3694 Green Meadow Ln

Flower Mound, TX 75022

$769,900F

4 bd · 2.0 ba · 2,214 sqft · Built 1968 · SingleFamily · Pending · 11 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,425/mo
• Mortgage (P&I): −$4,037
• Tax + insurance: −$995
• HOA: −$0
• Vac / Maint / Mgmt: −$719
• Net cashflow: $-2,327/mo
• Annual: $-27,924/yr
• Cap rate: 2.67%
• Cash-on-cash: -12.95%
• DSCR: 0.42
• 1% rule: 0.44%
• Cash to close: $215,572

Investor read

• This is a 4-bed/2.0-bath single-family listed at $770k.
• At list price, monthly cash flow is $-2k ($-28k/yr) — negative.
• To cash-flow at today's rent, offer at most $359k (53.4% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $342k (55.5% below list).
• Only 11 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $342k (55.5% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $5k of loan paydown is wiped out by about $23k of value loss. Plan a longer hold.
• Location reads 71/100 on livability (#317 in TX) — a middle-class / working-renter tenant base. Strengths: crime A+, employment A+, housing A+; Watch: amenities F, commute F, cost of living F.
• Lewisville ISD (suburban): math 49% / reading 54% proficiency, ranked #109 of 826 in TX (top 13%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Liberty El (math 75% / reading 76%, grade A, #73 of 4,322 statewide, top 2%, 593 students, 7% FRL); Mckamy Middle (math 73% / reading 75%, grade A, #41 of 1,662 statewide, top 3%, 805 students, 5% FRL); Flower Mound H S (math 82% / reading 86%, grade A, #19 of 1,632 statewide, top 1%, 3,542 students, 7% FRL) — zoned schools average 6% FRL vs 26% district-wide (19 pts lower); this property's tenant base skews higher-income than the district average.
• Zoned-school proficiency averages 78% at this address vs 52% district-wide (+26 pts) — the actual schools serving this property are materially stronger than the Lewisville ISD average implies; a family-tenant draw the district grade alone would hide.
• Market conditions: Rents soft (-1.2%/yr); 217 active listings in the ZIP; 1 comparable units currently listed for rent nearby; high-income renter base; 10,531 units permitted in Denton County in 2024 (2,713 in 5+ unit buildings).
• Denton County population projected at +66% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• Climate carrying-cost: moderate wildfire risk; extreme-heat days projected 7→22/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
• Built in 1968 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are A-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
• The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?
• What's the average days-on-market for RENTAL listings here right now (not sales)? A rising rental-DOM trend means longer vacancies and softer asking-rent achievability than the comps imply.
• What's the recent tenant-quality profile in this submarket — average credit score on applications, eviction rate, late-payment / NSF rate, and stable-employment percentage? A property-management company in the area should have these aggregated.
• How much new for-sale + rental construction is in the pipeline within 1–3 miles? Heavy new supply typically softens prices + rents 12–24 months out; constrained supply supports both.