Real Estate Investing in Lamar, Mississippi (38642)
Everything the listing leaves out — vacancy, rent trend, cap rate, landlord climate. All free.
Should you buy in 38642 (Lamar, MS)? Our answer, based on the numbers below.
Mixed signals — some positives, some negatives. Worth considering but not a slam-dunk.
A middle-of-the-road market. Workable, but the best opportunities may be nearby ZIPs rather than this one.
No major risk flags on the data we track.
• Modeled rent — no observed market rent for this ZIP; the figure is estimated from HUD fair-market rent.
What’s happening in Lamar, MS (38642)?
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Market Analysis: 38642 Lamar
On balance, ZIP 38642 has challenges — vacancy pressure, softer price growth, and tenant stability concerns sit alongside the $193K median. It rewards specialists, not generalists.
On balance, the numbers look inviting — $193K purchase price, 0.0% nominal cap — the work to hit that pro forma in 38642 is substantial and deserves full respect.
Statewide comparisons place 38642 among MS's softer markets. That context does not make the ZIP uninvestable, but it does raise the bar for due diligence.
Employment concentration in 38642 leans toward sectors with higher volatility. The demographic consequence is income fluctuation that investors need to factor into their pro forma.
tilts toward the ZIP is not uninvestable, but it is unforgiving. Section 8 landlords, local operators, and specialized value-add funds are the investor types that tend to succeed.
Here's what matters if you're considering buying a home in Lamar:
Market Trends
Home Value History (with trend line)
📊 How Does 38642 Compare?
| Metric | 38642 | Lamar | Memphis, TN-MS-AR | Mississippi |
|---|---|---|---|---|
| Home Value | $193,140 | $193,140 | N/A | $186,446 |
| 5-Year CAGR | 3.2% | 3.2% | N/A | 4.0% |
| Avg Rent | $918 | $918 | N/A | - |
| Cap Rate | 3.7% | 3.7% | - | - |
Similar ZIPs Within 25 Miles
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Landlord Ground Truth
Real numbers from people who own or manage rentals in ZIP 38642 (Lamar, MS). Anonymous, moderated, never written by AI.
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📊 Market Snapshot
| Home Value | $193,140 |
| Monthly Rent | $918 |
| Price-to-Rent | 17.5:1 |
| 1% Rule | ✗ Fails |
💰 Return Metrics
| Gross Yield | 5.7% |
| Cap Rate | 3.7% |
| 5-Year IRR | 6.9% |
📈 Home Appreciation
| 1-Year | +14.5% ▲ |
| 3-Year CAGR | +6.4% ▲ |
| 5-Year CAGR | +3.2% ▲ |
| 10-Year CAGR | N/A |
🏠 Rent Trends
| 1-Year | N/A |
| 3-Year CAGR | N/A |
| 5-Year CAGR | N/A |
The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (3.7%). 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.
Demographics in 38642
Population: 2,085
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
Frequently Asked Questions
What are rental rates like in Lamar, MS?
Average rent in Lamar, MS is approximately $918/mo per month. Against $193K home values that yields a reasonable rent-to-price ratio.
Are homes affordable in Lamar, MS?
Lamar, MS median home values land near $193K. That is reasonable territory for investors looking at $918/mo-per-month rentals.
Is Lamar, MS a smart market for rental property?
The 3.0/5 investability rating in Lamar, MS reflects its $193K prices and $918/mo rents. Investors generally consider it a solid option within MS.
What approach is best for Lamar, MS real estate?
The best-fit strategy in Lamar, MS is careful cash-flow rentals with hands-on management. That approach the rent and price profile of the market.
How strict are landlord regulations in Lamar, MS?
Rental owners in Lamar, MS deal with a landlord-friendly legal framework. Most standard eviction processes run on reasonable timelines.
You know 38642 now. You don’t know where it ranks.
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How 38642 ranks in Memphis, TN-MS-AR
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