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Midway is a census-designated place in Baxter County, Arkansas, United States. Midway is 5.5 miles (8.9 km) northwest of Mountain Home. Per the 2020 census, the population was 1,036. Midway has a post office with ZIP code 72651. Long home to a rural trading post, Midway became a boomtown during the construction of the Bull Shoals Dam, and later evolved to serve tourists and retirees attracted to the lake.