Real Estate Investing in Huntsville, Arkansas (72740)

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

Madison County • Population: 10,226 • Data updated: September 2026

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Should you buy in 72740 (Huntsville, 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: 20.2% of homes vacant — above national norms.

• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.

What’s happening in Huntsville, AR (72740)?

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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 $264,248
Avg Monthly Rent $900
1% Rule ✗ Does Not Meet
Median Income $51,756
% Renters 22.0%

Market Analysis: 72740 Huntsville

ZIP 72740 in Huntsville, AR carries a significant set of headwinds. Home values near $264K and rents of $900/mo sit inside a market where underwriting has to be tight.

Distressed markets are won on execution, not on spreadsheets. ZIP 72740 clocks in at the profile where tenant screening, deferred maintenance, and local relationships determine the outcome.

Statewide comparisons place 72740 among AR's softer markets. That context does not make the ZIP uninvestable, but it does raise the bar for due diligence.

Demographically, 72740 is a market where tenant selection matters more than unit finishes. Operators who understand that tend to do fine; those who do not tend to learn why the ZIP trades at a discount.

Strategically, 72740 can be a high-return sleeve of a diversified portfolio — but it should not be the whole portfolio, and it should not be someone's first deal.

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 Huntsville:

C+ Average
Buy Confidence Score: 64/100
Affordability
10/25
Appreciation
22/25
Stability
11/20
Timing
6/15
Rental backup
15/15
Affordability
Expensive
Homes cost 5.1× the median income
Value Trend
Rising (+5.0%)
How home values changed in the past year
Rental Backup
Strong
Could rent for $900/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
Fayetteville-Springdale-Rogers, AR Metro Area
Seller-favorable conditions, steady activity
0 days
Average time to sell
Very Fast
10.4%
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 Fayetteville-Springdale-Rogers, AR metro data
🏠

Property Strategy for 72740

Which property type performs best in this market?

Best for Cash Flow
3BR
4.0% cap rate
Best for Appreciation
2BR
+9.5% 5yr CAGR
Best Overall Value
4BR
$76,686/bedroom
📊 Compare All Property Types →
Type Median Value Est. Rent Cap Rate 5yr CAGR $/Bedroom
2BR $192,503 $1,000 3.7% +9.5% $96,252
3BR $253,911 $1,410 4.0% +8.8% $84,637
4BR $306,745 $1,620 3.8% +7.7% $76,686

Market Trends

Home Value History (with trend line)

$283K$243K$204K$165K$125K$86KJul 2006Jul 2016Jul 2026

📊 How Does 72740 Compare?

Metric 72740 Huntsville Fayetteville-Springdale-Rogers, AR Arkansas
Home Value $264,248 $264,248 N/A $216,341
5-Year CAGR 5.8% 5.8% N/A 5.7%
Avg Rent $900 $900 N/A -
Cap Rate 2.7% 2.7% - -
💡 Why Invest in 72740? 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 →
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 72740 (Huntsville, AR). Anonymous, moderated, never written by AI.

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Investability
Good
Cap Rate
2.7%
Low
5yr Growth
+5.8%
Moderate

📊 Market Snapshot

Home Value $264,248
Monthly Rent $900
Price-to-Rent 24.5:1
1% Rule ✗ Fails

💰 Return Metrics

Gross Yield 4.1%
Cap Rate 2.7%
5-Year IRR 8.4%

📈 Home Appreciation

1-Year +5.0% ▲
3-Year CAGR +4.1% ▲
5-Year CAGR +5.8% ▲
10-Year CAGR +7.7% ▲

🏠 Rent Trends

1-Year N/A
3-Year CAGR N/A
5-Year CAGR N/A
Negative Leverage — IRR / Tax Play Cap Rate: 2.7%  |  30yr Rate: 6.8%
Leverage reduces cash returns at current rates.

The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (2.7%). 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
20.2%
Elevated risk
Landlord Climate
5.0/5
Friendly
Value Trend (5yr)
+5.8%
Stable
Eviction process: Fast Rent control: Favorable

Demographics in 72740

Population: 10,226

💰 Median Household Income
$51,756
This area
$51,756
State
$52,981
USA
$74,580
🏠 Renter Occupied
22.0%
This area
22.0%
State
24.2%
USA
34.0%
💼 Unemployment Rate
3.9%
This area
3.9%
State
-21.7%
USA
3.7%
🎓 College Educated
11.5%
This area
11.5%
State
-9.2%
USA
33.7%
👤 Median Age
36.3 years
This area
36.3 years
State
3.7 years
USA
38.9 years
🏚️ Vacancy Rate
20.2%
This area
20.2%
State
22.6%
USA
10.5%
👥 Population by Ethnicity
White 78.5%
Other/Mixed 20.4%
Hispanic/Latino 14.3%
Asian 1.0%
Black/African American 0.1%
👶 Under 18
26.8%
This area
26.8%
USA
22.0%
👴 65 and Over
18.1%
This area
18.1%
USA
17.3%
📊 Poverty Rate
16.0%
This area
16.0%
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 72740

A Avg School Grade
4 Schools
13.4:1 Avg Class Size
$16,744 Avg Per Pupil

Schools in This ZIP Code

A Very Good

HUNTSVILLE HIGH SCHOOL

📚 09 – 12 High School
👥
604 Students
👨‍🏫
9.7:1 Class Size
💰
$16,744 Per Student
A Very Good

HUNTSVILLE MIDDLE SCHOOL

📚 06 – 08 Middle
👥
513 Students
👨‍🏫
12.5:1 Class Size
💰
$16,744 Per Student
A Very Good

WATSON PRIMARY SCHOOL

📚 K – 02 Elementary
👥
483 Students
👨‍🏫
14.9:1 Class Size
💰
$16,744 Per Student
B+ Above Average

HUNTSVILLE INTERMEDIATE SCH

📚 03 – 05 Elementary
👥
447 Students
👨‍🏫
16.4:1 Class Size
💰
$16,744 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.

Frequently Asked Questions

Is AR a landlord-friendly state?

Landlord-friendliness in Huntsville, AR is landlord-friendly. Eviction timelines and lease enforcement are considered reasonable by most property managers.

What is the investability score for Huntsville, AR?

Huntsville, AR registers an investability rating of 3.0/5, with median home values near $264K and average rents around $900/mo. That combination puts it in the sturdy tier for investor interest.

How do experienced investors play Huntsville, AR?

Investors who focus on careful cash-flow rentals with hands-on management typically do well in Huntsville, AR. The numbers - $264K homes against $900/mo rents - support that play.

Is house hacking profitable in Huntsville, AR?

House hacking in Huntsville, AR is reasonable to execute. Prices around $264K and rents of $900/mo solid owner-occupant economics.

How strong is the working-renter base in Huntsville, AR?

Tenant demand in Huntsville, AR is solid. The local workforce $900/mo rents across most rental classes.

You know 72740 now. You don’t know where it ranks.

This page stays free — all of it. What one page can’t tell you is how 72740 compares to every other market. Investor ($19/mo) screens every U.S. ZIP by cap rate, the 1% rule, vacancy and landlord climate, and exports your shortlist.

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How 72740 ranks in Fayetteville-Springdale-Rogers, AR

Every ZIP in this metro, ranked. Free.

Cash Flow → Appreciation → Affordable →
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