Arkansas Mortgage Calculator
Mortgage is next to the only affordable option for low to average income home buyers in many parts of Arkansas and the rest of the United States. On this page we offer a convenient Arkansas home loan calculator to gauge your potential expenses, and up-to-date answers to several frequently asked questions concerning buying a house in Arkansas.
| Total principal & interest | $0 |
| Monthly payment | $0 |
| Total interest paid | $0 |
| Payoff date | Date |
Detailed payment info
| Date | Payment | Principal Paid | Interest Paid | Remaining Balance |
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Today's Mortgage Rates Trends in Arkansas
| Product | Rate | 1w change | APR | 1w change |
|---|---|---|---|---|
| 30-year fixed | 7.628 | -0.47% | 7.651 | -0.47% |
| 20-year fixed | 7.51 | -1.13% | 7.539 | -1.13% |
| 15-year fixed | 6.888 | -0.64% | 6.924 | -0.64% |
| 10-year fixed | 6.89 | -0.22% | 6.94 | -0.22% |
| 30-year fixed-rate FHA | 7.281 | -0.51% | 8.399 | -0.42% |
| 30-year fixed-rate VA | 7.206 | -1.28% | 7.449 | -1.26% |
- 30 Year Fixed
- 20 Year Fixed
- 15-Year Fixed
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Arkansas Mortgage Calculator
Mortgages are often the most viable and cost-effective choice for individuals with modest to moderate incomes who wish to purchase a home in various regions of Arkansas and across the entirety of the United States. To assist you in evaluating your potential financial commitment, we present a user-friendly Arkansas mortgage calculator on this page.
Best mortgage lenders in Arkansas
The highly sought-after mortgage providers in Arkansas have a strong presence across the country. Some prominent names in this industry are AmeriSave, Morty Inc, and Pentagon Federal Credit Union. Several lesser known but trustworthy options include Arkansas-based First Arkansas Mortgage Co, NwaLending.com.
How to calculate mortgage payment in Arkansas
Utilize our rapid and uncomplicated Arkansas home loan calculator to assess your forthcoming monthly costs. A comprehensive guide with sequential directions is presented below.
How to Use Our Mortgage Calculator
Utilize our Arkansas Mortgage Calculator to effectively plan your future expenditures for your house. Let’s delve deeper into each category to gain a better comprehension of the mortgage in Arkansas.
The initial element to consider is the property's price – that is, the amount you intend to invest in your future residence. A down payment refers to the percentage of this price that needs to be paid in advance. To avoid expensive insurance, it is necessary to come up with a minimum of 20% down payment (in the case of a conventional loan). The remaining balance constitutes the principal (e.g., 80% of the home price with a 20% down payment).
A loan term represents the duration required for complete repayment of your mortgage through scheduled payments. Fixed-rate conforming loans are permitted to extend for a maximum of 30 years, while adjustable-rate options generally have shorter terms.
An interest rate is a fixed or variable fraction of the principal that you must pay throughout the loan duration. It's important to note that you are actually billed an annual percentage rate (APR), which is not precisely identical to the interest rate. Although the interest rate accounts for the majority of the APR value, the latter also encompasses various charges (e.g., origination fee, closing costs, insurance payments, etc.).
For a more precise assessment, the interest rate utilized for these calculations is based on the current mortgage rates in Arkansas, considering a home price of $400,000 and a 10% down payment.
Arkansas Housing Market 2023
Over the past year, there has been a significant surge in the property prices in Arkansas, showcasing a continuous upward trend that has been magnified by the impact of the COVID-19 pandemic. However, the rate of expansion has slowed down compared to the previous year, while both buying and refinancing rates have been steadily rising and are anticipated to escalate further in the upcoming period.
Median property taxes in Arkansas counties
The property tax is another important thing to consider when selecting your future house. Many lenders insist on setting up a mortgage escrow account to ensure the borrower’s keeping up with the tax and insurance costs.
