Calling all Mississippi investors - how great are your returns?

[Joe Applegate]

Mississippi Investors ,

I have been doing a lot of market research, and I need your experience.

From a micro level, your stats on population growth, price to rent ratios, YOY job growth, crime rate, median income increase, etc... are the best I have seen in the country.

However, on a macro level... the state of Mississippi seems to be one of the worst performing states. Which leads me to my question: 

Have you found Mississippi to producing strong returns?

Here are my top cities that are producing job growth from 3.5-5%; strong median income; strong population growth; and low p/r ratios

[Susan Maneck]

I find the returns are incredible, but most of my properties are in walking distance from where I live and I manage most of them myself. To give you an idea, here are some figures. Unless otherwise noted assume I spent 5K fixing it up. 

1. Bought before the recession for 72K. Lived in it for eight years before renting it out. 4bdrm 2ba, 2 car garage. Rents for $950.  

2. 4bdrm 2ba. Purchased for 15K needed 30k worth of work. Rents for $900.

3. 3 bdrm 2ba, 2 car garage. Purchased for 35K, rents for $825. 

4. 3 bdrm 2 ba, 2 car garage. Purchased for 30K, rents for $868. 

5. 2 bdrm 1 ba. Paid 16K, spent 4K fixing it up.  Ramp added for disabled tenant. Rents Section 8 for $770. 

6. Two houses on one property. Front house is 4 bdrm 2ba, two car garage, back house is 3bdrm, 1 ba. Purchased both from a wholesaler for 32K, probably put in 15-20K fixing them up. Rent both together to extended family for $1500. 

The above houses are all in South Jackson, all but one south of McDowell. I'm due to close on a townhouse Tuesday in Byram. It is two bedrooms, 2 ba. in a B+ neighborhood. I'm paying 40K for the townhouse. Will rent for $900-$950. 

Show me any place else where you can get those kinds of returns? But as Jay will testify these properties, especially the ones in SoJackson are hard to manage from a distance. I'm gradually handing over some of my properties to over to a property manager, mostly because I'm having to split my time between here and California. 

Incidentally, I purchased the house I live in for 30K.