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MarketsMississippiOxfordRental Property Investment Guide

Rental Property Investment Guide: Oxford, MS

Updated 2026 · Based on median market data for Oxford, MS

Cap Rate
5.15%
Median Price
$395K
Rent/Mo
$2,350
1% Rule
0.59%
Fails

Market Snapshot

Oxford sits in the South with a population of 50,000 growing at 0.2% annually. The median home costs $395,000 while rents average $2,350/mo, producing an estimated cap rate of 5.15%. This is a moderate market that rewards careful deal sourcing.

Who Should Invest Here

Oxford works best for experienced investors with a clear strategy — Section 8, student housing, or deep value-add rehabs. The 5.15% cap rate at median prices is tight, so success depends on buying below market, forcing appreciation through renovation, or accessing above-market rent streams through niche tenant bases.

Deal Criteria for Oxford

Target properties priced 15-25% below the $395,000 median — around $316,000 or less. At this price point with $2,350/mo rents, your cap rate improves to roughly 6.8%. Factor in 0.66% property taxes ($2,607/yr), budget 5% of gross rent for maintenance, and underwrite to a 7.4% vacancy rate. On a 20% down conventional loan at 7%, monthly PITI will run approximately $2,419.

Risks and Considerations

The 7.4% vacancy rate is above the national average, so budget conservatively and screen tenants carefully. Higher price points mean more capital at risk and tighter cash flow margins — ensure you have adequate reserves. Every deal should be evaluated individually using our calculator tools. Median data provides a starting point; actual returns depend on the specific property, financing, and your management approach.

Next Steps

Run the numbers on a specific Oxford property using our cap rate calculator (pre-filled with Oxford data). Compare Oxford against similar markets in the South region. If you're considering a value-add approach, try our BRRRR calculator to model a rehab scenario.

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How Oxford Compares

Oxford vs Mississippi state average and national average across key investment metrics. Oxford beats the national average but trails the Mississippi average on cap rate.

Metric
Oxford
Mississippi Avg
National Avg
Cap Rate
5.15%
6.26%
3.81%
Median Price
$395K
$208K
$333K
Median Rent
$2,350
$1,387
$1,524
Property Tax
0.66%
0.66%
1.08%
Vacancy
7.4%
7.4%
5.6%
Pop. Growth
0.2%/yr
0.2%/yr
0.9%/yr

Nearby South Markets

City
Cap Rate
Price
Rent
Tax
Oxford, MS
5.2%
$395K
$2,350
0.66%
Baltimore, MD
3.4%
$395K
$1,860
1.04%
Sevierville, TN
3.5%
$395K
$1,740
0.65%
Sarasota, FL
4.3%
$400K
$2,090
0.86%
Cullowhee, NC
2.0%
$400K
$1,250
0.78%

Frequently Asked Questions

Is Oxford, MS a good place to invest in rental property?
Oxford has an estimated cap rate of 5.15%, which is above the national average of 3.81%. With median home prices at $395K and rents of $2,350/mo, Oxford offers strong cash flow fundamentals for rental investors. Population growth of 0.2% and 7.4% vacancy rate suggest moderate rental demand.
What is the average cap rate in Oxford?
The estimated cap rate for Oxford is 5.15%, based on median home prices of $395K, median rents of $2,350/mo, a 0.66% property tax rate, and 7.4% vacancy. This compares to a 6.26% average across Mississippi and 3.81% nationally. Cap rates for individual properties will vary based on purchase price, actual rents, and property condition.
How much does a rental property cost in Oxford?
The median home price in Oxford is $395,000, which is 18% above the national average of $333,419. A 20% down payment would be approximately $79,000. Investment properties in Oxford range significantly — targeting properties 15-25% below median can improve your cap rate substantially.
What are Oxford property taxes for investors?
Oxford's effective property tax rate is 0.66%, which is above the Mississippi average of 0.66% and below the national average of 1.08%. On a $395K property, annual taxes are approximately $2,607 ($217/mo). Low property taxes are a significant cash flow advantage here.
Full Oxford Analysis →Cap Rate CalculatorBRRRR Calculator

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