What 7% Mortgage Rates Didn't Do to Garland County Home Values
Market Insight
Market Insight
With three quarters of 2026 in the books, here's how Garland County's housing market compares to the same stretch of 2025. The short version: sales are steady, prices are up and homes are selling faster, even as mortgage rates climbed past 7%.
Freddie Mac's 30-year fixed rate crossed 7% on September 24 for the first time since January 2025 (Trading Economics) and reached 7.40% by October 8 (SwitchWize), up from about 6.3% a year ago. On a $300,000 loan, that adds roughly $220 to the monthly payment.
Nationally, September sales were down 2.2% from a year earlier while the median price rose 1.3% to $417,500, and inventory is at its highest level since 2019 (NAR).
Based on Hot Springs Board of REALTORS® MLS data:
Residential (MLS) | Jan–Sep 2026 | Jan–Sep 2025 | Change |
|---|---|---|---|
Closed sales | 1,144 | 1,147 | -0.3% |
Average sale price | $328,144 | $316,542 | +3.7% |
Average days on market | 110 | 130 | -20 days |
Highest sale | $2,650,000 | $3,295,000 | |
Condo sales | 146 | 161 | -9.3% |
Sales held even with last year, the average price rose 3.7% to $328,144, and homes sold 20 days faster on average. With 1,057 active listings at the end of September, buyers still have solid choices.
As of August 3, Fannie Mae and Freddie Mac dropped the streamlined "Limited Review" for condo buildings over 10 units, so more Lake Hamilton complexes now need a full review before a buyer can get conventional financing. Reserve requirements tighten again in January 2027. Condo sales are down 9.3% year to date (146 vs. 161).
Thinking of selling a condo? Find out before you list whether your complex is approved for conventional loans.
For this report, luxury means homes that sold for $1 million or more.
Luxury homes ($1M+) | Jan–Sep 2026 | Jan–Sep 2025 | Change |
|---|---|---|---|
Closed sales | 36 | 26 | +38.5% |
Average sale price | $1,494,402 | $1,545,603 | -3.3% |
Average days on market | 176 | 83 | +93 days |
Share of all sales | 3.1% | 2.3% | +0.8 pts |
Million-dollar sales jumped 38.5%, but those homes took more than twice as long to sell, averaging 176 days on market, and the average price slipped 3.3%. Luxury buyers, many paying cash or relocating for Lake Hamilton living, are out there, but they're taking their time and negotiating.
If you own a higher-end home, plan for a longer timeline, price it right from the start, and market it to out-of-state buyers.
Sellers: Price it right from day one, make sure the home shows well, and consider offering help with closing costs or a rate buydown, which can be worth more to a buyer than a price cut.
Buyers: Get pre-approved, then use the extra inventory to negotiate for repairs, closing cost help or a buydown. If you find the right home, you can buy now and refinance if rates fall.
Fall and winter are usually quieter in Hot Springs, but buyers shopping now tend to be serious and face less competition. Keep an eye on the Federal Reserve meeting October 27–28, which could move rates.
Averages don't tell you what your home is worth. For a no-pressure look at your home's value or a plan for buying this fall, call me at (501) 655-6247.
— Jeff Kennedy
Local sales data from the Hot Springs Board of REALTORS® MLS; does not include sales by owner or other sales not reported through the MLS. Information deemed reliable but not guaranteed.
Market Insight
Market Insight
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