How much house can I afford on $40,000 in Arkansas?
About $148,000 with 20% down ($117,000 with an FHA loan), using Arkansas's 0.5% property tax rate.
That is $75,970 less than the typical Arkansas home ($224,158), so on $40,000 you'd look at cheaper areas or a smaller home. The payment of $933 covers $797 principal and interest, $62 property tax and $74 insurance.
Counties in Arkansas you can afford on $40,000
26 of 74 counties have a typical home value at or below $148,000. The 25 priciest of them:
| County | Typical home | 1-yr change | Tax rate |
|---|---|---|---|
| Sharp County | $145,803 | -0.2% | 0.56% |
| Randolph County | $141,633 | +1.0% | 0.4% |
| Calhoun County | $134,184 | +5.4% | 0.47% |
| Lawrence County | $132,623 | +1.2% | 0.47% |
| Poinsett County | $130,353 | +5.3% | 0.53% |
| Lincoln County | $127,199 | +9.0% | 0.52% |
| Columbia County | $125,336 | -2.7% | 0.47% |
| Union County | $125,218 | -1.1% | 0.57% |
| Clay County | $124,769 | +5.3% | 0.5% |
| Hempstead County | $122,770 | +4.0% | 0.57% |
| Arkansas County | $122,343 | +1.9% | 0.54% |
| Mississippi County | $116,648 | +4.8% | 0.52% |
| Dallas County | $113,174 | +3.4% | 0.56% |
| Bradley County | $102,638 | -1.1% | 0.57% |
| Ouachita County | $101,500 | +4.8% | 0.51% |
| Desha County | $96,589 | -3.3% | 0.54% |
| Jackson County | $96,371 | -6.0% | 0.57% |
| Chicot County | $95,793 | -8.8% | 0.49% |
| Lee County | $95,565 | -10.6% | 0.46% |
| Lafayette County | $89,192 | +0.3% | 0.61% |
| Monroe County | $88,576 | -2.6% | 0.51% |
| Woodruff County | $86,695 | +1.8% | 0.56% |
| Ashley County | $83,693 | +3.5% | 0.6% |
| Jefferson County | $81,305 | -3.7% | 0.66% |
| Saint Francis County | $77,401 | -2.1% | 0.47% |
Affordable metro areas
Assumes a 30-year fixed loan at 7.11%, property tax of 0.5% of the home value a year, homeowners insurance of 0.6% a year, PMI of 0.5% of the loan a year when the down payment is under 20%, and FHA mortgage insurance of 0.55% a year plus a 1.75% upfront premium added to the loan. Your rate, taxes and insurance will differ.
Other salaries in Arkansas
Frequently asked questions
How much house can I afford on $40,000 in Arkansas?
About $148,000 with 20% down at 7.11%, keeping the payment (with Arkansas's 0.5% property tax and insurance) under $933 a month.
Is $40,000 enough to buy a house in Arkansas?
Not the typical home: the typical Arkansas home is worth $224,158 (Zillow, September 2026) and $40,000 supports about $148,000. 26 of 74 counties are within budget.