Why I love Mississippi Real Estate
I accidentally stumbled into something and I'd like some feedback. As both an agent and investor, I've been doing research on a few areas to see which markets offer the best returns for both myself and my clients. I've recently been a part of several conversations with other investors from major markets who are currently parking cash into buy and hold properties. I'm currently wrapping up a few fix and flips and considering a possible new construction build with the intention of shifting my focus back to buying and holding.
Most of the markets are midwest towns, but after a few of these conversations I'm falling in love with the Mississippi Gulf Coast. I'm writing down some of my findings. Would love to hear feedback!
- The State of Mississippi is Landlord Friendly
- You can quite often find several deals that beat the general 1% rule and sometimes even 2% or better.
- Cash on cash returns are healthy.
- While Mississippi has EXTREMELY modest appreciation, it also doesn't have huge market swings. Typically. This stability is great for 'boring' investments. Not so hot for investors looking for 'excitement'.
- Taxes are relatively low - take THAT California lol
- Gulfport, MS is literally the PORT of the GULF. This, among other factors make the Gulf Coast region a fairly vibrant economy.
- The Mississippi Gulf Coast is also one of the only areas of the state that has tourism as a significant piece of it's economy.
- The Mississippi Gulf Coast has an international airport
- The Mississippi Gulf Coast has a beach
- Houses are some of the cheapest in the country.
I'm currently selling this flip for less than $200k - in any other market, it would be sold for any multiple of it's current listing price.
As you can see, this home is on the moderately higher end of the spectrum. Not a million dollar house or anything, but I'm definitely looking to make it a retail deal and not something to buy and hold.
This home is being sold in the 180s and there are several other properties being sold from $65k to $140 that aren't in completely war-torn areas that make for great buy and holds. While you do have to be careful about what areas you purchase in, many of these properties would make for great investments and would make for lovely homes to potential tenants. I'm sure there are investors from Mississippi who can even beat THOSE numbers.
This is just an example (and I'm kind of excited about finally wrapping up this particular rehab) but I have out-of-state buyers who regularly ask me why a house in Mississippi is so cheap, is it livable, and if it's less than a quarter million dollars is it in a war zone.
I'm saying all of this to say: the Mississippi Gulf Coast is a great place to invest if you're looking for a stable investment that isn't extremely expensive - as far as real estate goes. I love real estate on the Mississippi Gulf Coast.
I won't try to make the case for making it your primary residence right now lol