| County | Avg. property tax rate | Avg. home value |
|---|---|---|
| Arkansas County | $391 | $80,300 |
| Ashley County | $365 | $68,200 |
| Baxter County | $585 | $124,400 |
| Benton County | $929 | $180,500 |
| Boone County | $546 | $116,600 |
| Bradley County | $387 | $74,300 |
| Calhoun County | $275 | $71,000 |
| Carroll County | $643 | $121,100 |
| Chicot County | $346 | $63,000 |
| Clark County | $464 | $95,000 |
| Clay County | $373 | $70,000 |
| Cleburne County | $484 | $127,000 |
| Cleveland County | $399 | $87,200 |
| Columbia County | $393 | $76,200 |
| Conway County | $421 | $98,700 |
| Craighead County | $572 | $137,500 |
| Crawford County | $550 | $112,500 |
| Crittenden County | $587 | $106,300 |
| Cross County | $385 | $79,400 |
| Dallas County | $371 | $64,500 |
| Desha County | $322 | $56,700 |
| Drew County | $403 | $93,200 |
| Faulkner County | $706 | $165,200 |
| Franklin County | $441 | $90,600 |
| Fulton County | $391 | $91,300 |
| Garland County | $581 | $140,400 |
| Grant County | $440 | $123,500 |
| Greene County | $472 | $110,400 |
| Hempstead County | $355 | $76,200 |
| Hot Spring County | $437 | $88,900 |
| Howard County | $370 | $94,100 |
| Independence County | $496 | $104,400 |
| Izard County | $461 | $79,400 |
| Jackson County | $351 | $61,300 |
| Jefferson County | $450 | $85,800 |
| Johnson County | $442 | $95,400 |
| Lafayette County | $331 | $65,900 |
| Lawrence County | $351 | $77,100 |
| Lee County | $286 | $67,100 |
| Lincoln County | $386 | $66,100 |
| Little River County | $356 | $72,400 |
| Logan County | $452 | $90,400 |
| Lonoke County | $684 | $143,300 |
| Madison County | $396 | $108,500 |
| Marion County | $489 | $117,300 |
| Miller County | $551 | $108,500 |
| Mississippi County | $364 | $81,400 |
| Monroe County | $351 | $54,500 |
| Montgomery County | $388 | $96,900 |
| Nevada County | $364 | $62,700 |
| Newton County | $345 | $91,600 |
| Ouachita County | $372 | $67,900 |
| Perry County | $409 | $99,100 |
| Phillips County | $345 | $67,100 |
| Pike County | $426 | $78,600 |
| Poinsett County | $355 | $78,200 |
| Polk County | $366 | $87,100 |
| Pope County | $488 | $126,100 |
| Prairie County | $376 | $65,300 |
| Pulaski County | $915 | $156,300 |
| Randolph County | $333 | $81,500 |
| Saline County | $798 | $154,100 |
| Scott County | $343 | $69,800 |
| Searcy County | $325 | $89,700 |
| Sebastian County | $639 | $124,700 |
| Sevier County | $346 | $75,400 |
| Sharp County | $387 | $79,900 |
| St. Francis County | $355 | $61,900 |
| Stone County | $355 | $107,300 |
| Union County | $395 | $79,900 |
| Van Buren County | $403 | $98,900 |
| Washington County | $909 | $172,200 |
| White County | $473 | $118,400 |
| Woodruff County | $363 | $63,700 |
| Yell County | $400 | $100,300 |
Source: American Communities Survey 2016, U.S. Census
How do I calculate my mortgage payment?
To determine your estimated monthly mortgage payment in Arkansas, utilize our mortgage calculator. This convenient tool operates on a straightforward formula that can also be manually calculated. The formula is as follows:
M = P*i(1 + i)^n / (1 + i)^n – 1
Here's a breakdown of the variables:
M – estimated monthly mortgage payment
P – principal amount
I – monthly interest rate (To find this, divide your annual mortgage rate by 12)
N – loan term in months (equivalent to the total number of monthly payments)
For example, suppose you're applying for a 15-year mortgage loan in Arkansas with a fixed annual percentage rate (APR) of 6.99% (0.0699 as a unit fraction). The house you intend to purchase costs $500,000, and you plan to make a down payment of 10% ($50,000). Therefore, the principal amount (P) will be 90% of the initial home cost ($500,000 – $50,000 = $450,000).
Now, let's calculate the monthly interest rate (I):
I = 0.0699% / 12 = 0.005825%
To convert the loan length from years to months, multiply 15 by 12:
N = 15 * 12 = 180
Applying the values in the formula, we can estimate the monthly payment (M):
M ($) = 450,000 * 0.005825(1 + 0.005825)^180 / (1 + 0.005825)^180 – 1 ≈ $4042
Hence, your approximate monthly payment will be around $4042.
It's important to note that the calculated M value is an approximation and doesn't consider additional fees. However, our mortgage calculator provides a helpful starting point for understanding your potential monthly payment.
Tips for first-time home buyers in Arkansas
When it comes to Arkansas mortgage options, it's important to explore the offerings provided by various federal agencies such as USDA, FHA, and VA. These organizations guarantee loans for first-time homebuyers, allowing them to find suitable options within their budget.
In addition to the government-backed programs, Arkansas residents should consider the opportunities offered by UHC (Arkansas Housing Corporation). The FirstHome program is specifically designed for first-time homebuyers who qualify for an FHA loan and have a FICO score of at least 660. This initiative covers up to 6% of the loan amount towards the down payment and/or closing costs. It's crucial to note that the assistance is in the form of a 30-year-fixed-rate second loan.
If you are not eligible for the FirstHome program, don't lose hope. The Arkansas Housing Score Loan is an alternative solution, covering up to 4% of the loan. The minimum credit score required for this program is 620.
Helpful recommendations for first-time homebuyers:
- Obtain pre-approval in advance. This will enhance your creditworthiness in the eyes of home sellers. It is highly recommended to acquire pre-approval letters from not just one, but a minimum of two or three distinct lenders.
- Compare varying mortgage rates. Select at least three lenders. The more, the preferable.
- Perform preliminary calculations based on the amount you have received pre-approval for. Plan your future expenditures.
- Allocate a substantial amount for a down payment as much as feasible – and as early as achievable. The down payment will decrease the principal amount, which, in turn, can diminish your potential expenses. Hence, it is crucial to commence saving in advance.
- If you qualify for a VA loan, prioritize this alternative above all.
- Take into consideration government-backed schemes, as well as local assistance programs. There might be enticing offers – don't miss out.
- Settle previous debts, if possible.