Real Estate Investing in Diamondhead, Mississippi (39525)

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

Hancock County • Population: 9,338 • Data updated: September 2026

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Should you buy in 39525 (Diamondhead, MS)? Our answer, based on the numbers below.

🏠 For Homebuyers
GOOD FIT
Grade B (73/100)

Solid choice — stable market with a reasonable entry point and good rental backup if you ever need to move.

📈 For Investors
MIXED
3.0 / 5 (52/100)

A cash-flow market — rent-to-price math works from day one, though value growth is modest. Great for income-focused investors.

⚠️ Risks to Know
1 flag
  • Elevated vacancy: 9.4% vacancy may signal weakening demand.

What’s happening in Diamondhead, MS (39525)?

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3.0/ 5

Investability

Overall investment appeal

2.0/ 5

Appreciation

Long-term value growth

4.0/ 5

Cashflow ROI

Rental yield potential

Avg Home Value $248,515
Avg Monthly Rent $1,786
1% Rule ✗ Does Not Meet
Median Income $80,504
% Renters 10.4%

Market Analysis: 39525 Diamondhead

ZIP 39525 inside Hancock County looks affordable on the surface — median value of $249K — but the discount exists for reasons that a careful buyer should understand before committing.

Distressed does not mean uninvestable. It means the margin for error is thinner. ZIP 39525 rewards the prepared, punishes the overconfident, and leaves the math unchanged either way.

The gap between 39525 and stronger Diamondhead ZIPs is not closing quickly. Investors should weight long-horizon assumptions accordingly.

Put differently, 9,338 residents fill the ZIP, renter turnover runs higher than neighboring postal codes and delinquency risk is a real line item rather than a theoretical one.

Experienced landlords with local relationships tend to find 39525 workable. Turnkey investors from out of state usually find the numbers do not hold up in practice.

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 Diamondhead:

B Good
Buy Confidence Score: 72/100
Affordability
20/25
Appreciation
18/25
Stability
9/20
Timing
10/15
Rental backup
15/15
Affordability
Moderate
Homes cost 3.1× the median income
Value Trend
Stable (+2.1%)
How home values changed in the past year
Rental Backup
Strong
Could rent for $1,786/mo if you need to move
Market Conditions
COOL
More inventory, negotiating room for buyers
Bottom Line: Mixed signals in this market. Research specific properties carefully and be prepared to negotiate.
❄️
COOL MARKET
Gulfport-Biloxi, MS Metro Area
More inventory, negotiating room for buyers
78 days
Average time to sell
Slow
8.7%
Listings with price cuts
Few Cuts
0.0%
Sale price vs asking
Below Ask
0.0%
Income needed for mortgage
Affordable
📅 Market conditions as of August 29, 2026 — updated weekly from Gulfport-Biloxi, MS metro data
🏠

Property Strategy for 39525

Which property type performs best in this market?

Best for Cash Flow
1BR
9.5% cap rate
Best for Appreciation
3BR
+6.8% 5yr CAGR
Best Overall Value
4BR
$80,266/bedroom
📊 Compare All Property Types →
Type Median Value Est. Rent Cap Rate 5yr CAGR $/Bedroom
1BR $96,747 $1,280 9.5% +6.5% $96,747
2BR $170,263 $1,580 6.7% +6.1% $85,132
3BR $250,468 $2,040 5.9% +6.8% $83,489
4BR $321,064 $2,230 5.0% +6.5% $80,266

Market Trends

Home Value History (with trend line)

$259K$230K$201K$173K$144K$115KJan 2012May 2019Jul 2026

Rent History (with trend line)

$1,794$1,772$1,751$1,730$1,709$1,687Dec 2025Apr 2026Jul 2026

📊 How Does 39525 Compare?

Metric 39525 Diamondhead Gulfport-Biloxi, MS Mississippi
Home Value $248,515 $248,515 N/A $186,446
5-Year CAGR 4.5% 4.5% N/A 4.0%
Avg Rent $1,786 $1,786 N/A -
Cap Rate 5.6% 5.6% - -
💡 Why Invest in 39525? Click to expand

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

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Landlord Ground Truth

Real numbers from people who own or manage rentals in ZIP 39525 (Diamondhead, MS). Anonymous, moderated, never written by AI.

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Investability
Good
Cap Rate
5.6%
Fair
5yr Growth
+4.5%
Moderate

📊 Market Snapshot

Home Value $248,515
Monthly Rent $1,786
Price-to-Rent 11.6:1
1% Rule ✗ Fails

💰 Return Metrics

Gross Yield 8.6%
Cap Rate 5.6%
5-Year IRR 10.2%

📈 Home Appreciation

1-Year +2.1% ▲
3-Year CAGR +2.0% ▲
5-Year CAGR +4.5% ▲
10-Year CAGR +5.8% ▲

🏠 Rent Trends

1-Year N/A
3-Year CAGR N/A
5-Year CAGR N/A
Negative Leverage — IRR / Tax Play Cap Rate: 5.6%  |  30yr Rate: 6.8%
Leverage reduces cash returns at current rates.

The current 30-yr mortgage rate (6.8%) exceeds the estimated cap rate (5.6%). 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
9.4%
Moderate risk
Landlord Climate
5.0/5
Friendly
Value Trend (5yr)
+4.5%
Stable
Eviction process: Fast Rent control: Favorable

Demographics in 39525

Population: 9,338

💰 Median Household Income
$80,504
This area
$80,504
State
$48,827
USA
$74,580
🏠 Renter Occupied
10.4%
This area
10.4%
State
27.7%
USA
34.0%
💼 Unemployment Rate
1.3%
This area
1.3%
State
-17.6%
USA
3.7%
🎓 College Educated
37.3%
This area
37.3%
State
-11.7%
USA
33.7%
👤 Median Age
50.8 years
This area
50.8 years
State
10.7 years
USA
38.9 years
🏚️ Vacancy Rate
9.4%
This area
9.4%
State
18.7%
USA
10.5%
👥 Population by Ethnicity
White 88.7%
Other/Mixed 8.9%
Hispanic/Latino 3.8%
Black/African American 1.9%
Asian 0.5%
👶 Under 18
16.1%
This area
16.1%
USA
22.0%
👴 65 and Over
26.5%
This area
26.5%
USA
17.3%
📊 Poverty Rate
5.4%
This area
5.4%
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

Frequently Asked Questions

What is the typical rental rate in Diamondhead, MS?

The typical rental in Diamondhead, MS commands about $1,786/mo monthly. That rent profile predictable cash flow against the $249K purchase basis.

Are renters plentiful in Diamondhead, MS?

Diamondhead, MS draws a consistent base of working renters. Demand at the $1,786/mo rent level is reasonable for standard single-family and small multi rentals.

Do rentals sit vacant long in Diamondhead, MS?

Expect elevated vacancy in Diamondhead, MS. Rents at $1,786/mo are absorbed by the tenant base without meaningful lag.

What is it like being a landlord in Diamondhead, MS?

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

What is the best play in Diamondhead, MS?

For Diamondhead, MS, careful cash-flow rentals with hands-on management is the standard investor playbook. The market structure makes it a reasonable default approach.

You know 39525 now. You don’t know where it ranks.

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How 39525 ranks in Gulfport-Biloxi, MS

Every ZIP in this metro, ranked. Free.

Cash Flow → Appreciation → Affordable →
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