Last Updated on October 21, 2023 by Kelvin Nielsen
Yes, Arkansas is one of the most landlord-friendly states in the country. If you’re thinking of becoming of investing in a rental property, then Arkansas is a great place to start. The following are some of the reasons that make Arkansas a landlord-friendly state.
What Makes Arkansas A Landlord-Friendly State?
1. Arkansas has no warranty of habitability.
Arkansas is the only state in the country that doesn’t have a warranty of habitability. As a landlord, you are only required to rent out your unit ‘as-is’. Additionally, you aren’t required to make repairs, unless the repairs are specified in the lease agreement.
Tenants also cannot exercise the right to withhold rent or repair and deduct when it comes to repair issues. The only legal recourse tenants have is to terminate the lease early without penalty.
2. Landlords have broad authority to evict tenants.
Under Arkansas law, you can evict a tenant for a number of just causes. Common reasons for evictions include the following.
You can also remove a tenant relatively quickly. From start to finish, the process usually takes anywhere between 2 and 4 weeks.
3. Security deposit rules are favorable.
Arkansas, just like the rest of the 49 U.S. states, requires landlords to abide by certain rules when it comes to the collection, handling, and return of a tenant’s security deposit. The following are some of the favorable rules for landlords.
- You can withhold up to 2X the monthly rent as a security deposit. If you charge tenants a monthly rent of, say, $1,500, then you may be able to withhold as much as $3,000 as a security deposit.
- There are holding requirements. You can store it anyhow you want.
- There is no interest requirement, as you don’t have to store the deposit in an interest-bearing account.
- You don’t have to notify your tenant after receipt of their deposit. Be that as it may, it’s important for documentation purposes.
- You can make deductions for a wide array of reasons, including unpaid rent, unpaid utility bills, and costs arising from noncompliance of the lease.
- You have up to 60 days to return the deposit (or whatever portion remains) to the tenant. In most states, landlords normally have 30 days to do so.
4. There is no rent control law.
Arkansas doesn’t have a rent control law. In addition, state law prohibits local jurisdictions from enacting rent control laws of their own. This, therefore, means that landlords can charge whatever amount of rent and raise it by any amount for whatever reason.
The only caveat is that the rent increase must abide by retaliation laws, discrimination laws, and the lease agreement. You must also give tenants on a weekly and monthly rental agreement a notice of at least 7 days and 30 days, respectively.
Further, as a landlord, you don’t have any obligation to provide your tenant with any grace period. There is also no cap on how much you can charge as late fees.
5. Arkansas fair housing law doesn’t extend extra protections.
The only protections tenants have in Arkansas are those offered at the federal level. That is, race, color, religion, nationality, disability, sex, and familial status. Some states provide extra protections such as on marital status, sexual orientation, citizenship status, and age.
Enforcement of the housing discrimination law is done by Arkansas’ Attorney General.
6. There is no landlord entry law in Arkansas.
Arkansas doesn’t obligate landlords to notify their tenants prior to entry. You can enter your tenant’s rented premises whenever and for whatever reasons. The only exception here is if the lease contains previously agreed-upon conditions.
That said, please note that it’s important to respect your tenant’s right to peace and quiet enjoyment. As such, you may want to specify the minimum notice for entry in the lease to avoid potential future disagreements or conflicts.
7. You are only required to provide your tenant with one disclosure.
Landlords are usually required to provide their tenants with certain disclosures prior to lease signing. In the neighboring state of Texas, for instance, landlords are required to provide disclosures on the following.
- A lead-based paint disclosure.
- The landlord’s name and address.
- Right of tenants to repair and deduct.
- Parking rules and restrictions.
- An emergency phone number.
- Disclosure of late fee charges.
In the state of Arkansas, though, the only disclosure you’re required to provide your tenant is on lead-based paint concentration. And this is only required of landlords renting out units built prior to 1978.
Is Arkansas a Landlord Friendly State? – Frequently Asked Questions (FAQs)
Q: Are landlords responsible for repairs in Arkansas?
A: No! This isn’t one of the responsibilities Arkansas landlords have. Arkansas is the only state in the country that doesn’t have a warranty of habitability. Landlords are required to rent their properties “as is” and don’t have any responsibility for repairs. The only exception is if the lease states otherwise.
Q: Is there a rent control law in Arkansas?
A: No! There is no statewide rent control law in Arkansas. In addition, state law prohibits local jurisdictions from enacting rent control laws. You can charge whatever amount of rent, and raise it as often as you like and for whatever amount. Also, there are no statutory grace periods and no caps on late fees.
Q: Is it a crime to not pay rent in Arkansas?
A: Yes! Arkansas has a statute called – Failure to Vacate. This statute authorizes landlords to impose fines and other criminal penalties on a tenant who fails to pay their rent. The statute only applies to non-payment of rent issues.
Q: What are renters rights in Arkansas?
Here is a guide to the rights renters’ have in the state of Arkansas.
Disclosure: The content herein isn’t a substitute for advice from a professional attorney. It’s only meant to serve educational purposes. If you have a specific question, kindly seek expert attorney services.
Sources: Arkansas law (AR Code. Tit. 18. Ch. 17), https://realwealth.com/learn/landlord-friendly-states/, https://a.arlawhelp.org/
Hi, I’m Kelvin Nielsen, an experienced landlord and accomplished real estate lawyer. My focus is on answering your questions about renting in the hopes of making your life as a renter or a landlord a bit easier.