Real Estate Investing in Dumas, Mississippi (38625)

Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.

Tippah County • Population: 1,875 • Data updated: September 2026

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Should you buy in 38625 (Dumas, MS)? Our answer, based on the numbers below.

🏠 For Homebuyers
CAUTION
Grade D (45/100)

Proceed carefully. Weak appreciation or affordability makes this a harder case for most buyers.

📈 For Investors
MIXED
3.0 / 5 (47/100)

A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.

⚠️ Risks to Know
2 flags
  • High vacancy: 15.5% of homes vacant — above national norms.
  • Lower household income: $37,107 median — tenant affordability is tighter.

• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.

What’s happening in Dumas, MS (38625)?

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3.0/ 5

Investability

Overall investment appeal

2.0/ 5

Appreciation

Long-term value growth

3.0/ 5

Cashflow ROI

Rental yield potential

Avg Home Value $173,793
Avg Monthly Rent $801
1% Rule ✗ Does Not Meet
Median Income $37,107
% Renters 42.0%

Market Analysis: 38625 Dumas

Investors eyeing 38625 need to respect the fundamentals at play. Home values of $174K come alongside slower price movement and elevated management overhead.

Looking more closely, the numbers look inviting — $174K purchase price, 0.0% nominal cap — the work to hit that pro forma in 38625 is substantial and deserves full respect.

In the broader MS picture, 38625 is a reminder that not every low-priced ZIP is a value-add opportunity — some are simply distressed, and the difference matters.

Employment concentration in 38625 leans toward sectors with higher volatility. The demographic consequence is income fluctuation that investors need to factor into their pro forma.

Distressed ZIPs reward experience. robust returns are possible in 38625, but they flow to investors who already understand how to operate in soft markets.

Explore the Data — Click a Tab Below
🏦 Current 30-yr Fixed Mortgage Rate: 6.76% as of Sep 10 Source: Freddie Mac PMMS

Here's what matters if you're considering buying a home in Dumas:

C Below Average
Buy Confidence Score: 54/100
Affordability
10/25
Appreciation
14/25
Stability
7/20
Timing
8/15
Rental backup
15/15
Affordability
Moderate
Homes cost 4.7× the median income
Value Trend
Rising (+11.2%)
How home values changed in the past year
Rental Backup
Strong
Could rent for $801/mo if you need to move
Market Conditions
BALANCED
Even conditions for buyers and sellers
Bottom Line: This market may be challenging for buyers. Consider your timing and budget carefully.

Market Trends

Home Value History (with trend line)

$184K$176K$169K$162K$154K$147KFeb 2021Nov 2023Jul 2026

📊 How Does 38625 Compare?

Metric 38625 Dumas Mississippi
Home Value $173,793 $173,793 $186,446
5-Year CAGR 2.3% 2.3% 4.0%
Avg Rent $801 $801 -
Cap Rate 3.6% 3.6% -
💡 Why Invest in 38625? Click to expand

With a 3/5 investability rating, this ZIP shows solid fundamentals for buy-and-hold investors.

A healthy rental market with 42% renter-occupied households ensures tenant availability.

📊 See where this ZIP ranks in our Best-of lists →
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Landlord Ground Truth

Real numbers from people who own or manage rentals in ZIP 38625 (Dumas, MS). Anonymous, moderated, never written by AI.

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Investability
Good
Cap Rate
3.6%
Low
5yr Growth
+2.3%
Slow

📊 Market Snapshot

Home Value $173,793
Monthly Rent $801
Price-to-Rent 18.1:1
1% Rule ✗ Fails

💰 Return Metrics

Gross Yield 5.5%
Cap Rate 3.6%
5-Year IRR 5.8%

📈 Home Appreciation

1-Year +11.2% ▲
3-Year CAGR +3.5% ▲
5-Year CAGR +2.3% ▲
10-Year CAGR N/A

🏠 Rent Trends

1-Year N/A
3-Year CAGR N/A
5-Year CAGR N/A
Negative Leverage — IRR / Tax Play Cap Rate: 3.6%  |  30yr Rate: 6.8%
Leverage reduces cash returns at current rates.

The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (3.6%). Financing reduces your cash-on-cash return below the cap rate. Markets like this may still make sense as IRR plays — factoring in appreciation, depreciation, and a future refinance when rates drop.

Run an IRR Analysis →

⚠️ Risk Signals

Composite view of factors that can impact a ZIP's stability and your downside risk.

Vacancy
15.5%
Elevated risk
Landlord Climate
5.0/5
Friendly
Value Trend (5yr)
+2.3%
Stable
Eviction process: Fast Rent control: Favorable

Demographics in 38625

Population: 1,875

💰 Median Household Income
$37,107
This area
$37,107
State
$48,827
USA
$74,580
🏠 Renter Occupied
42.0%
This area
42.0%
State
27.7%
USA
34.0%
💼 Unemployment Rate
4.0%
This area
4.0%
State
-17.6%
USA
3.7%
🎓 College Educated
2.4%
This area
2.4%
State
-11.7%
USA
33.7%
👤 Median Age
34.9 years
This area
34.9 years
State
10.7 years
USA
38.9 years
🏚️ Vacancy Rate
15.5%
This area
15.5%
State
18.7%
USA
10.5%
👥 Population by Ethnicity
White 100.0%
👶 Under 18
17.0%
This area
17.0%
USA
22.0%
👴 65 and Over
20.2%
This area
20.2%
USA
17.3%
📊 Poverty Rate
14.0%
This area
14.0%
USA
11.5%

Crime & Safety

🚧

Crime & Safety Data Coming Soon

We're integrating comprehensive crime statistics including violent crime rates, property crime, and safety scores to help you make informed investment decisions.

Expected: Q1 2025

🎓 Nearby Colleges & Universities

2 Nearby
C
Fosters Cosmetology College
22 students · 11.3 mi
C
Blue Mountain Christian University
971 students · 11.7 mi

Frequently Asked Questions

What type of investing works in Dumas, MS?

In Dumas, MS the notable play is typically careful cash-flow rentals with hands-on management. The combination of $174K prices and $801/mo rents suits that approach.

What do rentals go for in Dumas, MS?

Rents in Dumas, MS run near $801/mo. Compared with median home prices of $174K that produces solid gross yields for typical rentals.

Is rental property easy to operate in Dumas, MS?

MS ranks as a landlord-friendly state for landlord-tenant law. Dumas generally follows the statewide framework, so landlords face reasonable operating rules.

Is Dumas, MS a good market for FHA house hackers?

The house hack math a challenging in Dumas, MS. Owner-occupant buyers benefit from the $801/mo rents and $174K home values.

Is Dumas in MS worth investing in?

Dumas, MS scores 3.0/5 for investability. Home values sit at $174K and rents near $801/mo, which keeps the rent-to-price ratio in reasonable territory for buy-and-hold investors.

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