306 S Lincoln St

Desloge, MO 63601

$54,900B-

2 bd · 1.0 ba · 1,344 sqft · Built 1900 · Other · Pending · 21 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $800/mo
• Mortgage (P&I): −$288
• Tax + insurance: −$71
• HOA: −$0
• Vac / Maint / Mgmt: −$168
• Net cashflow: $273/mo
• Annual: $3,282/yr
• Cap rate: 12.27%
• Cash-on-cash: 21.35%
• DSCR: 1.95
• 1% rule: 1.46%
• Cash to close: $15,372

Investor read

• This is a 2-bed/1.0-bath other listed at $55k.
• At list price, monthly cash flow is $273 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($800 rent vs $55k).
• It's been on market 21 days — a 2% lower offer ($54k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $54k (1.5% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $380 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Location reads 59/100 on livability (#560 in MO) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A+; Watch: amenities F, commute F, employment D-.
• North St. Francois County R-I (town): math 29% / reading 42% proficiency, ranked #214 of 324 in MO (top 66%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: North County Parkside Elem. (math 29% / reading 40%, grade F, #676 of 1,115 statewide, top 66%, 367 students, 62% FRL); North Co. Middle (math 23% / reading 39%, grade F, #279 of 391 statewide, top 72%, 396 students, 51% FRL); North Co. Sr. High (math 25% / reading 56%, grade F, #240 of 521 statewide, top 46%, 873 students, 48% FRL) — zoned schools at 54% FRL track the district average.
• Watch-outs: built in 1900 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 79 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 134 units permitted in St. Francois County in 2024 (32 in 5+ unit buildings).
• 2 sale attempts since 7y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $15k cash investment doubles in ~6 years — after that, you're playing with house money.
• Climate carrying-cost: extreme-heat days projected 7→21/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 12.3% vs local median 3.1% in Desloge — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.

Questions for listing agent

• Built in 1900 — 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 D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• 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.