Biloxi, MS
⚖️ Balanced Market📊 Fundamental Scores
🎯 The Bottom Line
The Biloxi housing market offers stable affordability with a 18.2x price-to-rent ratio. With a 6.6 month supply, it is a buyer's market favoring investors seeking long-term cash flow.
📈 Price History
📊 Market Activity
📈 Market Analysis
Market Cycle
The current Biloxi housing market is in a stabilization phase, characterized by a neutral verdict and a Market Temperature score of 58. Unlike overheated coastal markets, Biloxi is experiencing a balanced correction, with a minimal year-over-year price change of 0.9%. This indicates that prices have plateaued rather than declined, offering a stable entry point for buyers looking to avoid volatility.
Supply & Demand
Supply dynamics currently favor buyers. With 6.6 months of supply recorded, the market sits firmly in buyer's market territory (defined as 6+ months). Inventory is active with 243 active listings, significantly outpacing the 37 homes sold monthly. The influx of 70 new listings monthly suggests sellers are still eager to transact, giving buyers ample leverage to negotiate terms.
Pricing Power
Sellers have limited pricing power in the current Biloxi real estate landscape. The sale-to-list ratio has dipped to 93.4%, meaning homes are selling for roughly 6.6% below their asking price. Furthermore, 21.0% of listings have seen price drops, signaling that initial pricing strategies are often too aggressive for the current demand. However, 17.6% of homes still go off-market in two weeks, indicating that well-priced, turnkey properties remain highly desirable.
Biloxi, MS Housing Market Forecast 2026–2028
🔮 Biloxi Price Forecast 2026–2028
Biloxi, MS Housing Market Forecast 2026–2028
For those evaluating the Biloxi housing market forecast through 2028, the current data paints a picture of a stable, maturing coastal market rather than one poised for explosive growth. With a median home price of $226,136 and a price-to-rent ratio of 18.2x, the market sits right at the national average, suggesting that neither buying nor renting presents a dramatic financial advantage at this moment. The modest year-over-year price change of 0.9% indicates a sharp cooling from the 5-year CAGR of 4.8%, signaling that the post-pandemic surge has largely run its course. For anyone asking will Biloxi home prices drop, the data suggests a period of stabilization rather than a significant downturn. The market temperature of 58/100 confirms this balance, leaning slightly toward a buyer's market but without the panic selling that typically precedes a crash.
Looking ahead to Biloxi real estate Biloxi 2027, several local factors will likely dictate the pace of appreciation. The region's economy remains heavily tied to tourism, gaming, and Keesler Air Force Base, which provides a steady floor for housing demand. Affordability remains a key strength; while prices have risen 26.7% over five years, the median price point is still accessible compared to national averages, which could attract retirees and remote workers seeking Gulf Coast living. However, the coastal location introduces specific risks, including hurricane exposure and rising insurance costs, which could temper investor enthusiasm. With homes sitting on the market for an average of 56 days, sellers must price competitively, and the "Neutral" buy/rent verdict suggests that patience is a virtue for both buyers and renters in this environment.
Ultimately, the forecast for Biloxi points toward modest, sustainable growth rather than volatility. The "A" risk grade indicates a fundamentally sound market, but the lack of strong price momentum suggests that double-digit returns are unlikely in the near term. Expect appreciation to track closer to historical norms, likely in the 2-4% annual range, as the market digests recent gains. For long-term holders, Biloxi remains an attractive entry point due to its affordability and rental potential—median rent at $923/mo is notably low relative to ownership costs. However, short-term speculators should temper expectations. The market is not crashing, but it is normalizing, and that stability may be its greatest asset for the 2026-2028 period.
Disclaimer: This forecast is a statistical projection based on historical price trends and should not be considered financial advice. Actual market outcomes may vary due to economic conditions, interest rates, local regulations, and other factors.
🏠 Rent vs Buy Analysis
Monthly Cost Breakdown
When analyzing buy vs rent Biloxi, the numbers present a compelling case for ownership. The median rent stands at $923/month, while a median-priced home at $226,136 (assuming a 20% down payment and current mortgage rates) would carry a monthly principal and interest payment significantly higher than rent. However, when factoring in tax incentives and amortization, the long-term wealth building of buying begins to outweigh the lower monthly cash outflow of renting.
5-Year Comparison
Over a five-year horizon, the financial divergence becomes clear. Renters face annual market adjustments, while buyers lock in their housing cost. With a 18.2x price-to-rent ratio—hovering near the national average of 18x—Biloxi is not severely overvalued. This ratio suggests that buying is roughly equivalent to renting financially, but with the added benefit of equity accumulation.
When Renting Wins
- Short-term flexibility is required, as the 56 median days on market can slow down exit strategies.
- Preserving liquid capital is a priority, avoiding the upfront costs of a down payment and closing.
- Responsibility for maintenance and the coastal climate's wear-and-tear is undesirable.
When Buying Wins
- Long-term stability is the goal, leveraging the $226,136 median price to build equity.
- Investors want to capitalize on the 18.2x P/R ratio which is favorable compared to higher-cost coastal cities.
- Locking in a fixed monthly payment is preferred over potential rent inflation.
🧮 Can You Afford Biloxi? Interactive Calculator
Income Reality Check
Can you actually afford Biloxi?
Great! At 20.6%, this mortgage falls within healthy financial limits. You have strong purchasing power in Biloxi.
💰 Investment Thesis
Cash Flow Analysis
For investors looking to invest in Biloxi, the numbers suggest a focus on cash flow rather than rapid appreciation. With a median rent of $923/month and a median home price of $226,136, the gross rental yield is approximately 4.9% annually. While this is modest, the lower entry price point compared to national averages allows for leveraged returns. Investors should target properties that can exceed the median rent through upgrades to achieve a healthy cap rate in the 6-8% range.
House Hacking
Given the neutral market conditions and 6.6 months of supply, house hacking is a viable strategy. An investor can purchase a multi-family or single-family home with an accessory dwelling unit (ADU) in a Biloxi neighborhood near the coast or Keesler AFB. By living in one unit and renting the others, the investor can effectively eliminate their housing cost, which is significantly lower than the national average.
Target Investor
The ideal investor for the Biloxi housing market is a cash-flow-focused individual with a medium-term hold strategy (5-10 years). This market is less suited for house flippers due to the 0.9% YoY price change and 93.4% sale-to-list ratio, which compresses margins. Instead, the Investor Yield score of 50 indicates a stable, moderate-return environment suitable for building a rental portfolio.
🏘️ House Hacking Calculator Interactive Calculator
House Hacking CalculatorOwner-Occupied Multi-Fam
🗺️ Neighborhood Breakdown
Entry-Level
The entry-level segment of Biloxi real estate is concentrated in areas like North Biloxi and parts of Back Bay. These neighborhoods offer the most affordable price points, often dipping below the $226,136 median. Properties here are typically older ranch-style homes or cottages. They appeal to first-time homebuyers and investors looking for lower acquisition costs, though they may require more maintenance due to age.
Mid-Range
Mid-range Biloxi neighborhoods such as St. Martin and Vancleave offer a balance of value and quality. These areas feature newer construction, higher median days on market (closer to the 56-day average), and more square footage. They are popular with military families associated with Keesler AFB seeking stability and good school districts, supporting consistent rental demand.
Premium
The premium segment is defined by coastal proximity in East Biloxi and waterfront properties. While the median price is $226,136, luxury properties in these enclaves command significantly higher prices. These homes offer the highest appreciation potential but come with increased insurance costs and exposure to coastal risks. Inventory here moves slower, with 21.0% of listings seeing price drops, presenting negotiation opportunities for high-net-worth buyers.