Northwest Arkansas Is the Most Affordable Housing in the US?

As the rest of the United States is facing a housing crisis, with housing prices skyrocketing in states like California, Colorado, and New York, down in Arkansas, the situation is much better. In 2023, Northwest Arkansas was rated as one of the best places to find a home in the United States.

Northwest Arkansas is one of the most affordable housing in the US. Areas like West Fayetteville, Bella Vista, Pea Ridge, and Centerton offer amazing, newly constructed houses for very low prices. Siloam Springs is also projected to be another option for affordable housing.

In this article, I will show you the most affordable places in Northwest Arkansas and explain why finding a home in these areas can be affordable and advantageous. If you want to know more, let’s get started!

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Most Affordable Places in Northwest Arkansas

Housing in Northwest Arkansas is considered affordable in comparison to most of America. If you’ve seen the latest figures on average house prices in the United States and compared them to the average home price in Northwestern Arkansas, you’ve probably noticed a significant difference.

As you can see, Northwest Arkansas has affordable housing, but which areas specifically offer better prices?

Older homes are still part of the housing market. They come up for sale, get passed around, and are resold at lower prices. However, I will mostly talk about affordable, newly constructed housing. I will focus on cheap new constructions and the four main areas where you can find them.

West Fayetteville Farmington

The first and probably most obvious choice for affordable housing is West Fayetteville and Farmington. If you’re wondering why I’m combining these two places, it is because sometimes they are referred to as one big area.

Studies often mention Fayetteville as one of the cheapest places to live in the United States because of affordable housing, low taxes, and job availability.

West Fayetteville is particularly well-known for affordable housing. At the moment, there are a lot of new houses being built on the far west side of Fayetteville and Farmington, so if you’re looking to move to Northwest Arkansas, I’d recommend this area because of the reasons mentioned above. Also, it’s directly connected to Fayetteville and Interstate 49.

This connection to the interstate is important because it allows you to move to this area, even if you work in Bentonville, Springdale, or even Rogers. However, you should be aware that the two main hub roads connecting West Fayetteville, MLK and Wedington, get a bit congested. But don’t worry because, reportedly, there are plans to fix them.

Overall, West Fayetteville is still generally one of the best areas to find a newly constructed house or a slightly older one for very good prices.

Pea Ridge

After West Fayetteville, we’re heading up north to Pea Ridge. This area is next to Bella Vista and Bentonville, so if you move there, you’ll have easy access to both of these places.

Pea Ridge has higher growth potential because the land is more affordable, attracting new builders to the area.

Another cool thing about Pea Ridge is that homes are also very affordable. While the town is a bit old and less developed than other options, it’s a good entry point to Northern Arkansas.

There are some great builders up in Pea Ridge, including Rausch Coleman, who I would consider a great builder for a good starter home. So, if you don’t want to deal with the problems of an older home and prefer a newly constructed house, check out Pea Ridge for some affordable options.

A couple of subdivisions are also being finalized in the area, so keep an eye out for new constructions in Pea Ridge if you’re considering moving to Northwest Arkansas.

Bella Vista

Bella Vista is an interesting choice when it comes to affordable housing because while some houses are several years old, there are also new constructions available.

The slightly older houses are very cool, well-designed, and unique because Bella Vista has no row housing. Even if the builder uses the same plan, they will do it across the city, so your house will still be one of a kind.

What’s great about Bella Vista is that new constructions are happening that have almost the same price as the houses mentioned above. However, as a result, there is some tension and competition between these beautiful 15 or 20-year-old houses and new constructions.

This bit of competition is good for potential buyers, though, because it has resulted in great overall prices for the area.

For instance, you can get an amazing house for $400,000 or $425,000, which is a steal. These houses have great tile work, expensive cabinets, big fireplaces, and large windows, all spread over more than 2000 square feet (186 square meters). These brand-new homes with warranties are amazing and so cheap that it’s getting hard for older homes to compete.

For more information, check out my article discussing big housing news in Bella Vista.

Centerton

Centerton is a fast-growing area and is a great choice if you want to work in Bentonville or Roger. At the moment, it’s a bit of a hassle to get down the major highway because it gets a little congested, but there are plans to fix it soon.

While you’ll have no problem going from Centerton to Bentonville, going to Fayetteville may be a bit more difficult. So, if you need to travel to work, you must take traffic into account if you live in Centerton. However, the most important thing is that there are a lot of affordable houses in this area.

Centerton is now experimenting with smaller homes, around 1000 or 1200 square feet (93 or 111 square meters). It would be considered small if you live with your family, but it’s a great option if you’re a young professional.

Siloam Springs

Siloam Springs is a rapidly developing area, which is predicted to grow exponentially because new businesses and industries will develop in the area as part of agreements between Oklahoma and Arkansas. Investors and home builders are moving fast and building a lot of affordable homes.

If you want to be around 30 minutes away from Northwest Arkansas and find very affordable housing, you should consider moving to Siloam Springs. It’s a great place that is developing quickly, and there are many fun things to do.

Now, this was a quick look at places with the most affordable real estate in NWA. However, to know about the most sought-after locations, check out my article on the most wanted real estate locations in NWA.

Conclusion

Northwest Arkansas is one of the most affordable areas in the United States because it is a growing area where newly constructed houses are almost as cheap as older homes. If you’re considering moving to this area, you should consider West Fayetteville and Farmington, Pea Ridge, Bella Vista, and Centerton.

If you want to find an affordable home and be close enough to Northwest Arkansas, you can always consider Siloam Springs, which is a great, quickly developing town.