Side-by-side comparison of Fayetteville, AR and Fort Smith, AR — cap rates, rent, prices, and investment metrics.
Cash flow: Fort Smith has the edge with an estimated cap rate of 5.24% compared to Fayetteville's 4.07%. Neither city passes the 1% rule outright, so deal sourcing and value-add strategies become more important. Median home prices are $275,000 in Fayetteville vs $155,000 in Fort Smith, while rents come in at $1,320/mo and $920/mo respectively.
Growth & appreciation: Fayetteville is growing faster at 2.2% annually vs Fort Smith's 0.3%. Fayetteville leads on home value appreciation at 3.2% per year. Strong population growth typically translates to sustained rental demand and long-term price support.
Costs & risk: Property taxes are 0.61% in Fayetteville vs 0.6% in Fort Smith. Vacancy rates of 4.8% and 6.8% are mixed — Fayetteville has the tighter rental market.
Bottom line: Fort Smith edges out Fayetteville on most key metrics. With a 5.24% cap rate, it offers solid cash flow potential. Use our free calculators to model specific deals in Fayetteville or Fort Smith.