Mississippi’s real estate market, like many others across the nation, experienced a surge in activity beginning in 2021. While rising interest rates eventually tempered the buying frenzy, home values remain significantly higher than pre-pandemic levels. Though Mississippi saw its share of this growth, the appreciation in home values remained relatively moderate compared to some other states. This analysis delves into the five most expensive ZIP codes in Mississippi as of December 2024, based on Zillow’s home value index and data from the Census Bureau’s American Community Survey.
Topping the list is ZIP code 39110, encompassing Madison, Annandale, and Gluckstadt, located north of the state capital, Jackson. This area boasts high household incomes, with a median of $122,955 and an average of $167,765. While experiencing a respectable 34.2% increase in median home value from $287,715 in December 2019 to $386,122 in December 2024, its growth pales in comparison to some other areas.
The second most expensive ZIP code, 38655, centers around Oxford, home to the renowned University of Mississippi (though the university itself falls under a different ZIP code). This area exhibits a larger disparity between median and average household incomes, at $64,423 and $103,067 respectively. Home values in this ZIP code experienced a more dramatic surge, appreciating by 57% over the five-year period from December 2019 to December 2024, reaching $371,494. This includes an impressive 11.4% jump in just one year, from December 2023 to December 2024.
Claiming the third spot is ZIP code 38673, situated around Taylor, southwest of Oxford. Characterized by a landscape of woodlands and upscale homes, this area has a median household income of $89,150, closely followed by an average of $92,513. Home values in 38673 demonstrated robust growth, climbing over 60% in five years, from $226,570 in December 2019 to $363,402 in December 2024. This growth also maintained strong momentum in the final year, with a 9.5% increase.
The fourth most expensive ZIP code, 38651, encompasses Nesbit, a desirable suburban area south of Memphis, Tennessee. This ZIP code boasts high and relatively balanced household incomes, with a median of $96,667 and an average of $111,972. Home value appreciation in this area was steadier compared to the second and third most expensive ZIP codes, rising by 33.5% from $258,139 in December 2019 to $344,570 in December 2024.
Rounding out the top five is ZIP code 38632, centered around Hernando and situated immediately south of Nesbit. This geographically expansive ZIP code includes areas along Arkabutla Lake. The median household income stands at $90,277, while the average is $108,706. Home values in this ZIP code experienced a 35.1% increase over five years, from $242,641 in December 2019 to $327,769 in December 2024.
In summary, Mississippi’s most expensive ZIP codes reflect a diverse range of characteristics, from proximity to major cities and universities to desirable suburban landscapes and lakefront properties. While each area experienced substantial increases in home values over the past five years, the rate of appreciation varied. Areas closer to Memphis, Tennessee, such as Nesbit and Hernando, showcased steadier growth, while Oxford and Taylor experienced more significant surges. Madison, with its high incomes and proximity to the state capital, maintained its position at the top despite a comparatively moderate appreciation rate, highlighting the enduring appeal of established, affluent communities. These trends reflect the overall dynamics of the Mississippi housing market, which, while participating in the national trend of rising home values, has maintained a more measured pace of growth. The data suggests that factors such as location, proximity to amenities, and income levels continue to play significant roles in determining home values across the state. Further analysis and ongoing monitoring of these trends will be crucial for understanding the evolving dynamics of Mississippi’s real estate market in the years to come.
