5505 Hershe St · Houston, TX 77020

$389,900

3 bd · 3.5 ba · 2,090 sqft · SingleFamily · 8 Days on market

Built 2025 1,846 sqft lot ↓ 26% since listing

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Why this score? — see what drove the D- grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Appreciation +10.0/10.0
• ARV discount +7.5/15.0
• Cash flow +5.6/30.0
• Livability +3.7/5.0
• Rent growth +3.6/5.0
• Schools +2.7/10.0
• Condition / age +2.5/5.0
• 1% rule +1.1/10.0
• DSCR +0.0/10.0

Listing remarks

Tucked within a quiet pocket of the city, 5505 Hershe St introduces a refined take on modern living. Clean architectural lines, a private driveway, & a rare fenced yard establish a sense of privacy from the moment you arrive. Inside, the home opens to eleven-foot ceilings, expansive custom windows, & LVP flooring chosen for both its warm aesthetic & everyday durability. The European-style flat-panel cabinetry, concrete-inspired quartz, & double waterfall island shape a kitchen that feels sculptural & functional. The second-floor living area extends onto an oversized covered balcony that frames tree-line views, creating a calm backdrop for morning coffee or evening

Key facts

• Eleven-foot ceilings
• Private driveway
• Fenced yard

Tags

• PRIVATE DRIVEWAY
• FENCED YARD
• ELEVEN-FOOT CEILINGS
• CUSTOM WINDOWS
• LVP FLOORING
• EUROPEAN-STYLE CABINETRY

Property features AI

Exterior

• Parking: Attached oversized garage (2 spaces)
• Security: Smoke detectors
• Utilities: Public water; Public sewer
• Home design: Residential property; New construction (2025); Slab foundation; Concrete road surface; Composition roof
• Construction: Built in 2025; Cement, stucco, vinyl and wood siding
• Exterior features: Balcony; Back yard fencing; Subdivision lot

Interior

• Kitchen: Dishwasher; Disposal; Gas oven; Gas range; Microwave; ENERGY STAR qualified appliances
• Bedrooms: Primary bedroom on third level (17 x 18); Bedroom on third level (11 x 13); Bedroom on first level (9 x 12)
• Flooring: Plank flooring; Vinyl flooring
• Bathrooms: Three full bathrooms; One half bathroom; Primary bathroom on third level (7 x 16); Full bathroom on third level (7 x 5); Full bathroom on first level (7 x 4); Half bath on second level (4 x 5)
• Heating & cooling: Central heating (gas); Central electric air conditioning; Programmable thermostat
• Interior features: Electric fireplace; Insulated doors; Double vanity; Kitchen island; Kitchen/family room combo; Primary bedroom with bath; Quartz countertops; Self-closing cabinet doors and drawers; Soaking tub; Separate shower and tub/shower; Wired for sound; Ceiling fans; Living/dining room; Programmable thermostat; Low emissivity windows; Plank and vinyl flooring; 11 total rooms
• Laundry & utility: Washer hookup; Electric dryer hookup; Gas dryer hookup; Utility room on third level

🏗️ New construction. The $389,900 list price is a builder figure, so every metric below is computed on the value from comparable previous sales — $413,820.

What this means for you Summary

Snapshot

• This is a 3-bed/3.5-bath single-family listed at $390k.

Deal economics

• At list price, monthly cash flow is $-867 ($-10k/yr) — negative.
• To cash-flow at today's rent, offer at most $288k (26.0% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $252k (35.3% below list).
• Recommended offer: $252k (35.3% below list) — sets the bar for 1% rule.

Location & tenants

• Location reads 74/100 on livability (#184 in TX, #4,771 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, cost of living A+, housing A+; Watch: crime F.
• Houston ISD (urban): math 27% / reading 35% proficiency, ranked #593 of 826 in TX (top 72%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 71% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Atherton El (math 8% / reading 22%, grade F, #4,021 of 4,322 statewide, top 94%, 433 students, 96% FRL); Mcreynolds Middle (math 10% / reading 17%, grade F, #1,602 of 1,662 statewide, top 97%, 398 students, 98% FRL); Wheatley H S (math 17% / reading 19%, grade F, #1,445 of 1,632 statewide, top 89%, 643 students, 95% FRL) — zoned schools average 97% FRL vs 71% district-wide (25 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Zoned-school proficiency averages 15% at this address vs 31% district-wide (-16 pts) — the specific schools serving this property underperform the Houston ISD average; the district grade overstates school quality for this exact location.
• Market conditions: Rents rising fast (+4.3%/yr); 339 active listings in the ZIP; 18 comparable units currently listed for rent nearby; rentals lingering (median 45d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 56% of comp listings sitting > 30 days — soft ceiling on asking rent; 29,883 units permitted in Harris County in 2024 (8,621 in 5+ unit buildings).
• At $2,523/mo this rent would consume 60% of the median local household income ($50k/yr) (locally 969% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Forward outlook

• In year one you build about $44k of equity ($3k loan paydown + $41k appreciation (10.0% local appreciation)).
• Harris County population projected at +47% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• By year 2, paydown + projected appreciation supports a ~$71k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Negotiation context

• Only 8 days on market — expect competitive offers; lowballing is unlikely to land.
• 3 sale attempts 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.

