[Visitor2007]

Why are houses more expensive in some rural areas in NorthWest Arkanas such as Bentonville, Rogers, Fayettevill, etc. than houses in suburbs near big cities in Texas such as Houston and Dallas?

I know NW Arkansas is growing, etc., but it's no where near the size and employment opportunity as Houston and Dallas, but the housing is more expensive in NW Arkansas than nice suburbs in Texas such as Sugar Land, The Woodlands, Plano, etc. which all are near the big cities.

[sbernard]

Just guessing, but I'd say it has something to do with supply. This newfound growth has driven market prices higher, as the supply of really nice homes catches up.

[Visitor2007]

Originally Posted by sbernard

Just guessing, but I'd say it has something to do with supply. This newfound growth has driven market prices higher, as the supply of really nice homes catches up.

If your theory is correct, as supply picks up, which it should, the prices will be heading nowhere but down.

[sbernard]

The people who make the stats for things like this, say this is long term growth. People are coming here faster, and in larger numbers than I've ever seen in the past, and they all need a place to live.

[where2go]

That's a good question. Apparently there have been enough who are willing to pay the overinflated prices who have driven the prices up all over Northwest Arkansas. This area has many who have moved here from California, so to them these prices seem like a good deal. If there was a problem with supply, there certainly isn't now. There are many newly constructed homes that are just sitting on the market, yet the builders just keep on building. I've heard that some are having to come up with some creative ways to get the homes occupied. Some have had to resort to leasing the homes out. Moderator cut: off topic

[JohnN]

the answer to your question is spelled WAL-MART, however, in reality the real estate is reasonable compared to most parts of the country

[sherrenee]

Wal Mart, Tyson, JB Hunt, that is why the housing is so expensive in NW Arkansas.

[Sam I Am]

There's an interesting article today in the Russellville Courier about Neosho, Missouri, trying to tap into the NW Arkansas growth. One thing it mentions is that the Northwest Arkansas metropolitan area grew by about 2000 people per month from July 2005 to July 2006, while Neosho grew by only 185 people in 2004. There's already a billboard in Springdale advertising the town. Neosho has about 11,000 people and is 40 miles north of Bentonville, but the proposed Bella Vista bypass would make it a 30 minute commute from Neosho to Bentonville, headquarters for Wal-Mart. According to the article, there is affordalbe housing and land, a good school system, a trout stream and an industrial park. The city funded a 1/8 cent sales tax for the advertising campaign and has already spent $40K on the northwest Arkansas part. They are also targeting Missouri, Oklahoma, and Kansas.

Lots of people - lots of demographic shift - prices will be what the market will bear. With Wal Mart, Tyson's, and JB Hunt - well, that's a lot of folks. I'd guess the tax base to be lower in Rogers than in Dallas or Plano, too.

[nmnita]

Originally Posted by Sam I Am

There's an interesting article today in the Russellville Courier about Neosho, Missouri, trying to tap into the NW Arkansas growth. One thing it mentions is that the Northwest Arkansas metropolitan area grew by about 2000 people per month from July 2005 to July 2006, while Neosho grew by only 185 people in 2004. There's already a billboard in Springdale advertising the town. Neosho has about 11,000 people and is 40 miles north of Bentonville, but the proposed Bella Vista bypass would make it a 30 minute commute from Neosho to Bentonville, headquarters for Wal-Mart. According to the article, there is affordalbe housing and land, a good school system, a trout stream and an industrial park. The city funded a 1/8 cent sales tax for the advertising campaign and has already spent $40K on the northwest Arkansas part. They are also targeting Missouri, Oklahoma, and Kansas.

Lots of people - lots of demographic shift - prices will be what the market will bear. With Wal Mart, Tyson's, and JB Hunt - well, that's a lot of folks. I'd guess the tax base to be lower in Rogers than in Dallas or Plano, too.

Boy is that interesting: Neosho is the one place in Mo we are thinking of looking. As for overpriced in Ar, we too were a bit shocked at what $125,000.00 would buy in Bella Vista. Let's hope properties don't sky rocket in the next 6-9 months. Would you beleive we had heard taxes, overall were lower in Mo than Ar or Ok, discovered the proximity to both states, found the liquors stores (no we aren't alcoholics, but we certainly do like our wine ) and just thought we would check out someplace. Neosho looked like a good place to start. Of course, if we buy before the property does go up, that is a good thing, right?

[Sam I Am]

Originally Posted by nmnita

Boy is that interesting: Neosho is the one place in Mo we are thinking of looking. As for overpriced in Ar, we too were a bit shocked at what $125,000.00 would buy in Bella Vista. Let's hope properties don't sky rocket in the next 6-9 months. Would you beleive we had heard taxes, overall were lower in Mo than Ar or Ok, discovered the proximity to both states, found the liquors stores (no we aren't alcoholics, but we certainly do like our wine ) and just thought we would check out someplace. Neosho looked like a good place to start. Of course, if we buy before the property does go up, that is a good thing, right?

Is that a good shock or a bad shock, Nita, on buying property? Just curious, I've never really looked in that area.

I question how a town of 11,000 could sustain 2000 people per month, or per year, for that matter - the school system may be great, but are they ready for the influx? Is the infrastructure of the city enough to support a massive surge?

I guess it could be like the delta - when the gambling went in, everything suddenly started going up - the quality of roads, the number of schools, etc...still, you gotta wonder if they're ready for that, and if that 40 miles from Bentonville might be a weird road for a while and a bit of a commute for those working in Arkansas. You'd still have to pay income tax on any income earned in AR, too, I guess MO has a state income tax - meaning you'd have to file twice....just a couple of random thoughts on a rainy day!