Valuation of a Fixed Income Forward Contract

James is evaluating the pricing of a 6-month forward contract on a fixed income security with an annual coupon rate of 5%. The current yield to maturity (YTM) on similar securities is 3%. If the face value of the fixed income security is $1,000 and coupons are paid semi-annually, what is the value of the forward contract at initiation, assuming no arbitrage conditions?