Recommended offer $252,266 (35.3% below list)

Questions for the listing agent

1. 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?
2. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
3. 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?
4. Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
5. 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?
6. 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.
7. 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.
8. 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.

Investment metrics

• 1% rule: 0.61% ✗
• Cap rate: 3.78%
• Cash-on-cash: -8.98%
• DSCR: 0.60
• GRM: 13.7

CMA / ARV

• ARV (on-the-fly): $413,820
• Comps found: 12

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
5408 Mulvey St	0.12mi	3/2.5	2,000 (-4%)	5mo	$348,900	$174	79
1266 Finnigan Dr	0.48mi	3/3.5	1,988 (-5%)	2mo	$375,000	$189	68
1264 Finnigan Dr	0.49mi	3/3.5	1,988 (-5%)	3mo	$375,000	$189	67
5308 San Juan St	0.50mi	3/2.5	2,030 (-3%)	6mo	$415,000	$204	63
5203 San Juan St	0.49mi	3/3.5	1,988 (-5%)	8mo	$389,000	$196	62
5306 San Juan St	0.50mi	3/2.5	2,030 (-3%)	9mo	$415,000	$204	61
4434 Oats St	0.57mi	4/3.5 (+1)	2,166 (+4%)	3mo	$419,900	$194	60
4432 Oats St	0.58mi	4/3.5 (+1)	2,166 (+4%)	4mo	$429,900	$198	59
4436 Oats St	0.58mi	4/3.5 (+1)	2,166 (+4%)	4mo	$439,900	$203	58
4438 Oats St	0.58mi	4/3.5 (+1)	2,166 (+4%)	9mo	$449,900	$208	55
4501 Rawley St	0.54mi	4/2.5 (+1)	1,924 (-8%)	6mo	$399,990	$208	48
2013 Schweikhardt St	0.46mi	3/2.5	1,806 (-14%)	8mo	$304,999	$169	45

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

10.0% appreciation · 4.27% rent growth · sell at horizon

5-year hold

• IRR: 18.3%
• Equity multiple: 2.50×
• Total profit: $173,465
• Equity at exit: $372,802

10-year hold

• IRR: 17.3%
• Equity multiple: 5.84×
• Total profit: $561,298
• Equity at exit: $803,961

Cash invested: $115,870 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 87 Strongly Landlord-Friendly
• State Texas: 87 Strongly Landlord-Friendly · R+5
• County: — inherits STATE
• City: — inherits STATE

3-day notice; statewide preemption; one of the fastest eviction climates; Travis County (Austin) slightly slower.

Methodology + full state rankings →

ZIP-level market 77020

• Home prices YoY: 29.1%
• Rents YoY: 4.3%
• Active inventory: 339
• Price-to-rent: 12.9×

Monthly cashflow live

• Estimated rent: $2,523 high
• Mortgage (P&I): −$2,170
• Tax est. 1.5%: −$517 /mo · $6,207/yr
• Insurance: −$172
• HOA: −$0
• Vacancy / Maint / Mgmt: −$530
• Net cashflow: $-867

Break-even live

Break-even rent $3,620

Max offer price $288,376

Occupancy floor —

Sensitivity live

Price	-10% $-581	-5% $-724	+0% $-867	+5% $-1,010	+10% $-1,153
Rent	-10% $-1,066	-5% $-967	+0% $-867	+5% $-767	+10% $-668
Rate	-1.0pp $-659	-0.5pp $-762	base $-867	+0.5pp $-974	+1.0pp $-1,083

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $103,455
• Closing costs: $12,415
• Reserves months: —
• Total cash needed: —

Rent comps 18 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
2105 Sam Wilson St Houston, TX	3.0	2.5	1416	$6,750	$4.77	45d	1	0.18mi
5605 Mulvey St Unit 1019610P Houston, TX	3.0	2.5	1410	$4,376	$3.10	0d	1	0.19mi
5217 Noble St Houston, TX	3.0	2.5	1897	$2,750	$1.45	45d	1	0.21mi
4712 Rawley St Unit B Houston, TX	3.0	2.5	1501	$2,045	$1.36	22d	1	0.38mi
4712 Rawley St Unit a Houston, TX	3.0	2.0	1501	$2,070	$1.38	22d	1	0.38mi
4706 Hershe St Houston, TX	3.0	2.5	2283	$3,300	$1.45	45d	1	0.39mi
1222 Upton St Houston, TX	3.0	4.0	2055	$2,600	$1.27	45d	1	0.66mi
1023 Hahlo St Houston, TX	4.0	2.0	1434	$1,775	$1.24	7d	1	0.67mi
4509 Courtney St Houston, TX	4.0	1.0	1456	$1,150	$0.79	23d	1	0.81mi
3503 Wyrick St Houston, TX	3.0	2.5	1746	$2,850	$1.63	45d	1	0.99mi
4109 Hare St Unit 1019559P Houston, TX	4.0	2.5	1905	$6,852	$3.60	9d	1	1.01mi
4109 Hare St Unit A Houston, TX	4.0	2.5	1913	$6,950	$3.63	45d	1	1.01mi
1513 Cage St Houston, TX	3.0	2.0	1467	$1,550	$1.06	45d	1	1.18mi
3419 Gillespie St Houston, TX	3.0	3.5	2168	$2,300	$1.06	45d	1	1.35mi
3410 Baer St Houston, TX	3.0	4.0	2040	$3,500	$1.72	45d	1	1.35mi
1303 Bayou St Unit C Houston, TX	3.0	3.0	1869	$3,200	$1.71	45d	1	1.36mi
1307 Bayou St Unit B Houston, TX	3.0	3.0	1814	$2,400	$1.32	9d	1	1.37mi
308 Grove St Houston, TX	3.0	3.0	1701	$2,350	$1.38	9d	1	1.48mi

