The challenge is, I’m not familiar with the local market—or the Mississippi market in general.Does anyone have insight into the market in this area or know of investors interested in properties in western Mississippi?

Years ago, a friend of mine took on a similar challenge in an older neighborhood near Chicago..he opened up the top floor to create a master suite that felt less like a converted attic and more like a boutique hotel room.

This market is challenging. 

Most BP members in our region are familiar with the West Sacramento meetup, and there was one in Folsom meeting at Out of Bounds occasionally, but I haven't seen posts for that one lately.

No one is going to pay more than 4-5k, and even then finding that tenant is very challenging.

The challenge is knowing if the listing agent actually tells your offer to the seller or not.For example, if a distressed property is $650k and you want to offer $620k, the listing agent says the lowest the seller may accept is $645k, but is that actually true or made up because the listing agent wants their commission?

If you're thinking of living here I imagine operating this will be a challenge.

I've been incredibly lucky with tenants, turnover, properties, appreciation, connections etc.That said I do occasionally find myself wondering, what if....If I had bought in Florida or Texas or a booming college town. 

Note: I have not formally warned the tenant about any of these issues.I am seeking guidance and advice from the BiggerPockets community on how to navigate this challenging situation and successfully evict this tenant.Disclaimer: This is a complex situation, and I understand that legal advice is best obtained from a qualified attorney.

Only challenge (as you and others have touched on) is scalability.