGR +5.4% ▲
10-Year CAGR +5.6% ▲

🏠 Rent Trends

1-Year N/A
3-Year CAGR N/A
5-Year CAGR N/A
Negative Leverage — IRR / Tax Play Cap Rate: 3.8%  |  30yr Rate: 6.8%
Leverage reduces cash returns at current rates.

The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (3.8%). 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
12.5%
Moderate risk
Landlord Climate
5.0/5
Friendly
Value Trend (5yr)
+5.4%
Stable
Eviction process: Fast Rent control: Favorable

Demographics in 72653

Population: 28,906

💰 Median Household Income
$47,665
This area
$47,665
State
$52,981
USA
$74,580
🏠 Renter Occupied
27.5%
This area
27.5%
State
24.2%
USA
34.0%
💼 Unemployment Rate
2.7%
This area
2.7%
State
-21.7%
USA
3.7%
🎓 College Educated
20.5%
This area
20.5%
State
-9.2%
USA
33.7%
👤 Median Age
51.4 years
This area
51.4 years
State
3.7 years
USA
38.9 years
🏚️ Vacancy Rate
12.5%
This area
12.5%
State
22.6%
USA
10.5%
👥 Population by Ethnicity
White 93.0%
Other/Mixed 6.3%
Hispanic/Latino 3.8%
Asian 0.4%
Black/African American 0.2%
👶 Under 18
16.7%
This area
16.7%
USA
22.0%
👴 65 and Over
31.0%
This area
31.0%
USA
17.3%
📊 Poverty Rate
7.5%
This area
7.5%
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 72653

B Avg School Grade
7 Schools
15.3:1 Avg Class Size
$11,323 Avg Per Pupil

Schools in This ZIP Code

B+ Above Average

PINKSTON MIDDLE SCHOOL

📚 06 – 07 Middle
👥
564 Students
👨‍🏫
13.5:1 Class Size
💰
$11,323 Per Student
B Good

NELSON WILKS HERRON ELEMENTARY

📚 01 – 02 Elementary
👥
531 Students
👨‍🏫
16.8:1 Class Size
💰
$11,323 Per Student
B Good

HACKLER INTERMEDIATE SCHOOL

📚 03 – 05 Elementary
👥
869 Students
👨‍🏫
17.6:1 Class Size
💰
$11,323 Per Student
B Good

MOUNTAIN HOME KINDERGARTEN

📚 Grade KG Elementary
👥
284 Students
👨‍🏫
15.4:1 Class Size
💰
$11,323 Per Student
C+ Average

MOUNTAIN HOME CAREER ACADEMIES

📚 08 – 12 High School Charter
👥
1,517 Students
👨‍🏫
12.1:1 Class Size
💰
$11,323 Per Student
C+ Average

GUY BERRY COLLEGE AND CAREER ACADEMY

📚 06 – 12 High School Charter
👥
74 Students
👨‍🏫
16.8:1 Class Size
💰
$11,323 Per Student
C Below Average

ARKANSAS STATE UNIVERSITY-MOUNTAIN HOME CAREER CENTER

📚 09 – 12 High School Limited Data
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

1 Nearby 500 Off-Campus Students
C
Arkansas State University-Mountain Home
1,284 students · 1.6 mi

Frequently Asked Questions

What do landlords charge for rent in Mountain Home, AR?

Expect rents around $1,167/mo per month in Mountain Home, AR. With home values at $237K, the yield math works out to reasonable levels for rental investors.

How strict are landlord regulations in Mountain Home, AR?

Rental owners in Mountain Home, AR deal with a landlord-friendly legal framework. Most standard eviction processes run on reasonable timelines.

Is Mountain Home in AR worth investing in?

Investors tracking Mountain Home, AR will find a 3.0/5 rating supported by $237K median home values and $1,167/mo rents. That profile suits long-term holders targeting measured returns.

Are renters plentiful in Mountain Home, AR?

Mountain Home, AR draws a steady base of working renters. Demand at the $1,167/mo rent level is reasonable for standard single-family and small multi rentals.

What is the rental occupancy rate in Mountain Home, AR?

Mountain Home, AR vacancy trends elevated. Investors running standard buy-and-hold plays see reasonable downtime between tenants.

You know 72653 now. You don’t know where it ranks.

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How 72653 ranks in Mountain Home, AR

Every ZIP in this metro, ranked. Free.

Cash Flow → Appreciation → Affordable →
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