Average Price of a House in Mississippi: 2025 Real Estate Trends

As of 2025, the average price of a house in Mississippi is competitive, reflecting a favorable market for both buyers and investors. For detailed insights and current listings, it is advisable to consult local real estate resources or contact a professional realtor.

Current Average House Prices in Mississippi

As of 2025, the housing landscape in Mississippi reveals a lot about the area's economic health and trends. The average home price, currently around $215,000, reflects an 8% increase from 2024, suggesting steady growth even amid fluctuating national economic conditions. For homeowners or potential sellers, this uptick is encouraging, indicating that property values are on the rise.

Urban areas tend to attract higher prices due to their amenities and desirability. In cities like Jackson, homes command an average price of approximately $260,000. This vitality in Jackson can be attributed to its role as the state capital, offering abundant job opportunities and social attractions that appeal to many residents. Meanwhile, in coastal cities such as Gulfport, the average price hovers around $245,000, driven by favorable weather and recreational offerings that entice buyers looking for a lifestyle change.

To show how these figures work out across different locations within Mississippi, consider:

    Jackson: $260,000
    Gulfport: $245,000
    Hattiesburg: $220,000
    Starkville: $185,000

While these urban centers showcase healthy property values, not all parts of Mississippi follow the same trajectory. Rural areas generally see more affordable pricing—averaging closer to $180,000 for homes. This significant difference can often deter first-time buyers who may find it challenging to enter the more competitive urban markets.

What drives these fluctuations? Various factors influence real estate prices across regions in Mississippi.

For one, access to educational institutions plays a crucial role. Cities like Starkville host major universities which can spike demand for rentals or family homes in that locality—contributing to pricing dynamics. Additionally, socioeconomic factors such as local employment rates and income levels directly impact buyer capacity and willingness to invest in homes.

Moreover, as demand continues to shift due to cultural changes—such as remote working preferences—the appeal of rural properties might increase. Thus, while urban areas currently boast higher prices, maintaining awareness of these factors ensures that prospective buyers and investors stay ahead of shifting trends in this evolving marketplace.

With this understanding of average house prices and their driving forces, we can now explore how these prices vary across different regions in the state.
Regional Price Variations

Regional variations in home prices across Mississippi stem from several critical factors, notably local economies, amenities, and population density. Each area has its own unique characteristics that influence property values.

For example, a home in Biloxi can command an average price of $280,000 largely due to its appeal as a tourist destination, complete with stunning waterfront properties and a vibrant community atmosphere. Its beautiful beaches and casino attractions create a demand for homes, both primary residences and vacation properties.

On the other end of the spectrum, we find Meridian, where average home prices are approximately $175,000. The economic landscape here leans toward industrial prospects rather than tourism, resulting in lower housing values. While this can mean more affordability for buyers, it also points towards different opportunities for potential sellers planning their sale.
Other Influencing Factors

The dynamics in Oxford provide another interesting perspective; their homes average around $230,000 thanks to being a university town with a growing population. Amenities such as coffee shops, cultural events, and educational facilities contribute significantly to its charm—resulting in higher property values.

Similarly, Tupelo's average of $195,000 reflects both its historical significance and moderate amenities. Homes here may not reach the lofty heights of those in Biloxi but still represent a strong market supported by regional pride and history.

As we take a closer look at these averages through the lens of various local influences, it's also imperative to consider that community resources like schools, parks, shopping areas, and public transportation options heavily influence property desirability and market demand. When buyers assess these factors along with pricing trends, they gain valuable insights into what their investment could yield.

    Understanding regional price variations isn’t just academic; it’s essential for anyone wishing to buy or sell a home in Mississippi. Real estate revolves around lifestyle choices and community connections that can enhance quality of life while empowering financial growth.



One of the most significant aspects affecting home prices in any region—including Mississippi—is economic conditions. When the economy is thriving, job opportunities abound, and people are eager to move into areas with solid employment prospects. Cities like Madison benefit from proximity to major employers and vibrant industries, leading to higher demand for homes. As more residents flock to these bustling areas seeking stability and growth, it creates a ripple effect on housing prices.
Economic Factors

In essence, a robust and dynamic local economy results in higher housing demand—particularly in neighborhoods where residents feel secure about their job prospects. The surge in population means more buyers are competing for the same limited inventory of homes, thus driving up asking prices. Knowing this can help potential sellers position their properties strategically during times when local industries are booming.

But it's not just economic health that determines home values; the quality of educational facilities plays an equally vital role.
Educational Facilities

Properties located near reputable schools or universities often command higher prices than those found in areas with less educational appeal. For instance, Starkville sees heightened demand due to Mississippi State University attracting students, faculty, and staff alike—a phenomenon that creates a steady influx of potential tenants or buyers. Beyond direct financial impact, good schools can also improve community appeal and create a sense of desirability. Parents prioritize schools when choosing neighborhoods, inherently raising property values as families choose to settle down.

Alongside education, we must consider infrastructure developments, as they significantly contribute to overall market dynamics.
Infrastructure Developments

New infrastructure projects can transform a community's landscape almost overnight. Consider how the construction of new highways or improved public transportation services might open up previously isolated communities for development. These enhancements make areas more accessible and desirable for commuting professionals who may have previously overlooked them due to perceived inconvenience. Consequently, as ease of access increases, so does interest in local properties; supply may dwindle while demand swells, resulting in surging property values.