Listing history 6 events

1. 2026-06-21
   days on market $389,900 Active 8 DOM
2. 2026-06-18
   days on market $389,900 Active 5 DOM
3. 2026-06-17
   days on market $389,900 Active 4 DOM
4. 2026-06-16
   days on market $389,900 Active 3 DOM
5. 2026-06-15
   remarks 679-char remark
6. 2026-06-15
   listed $389,900 Active 2 DOM

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Taxation est. · year 1

• Rental income: $30,272
• − Mortgage interest: −$23,180
• − Property taxes: −$6,207
• − Insurance: −$2,069
• − Repairs & maintenance: −$2,422
• − Management: −$2,422
• − Depreciation: −$12,038
• Taxable loss: −$18,067
• Est. tax savings @ 24.0%: +$4,336
• After-tax cash flow: $-6,067/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Schools (NCES district)

• District: Houston ISD
• NCES district ID: 4823640
• Math proficiency: 27% ▼ -18.00%
• Reading proficiency: 35% ▼ -6.00%
• Median HH income: $46,054
• Composite: 26.63/100
• National rank: #7173
• State rank: #593 of 826 in TX

Livability — Houston

• Score: 74/100
• State rank: #184
• US rank: #4771

Category grades

Amenities A+ Commute A Cost of living A+ Crime F Employment C Housing A+ Health & safety A- User ratings F

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Houston, TX
• County: Harris County · 4,702,590 people
• City population: 3,226,434
• Metro: Houston-The Woodlands-Sugar Land, TX
• Population (ZIP): 23,686
• Household income: $50,119
• Rent vs Own: 46.2% rent · 53.8% own
• Severe rent burden: 969.0

Population outlook (Harris County) Hauer SSP2

• Today (2025): 5,571,493 people
• By 2030: 6,089,821 · +9.3%
• By 2040: 7,142,806 · +28.2%
• By 2050: 8,185,864 · +46.9%
• By 2075: 10,574,329 · +89.8%
• By 2100: 12,109,958 · +117.4%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly Hispanic (69%)
• Race & ethnicity: Hispanic / Latino 69% Black 24% Two or more races 22% White 5% Asian 1%
• Hispanic origin (detail): Mexican 60%
• Common ancestry: Swiss 1%
• Foreign-born: 23% · Canada
• Languages at home: 39% English-only · Spanish 59% Other Indo-European 1%

Political lean MEDSL · Harris

• 2024 margin: Lean D (+5.5) · D 52.0% · R 46.4% · Other 1.6%
• 2008→2024 swing: +3.9pp toward D · 2008: 1.6pp · 2024: 5.5pp
• All cycles: 2024: D+5.5 2020: D+13.3 2016: D+12.4 2012: D+0.1 2008: D+1.6

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▲ 55.64%
• Current HPI: 246.5578
• Rent YoY: ▲ 4.27%
• Metro: Houston-The Woodlands-Sugar Land, TX
• State GDP YoY: ▲ 3.95%
• F500 in state: 110

Industry mix (Fortune 500 HQ in TX)

Industry	F500 HQs	Revenue
▸Energy	16	$1,198B
▸Technology	5	$198B
▸Engineering / Construction	4	$72B
▸Energy Services	3	$60B
▸Utilities	3	$41B
▸Healthcare	2	$330B

Price history

-25.7% since first listed

9 events — show timeline

• 2026-06-13 Listed $389,900 HARMLS
• 2025-11-17 Listing Removed — HARMLS
• 2025-10-14 Price Changed $439,900 HARMLS
• 2025-10-14 Price Changed $409,900 HARMLS
• 2025-09-24 Listing Removed — HARMLS
• 2025-09-24 Listed $469,900 HARMLS
• 2025-09-18 Price Changed $469,900 HARMLS
• 2025-04-10 Listed $524,500 HARMLS
• 2025-03-19 Coming Soon — HARMLS