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MarketsMississippiTupeloCost of Living & Affordability

Cost of Living & Affordability: Tupelo, MS

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

Cap Rate
5.69%
Median Price
$185K
Rent/Mo
$1,190
1% Rule
0.64%
Fails

Housing Affordability

Tupelo's price-to-income ratio is 4.7x — homes cost 4.7 times the local median household income of $39,333. This is moderately affordable. A healthy portion of the workforce can still aspire to homeownership, but many find renting more practical — creating a solid tenant base of working professionals.

Rent vs Buy Analysis

A typical mortgage payment on a median-priced home in Tupelo (20% down at 7%) is approximately $1,230/mo for principal and interest alone — add taxes and insurance and the all-in payment reaches roughly $1,393. The median rent of $1,190/mo is roughly comparable to buying costs — in this environment, renters choose flexibility while buyers choose equity building. When renting is cheaper than buying, the renter pool stays deep and vacancy stays low.

Income & Employment

The median household income in Tupelo is $39,333, with a population of 50,000 growing at 0.2% per year. Tupelo is a smaller market. Research the local employment base carefully — smaller cities can be significantly impacted by a single employer's decisions.

What This Means for Investors

Tupelo is affordable with moderate returns. Focus on volume — the low entry point lets you scale to multiple properties faster than in more expensive markets.

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How Tupelo Compares

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

Metric
Tupelo
Mississippi Avg
National Avg
Cap Rate
5.69%
6.26%
3.81%
Median Price
$185K
$208K
$333K
Median Rent
$1,190
$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
Tupelo, MS
5.7%
$185K
$1,190
0.66%
Florence, SC
6.6%
$185K
$1,300
0.57%
Paragould, AR
4.8%
$185K
$1,020
0.61%
Mobile, AL
6.2%
$190K
$1,270
0.44%
Macon, GA
5.3%
$190K
$1,210
0.96%

Frequently Asked Questions

Is Tupelo affordable for renters?
Renters in Tupelo spend approximately 36% of median household income on rent. This exceeds the 30% affordability threshold, meaning housing costs are stretched relative to local incomes. The median household income is $39,333, below the level needed for comfortable renting.
What is the price-to-income ratio in Tupelo?
Tupelo's price-to-income ratio is 4.7x, meaning homes cost 4.7 times the local median income. This is moderate — some residents can buy, many choose to rent.
Is it cheaper to rent or buy in Tupelo?
A mortgage payment (20% down, 7% rate) on the median $185K home is approximately $984/mo before taxes and insurance. Adding those costs brings it to roughly $1,148/mo. The median rent of $1,190/mo is comparable to the cost of buying — this parity means some renters could transition to buying.
How does Tupelo's cost of living compare to the national average?
Home prices in Tupelo ($185K) are 45% below the national average. Rents ($1,190/mo) are 22% below average. Property taxes (0.66%) are below the 1.08% national average.
Full Tupelo Analysis →Cap Rate CalculatorBRRRR Calculator

Explore Tupelo & Related Markets

More Tupelo Guides

Rental Property Investment GuideRent AnalysisProperty Tax GuideAppreciation & Growth ForecastNeighborhood Investment Guide

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