Understanding how these factors interplay helps evaluate the Mississippi housing market while providing crucial insights into making informed decisions regarding investments or sales within this vibrant state.

As we transition from these foundational elements that shape property values, it will be insightful to explore how the cost of housing stacks against neighboring regions.
Comparing Prices with Neighboring States

The average home price in Mississippi is currently around $215,000, which places it competitively against its neighbors in the region.

When examining adjacent states, we see a range of figures that reflect different market conditions, demands, and economic factors. For instance, Louisiana's average home price stands at $245,000, while Alabama follows closely behind at $235,000. Tennessee shows a higher figure at $260,000, particularly driven by its growing cities like Nashville, where demand is pushing prices even higher. On the other hand, Arkansas boasts a more affordable average of just $200,000, making it an appealing option for budget-conscious buyers.

    It's essential to recognize that these variances don’t always tell the full story; they reflect various regional trends and market health indicators that can influence a buyer's decision.

Price Influences

The increasing prices in states like Tennessee tell a tale of high demand and rapid growth, while Mississippi's competitive pricing highlights its potential charm for those seeking affordability without sacrificing quality. This stark contrast means that while buyers might desire a knock-down price in Tennessee or Louisiana's urban areas, they can find significant value in Mississippi homes offering similar features at lower price points.

Indeed, when considering relocating or investing in real estate—particularly for those facing financial hardships or other life changes—Mississippi provides an advantage that shouldn't be overlooked.

To provide a clearer picture:
State    Average House Price    Market Trends
Louisiana    $245,000    Growth fueled by oil and gas economy
Alabama    $235,000    Steady growth driven by manufacturing
Tennessee    $260,000    Booming tech and entertainment sector
Arkansas    $200,000    Affordable living attracts many buyers

By observing these trends and comparing prices, buyers can make informed decisions that align with their financial situations and needs. Let’s now explore the factors influencing these dynamics over time.
Trends from Past to Present

A historical perspective on Mississippi's housing market reveals fascinating patterns and shifts that are crucial for anticipating future real estate dynamics. From 2010 to 2020, the state experienced a steady yet modest growth rate of approximately 3% annually in housing prices. However, from 2020 to 2025, this growth rate nearly doubled to about 5% annually, largely fueled by an increasing demand for homes as people sought new opportunities during the post-pandemic era.
Key Trends

One significant trend that stands out is what many are calling the Post-Pandemic Boom. While the pandemic initially slowed growth in the housing sector, it ultimately sparked a surge in demand in suburban and rural markets due to remote work options. Many individuals began moving away from bustling urban environments, seeking peaceful lifestyles combined with affordability—which Mississippi provided abundantly.

    Moving to areas less populated didn't just help buyers save money on their mortgage but also offered a better quality of life—a trend that seems to be here to stay.

Another important element to consider is the Increased Migration into Mississippi. The state has welcomed an influx of residents relocating from higher-cost states seeking affordable housing options. This migration trend hasn't just increased demand; it has also prompted many communities to reconsider housing policies and practices.

This rise in demand is complemented by Economic Development efforts underway in cities such as Jackson. Infrastructure projects and investments in technology sectors have transformed these locations into desirable urban hubs, making them appealing for locals and newcomers alike who view Mississippi as a viable option for both living and working.

Recognizing these trends provides valuable context for understanding how today’s market landscape affects homebuyers looking to make informed decisions in an evolving environment. As we explore further, it becomes essential to assess the practical implications for those entering the housing market.
Affordability for Homebuyers

Affordability remains a pivotal concern for many potential buyers. With the median household income in Mississippi hovering around $49,000, and average housing costs at approximately $215,000, this translates to a price-to-income ratio of about 4.4. This figure is relatively lower compared to national averages, making Mississippi an appealing option for first-time buyers entering the real estate market.
Affordability Metrics

One key metric to consider is the price-to-income ratio. With a ratio of 4.4, Mississippi stands out as more affordable than many coastal states where ratios can soar above 6. This means that while a Mississippi homeowner dedicates a significant portion of their income to housing costs, they often do so without overextending their finances.

Another important aspect contributing to affordability is the average mortgage rate, which currently hovers around 3.5%. This favorable rate makes home financing more accessible, offering prospective buyers the opportunity to secure loans with manageable monthly payments. In a climate where affordability is crucial, such low rates provide the breathing room essential for budget-conscious buyers.

These affordability metrics speak volumes about why Mississippi can be perceived as an inviting landscape for both living and investing in real estate. The combination of reasonable home prices and low-interest rates fosters an environment where individuals or families can comfortably transition into homeownership without the burden of exorbitant debt.

To navigate these waters effectively and maximize your purchasing power in this vibrant market, consider seeking personalized guidance from experts like Atlas Property Investors. Their professionals understand the unique dynamics of the Mississippi real estate landscape and can help you make informed decisions tailored to your individual circumstances.
 
By taking advantage of current affordability trends, you can position yourself for success in the competitive housing market. For further assistance, contact Atlas Property Investors today and explore how they can guide you through every step of your home-buying journey.