Arkansas Mortgage Guide 2026
Loan limits that are identical in all 75 counties, ADFA first mortgages and repayable down payment assistance, an estimated 0.55% effective property tax rate, and title insurance premiums set by the title insurer.
Arkansas loan limits by county
Every one of Arkansas’s 75 counties carries the same 2026 FHA limit and the same conforming limit — there is not a single high-cost county in the state, so the figure in Bentonville is the figure in Little Rock is the figure in Texarkana.
| Property type | FHA limit (2026) | Conforming limit (2026) |
|---|---|---|
| One-family | $541,287 | $832,750 |
| Two-family | $693,050 | $1,066,250 |
| Three-family | $837,700 | $1,288,800 |
| Four-family | $1,041,125 | $1,601,750 |
HUD sets FHA limits from local median home prices, with a national floor and ceiling. Because Arkansas home prices sit below the threshold where the calculated limit would rise, all 75 counties land on the national floor. Confirm any county at the HUD FHA Mortgage Limits lookup.
Loan programs available in Arkansas
The same four loan types cover most Arkansas purchases. The thresholds below are common lender practice rather than published agency floors, so treat them as the practical bar rather than a rule.
| Program | Min down payment | Min credit score | Best for |
|---|---|---|---|
| FHA | 3.5% | 580 | Buyers with thinner credit or limited savings |
| VA | 0% | 580–620 (lender overlay) | Veterans, active duty and eligible surviving spouses |
| USDA | 0% | No USDA minimum | Buyers in the rural areas that cover most of Arkansas |
| Conventional | 3–20% | 620 | Buyers with stronger credit who want to avoid FHA mortgage insurance |
FHA’s 3.5% down at 580 is set out in HUD Handbook 4000.1. The VA publishes no minimum credit score at all and USDA’s program guide states no specific minimum credit score — which is why both are shown here as lender practice.
Arkansas Development Finance Authority mortgage programs
ADFA runs two first mortgages, and which one you use turns on whether you have owned a home in the last three years.
| Program | First-time buyer required | Minimum credit score | Purchase price limit |
|---|---|---|---|
| ADFA StartSmart | Yes, unless buying in a targeted county or a veteran | 640 | $500,000 |
| ADFA Move-Up | No | 640 | Conforming loan limit |
StartSmart is funded with tax-exempt mortgage revenue bonds and prices approximately 1% below market rate. Move-Up carries no below-market rate claim — it is an affordable 30-year fixed that pairs with the same assistance.
Both programs can be combined with ADFA Down Payment Assistance of $1,000 to $15,000. That assistance is a repayable second mortgage amortized over 10 years at the first mortgage’s interest rate — ADFA’s own guidelines call it a subordinate repayable mortgage loan. It is not a grant and it is not forgiven.
Full program terms are published by the Arkansas Development Finance Authority.
Arkansas property taxes
Against a statewide median home value of $188,000, the median Arkansas homeowner pays about $1,040 a year in real estate taxes — an estimated effective rate of 0.55%.
That 0.55% is a median effective rate: median taxes actually paid divided by median home value, from the Census Bureau’s American Community Survey 5-Year 2024 estimates. It is not a millage rate and not an assessment ratio, and the three are not interchangeable.
Your own bill depends on the millage set by your county, city and school district, so two homes of identical value in different districts will not pay the same tax.
Arkansas closing costs
Three state-level facts shape what an Arkansas closing costs, and two of them work in the buyer’s favour.
| Item | Amount | Notes |
|---|---|---|
| Real property transfer tax | $3.30 per $1,000 | On consideration above $100, levied on the deed only |
| Tax on recording the mortgage | None | Arkansas levies no mortgage or mortgage registration tax |
| Recording fee | $15 first page, $5 each additional | Ark. Code § 21-6-306 |
| Title insurance | Set by the title insurer | Shop several providers |
The full breakdown, including who customarily pays what, is in the Arkansas closing costs guide.
Arkansas housing market overview
Arkansas is not one market. The northwest corner behaves very differently from the Delta, and the loan limits being identical statewide masks how much the underlying markets diverge.
| Area | Market notes |
|---|---|
| Northwest Arkansas | Benton, Washington and Madison counties — the state’s fastest-growing corridor and its strongest price pressure, anchored by Fayetteville, Springdale, Rogers and Bentonville |
| Central Arkansas | Pulaski, Faulkner, Saline, Lonoke, Grant and Perry counties — the Little Rock metro, the state’s largest and most liquid market |
| River Valley | Fort Smith and Russellville — a manufacturing and river-freight economy with a slower, steadier market |
| Northeast Arkansas | Jonesboro and the surrounding counties — a regional medical and university centre serving an agricultural hinterland |
| Hot Springs and the Ouachitas | Garland County and the lakes — a market shaped by retirees and second homes rather than local employment |
| The Delta | The eastern counties along the Mississippi — the state’s most affordable housing and its thinnest transaction volume |
