
Mississippi Land · Owning & Using
Sixteenth Section land is public-school trust land found almost nowhere but Mississippi: one square-mile section in nearly every 36-square-mile township, set aside since 1785 to fund local schools. The State holds the title in trust—so you don’t buy it, you lease it from the local school district at fair market value, paying an annual “ground rent.” Today more than 640,000 acres remain in trust across the state.
When the United States surveyed this part of the country, it sliced the land into townships—blocks six miles square, each divided into 36 numbered sections of one square mile (640 acres). In every township, Section 16—the one sitting near the middle—was set aside to fund the local public schools. Tap any square to see how the surveyors numbered them.
Section 16 — one square mile (640 acres) at the heart of every township, reserved for schools.
Numbering follows the U.S. Public Land Survey: Section 1 starts in the northeast corner and zig-zags to Section 36.
For almost everyone, the honest answer is: you lease it. Title to every Sixteenth Section stays with the State of Mississippi, held in trust for public education—it isn’t ordinary public land that gets put up for sale. A few narrow exceptions exist in the statutes, but in practice the land is leased, not sold.
You lease from the local school district where the parcel sits, with the Mississippi Secretary of State acting as the supervising trustee. Many leases—especially agricultural ones—are awarded through a public, advertised bidding process, and by law every lease must be set at fair market value. That rule has teeth: in 1989, the Mississippi Supreme Court voided a 99-year lease that had been granted for a one-time payment of $7.50, holding that trust land can’t be given away cheap.
Plain English: think of it less like buying a parcel and more like a long-term ground lease—you control and use the land for a set term, the school district keeps the title, and your rent funds local classrooms.
It depends on how the land is classified. Mississippi law sorts every Sixteenth Section into one of nine classifications based on its highest and best use, and each carries its own maximum lease term. Tap a classification to see the rules.
Two costs matter, and a third surprises people. First, the ground rent: your annual lease payment to the school district. Second, property tax—once a Sixteenth Section is leased, it’s taxed like privately owned land, and the lessee pays that tax. (Let it lapse and the lease can be canceled.) When a parcel sits unleased, the district generally isn’t taxed on it.
The surprise is financing. You can often borrow against a Sixteenth Section lease, but it’s a leasehold mortgage, not a standard land loan. Mississippi lenders know the drill. Out-of-state lenders frequently don’t—so use the magic words: call your annual payment “ground rent” or “ground rental.” A lender who has never heard of a Sixteenth Section will recognize a ground rental instantly. Line up financing early, and have a real estate attorney or title company read the lease before you sign.
We won’t make up numbers. Ground rent is set parcel-by-parcel at fair market value by the local district, so there’s no statewide “per acre” figure that would be honest to quote. The right number comes from the district’s appraisal for that specific Sixteenth Section—ask the land manager.
On forest sections, only the holder of a valid hunting-and-fishing lease may hunt or fish—and if no such lease exists, the school district has to post the land and keep it closed. The standing timber belongs to the school district, not the leaseholder, so you can’t cut or sell it except on the lease’s terms. Mineral rights (oil and gas) are handled separately and can be leased on their own. If hunting land or timber is your goal, read the classification and the lease language closely—this is exactly where surprises hide.
New to any of these terms? Our Land Dictionary defines them in plain English.
The clearest way to decide is side by side. Toggle a column to focus, or keep both open.
The short version: before Mississippi was a state, the country decided that land itself should pay for schools. That promise survived statehood, near-collapse, reform, and a landmark court fight—and it still funds classrooms today. Tap a date to follow the thread.
“Most folks hear ‘you can’t really buy it’ and walk away. That’s a mistake. A long-term Sixteenth Section lease can be one of the most affordable ways to put down roots in Mississippi—you just have to understand the rules going in. Read the lease, know your classification, and talk to a real estate attorney or title company before you sign. Do that, and this quirky old institution works in your favor.”
Almost never. The State holds title in trust for public schools, so the land isn’t sold on the open market. Instead you lease it from the local school district at fair market value, usually through a public bidding process. A few narrow statutory exceptions exist, but for practical purposes, 16th Section land is leased, not bought.
It depends on the land’s classification. Residential, commercial, industrial, recreational, catfish-farming, farm-residential, and “other” leases can run up to 40 years. Agricultural leases run up to 5 years (10 for rice or pasture). Forest land generally isn’t leased except for hunting-and-fishing rights, which can last up to 15 years.
Ground rent is the annual lease payment you make to the local school district for the right to use a Sixteenth Section. It’s the term to use with a mortgage lender—especially an out-of-state one—because lenders recognize a “ground rental” even when they’ve never heard of a Sixteenth Section.
Yes. Once the land is leased, it’s taxed like privately owned land, and the lessee pays the property tax. If the taxes go unpaid, the lease can be canceled. When a parcel sits unleased, the school district generally isn’t taxed on it.
Often, yes—but it’s a leasehold mortgage, not a standard land loan. Local Mississippi lenders are familiar with it; out-of-state lenders may need it explained as a “ground rental.” Talk to a lender early, and have a real estate attorney or title company review the lease before you commit.
Only if you hold a valid hunting-and-fishing lease for that forest section. Without one, the school district must post the land and keep it closed to hunting and fishing. The standing timber on the section stays with the school district.
Your local school district manages and leases its own Sixteenth Sections, with the Mississippi Secretary of State serving as supervising trustee. To lease a parcel, contact the land manager for the school district where the land sits.
In most classifications you can re-lease the land—but at current fair market value, which is often higher than before. Some improvements may carry over under the lease terms. Forest leases generally aren’t renewed for new development, since that land is kept as forest.
Debrosland is a family-owned land company helping everyday Americans buy and sell land—the honest way.
Sitting on land you’re ready to let go of? We buy land for cash—get a cash offer. Still have questions? Start with our land FAQ.
This guide is general information, not legal advice. Lease rules vary by classification and district—confirm specifics with the local school district and a real estate attorney or title company.
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