8706 Palos Grandes St · Olivarez, TX 78599

$125,000

2 bd · 1.0 ba · 1,680 sqft · SingleFamily public records · 85 Days on market

Built 2013 0.50 ac lot $74/sqft · 56% below area

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Why this score? — see what drove the C- 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).

• Cash flow +21.4/30.0
• ARV discount +7.5/15.0
• DSCR +6.8/10.0
• 1% rule +5.8/10.0
• Livability +2.6/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Schools +2.2/10.0
• Appreciation +0.3/10.0

Listing remarks MLS

Opportunity awaits at 8706 Palos Grandes St in Weslaco, TX! This spacious 5-bedroom home sits on approximately 0.5 acre in the county, offering room to grow, customize, or invest. Featuring 1,680 sq ft of living space, a large open living area, vinyl flooring throughout, and a functional layout ideal for a variety of living arrangements. The fully fenced lot provides space for expansion, outdoor enjoyment, or additional improvements. Enjoy peaceful country living with no HOA, while still being just minutes from city amenities. Property is in fixer-upper condition and sold as is, presenting great potential for the right buyer. Cash or conventional financing preferred. Owner financing may be considered. Bring your vision and make it your own!

Key facts

• Room to grow
• Customize or invest
• Fully fenced lot

Tags

• FULLY FENCED LOT
• LARGE OPEN LIVING AREA
• PEACEFUL COUNTRY LIVING
• ROOM TO GROW
• CUSTOMIZE OR INVEST

What this means for you Summary

Snapshot

• This is a 2-bed/1.0-bath single-family listed at $125k.

Deal economics

• At list price, monthly cash flow is $185 ($2k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $125k).
• Recommended offer: $118k (6.0% below list) — sets the bar for market timing.
• Cap rate 8.1% vs local median 5.4% in Olivarez — 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.

Location & tenants

• Location reads 51/100 on livability (#1,480 in TX) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+; Watch: employment C-, schools F, crime F.
• Weslaco ISD (suburban): math 23% / reading 31% proficiency, ranked #705 of 826 in TX (top 85%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Market conditions: 231 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 7,378 units permitted in Hidalgo County in 2024 (641 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $864 of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
• Hidalgo County population projected at +28% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.

Negotiation context

• It's been on market 85 days — a 6% lower offer ($118k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Climate carrying-cost: severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→24/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $117,500 (6.0% below list)

Questions for the listing agent

1. It's been on market 85 days. Have you received any prior offers? Is the seller open to a 6% concession, seller financing, or rate buy-down credit?
2. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
3. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
4. Schools are F-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
5. 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?
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: 1.08% ✓
• Cap rate: 8.07%
• Cash-on-cash: 6.34%
• DSCR: 1.28
• GRM: 7.7

CMA / ARV

• ARV (median comp): $286,635
• List price: $125,000
• Delta: -56.39%
• Verdict: UNDERPRICED
• Comps: 16 within 2.0 mi

Show comp detail 1 sale within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
7909 Big Valley Dr	0.52mi	3/2.0 (+1)	1,640 (-2%)	2mo	$193,999	$118	61

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

Projected returns pro-forma

-3.0% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: -6.5%
• Equity multiple: 0.76×
• Total profit: $-8,443
• Equity at exit: $18,638

10-year hold

• IRR: 3.1%
• Equity multiple: 1.23×
• Total profit: $7,944
• Equity at exit: $10,808

Cash invested: $35,000 (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 78599

• Home prices YoY: -3.7%
• Active inventory: 231
• Price-to-rent: 7.7×

Monthly cashflow live

• Estimated rent: $1,350 medium
• Mortgage (P&I): −$656
• Tax from tax record: −$174 /mo · $2,087/yr
• Insurance: −$52
• HOA: −$0
• Vacancy / Maint / Mgmt: −$284
• Net cashflow: $185

Break-even live

Break-even rent $1,116

Max offer price $125,000

Occupancy floor 81%

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: $31,250
• Closing costs: $3,750
• Reserves months: —
• Total cash needed: —

Rent comps 1 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
7601 Farm to Market 88 Unit 3 Weslaco, TX	3.0	2.0	1500	$1,350	$0.90	23d	1	0.89mi

Listing history 18 events

1. 2026-06-18
   days on market $125,000 Active 85 DOM
2. 2026-06-17
   days on market $125,000 Active 84 DOM
3. 2026-06-16
   days on market $125,000 Active 83 DOM
4. 2026-06-15
   days on market $125,000 Active 82 DOM
5. 2026-06-15
   days on market $125,000 Active 81 DOM
6. 2026-06-13
   days on market $125,000 Active 80 DOM
7. 2026-06-12
   days on market $125,000 Active 79 DOM
8. 2026-06-09
   days on market $125,000 Active 76 DOM
9. 2026-06-08
   days on market $125,000 Active 75 DOM
10. 2026-06-08
    days on market $125,000 Active 74 DOM
11. 2026-06-07
    days on market $125,000 Active 73 DOM
12. 2026-06-03
    days on market $125,000 Active 70 DOM
13. 2026-06-02
    days on market $125,000 Active 69 DOM
14. 2026-06-01
    days on market $125,000 Active 68 DOM
15. 2026-05-31
    days on market $125,000 Active 67 DOM
16. 2026-03-25
    listed $125,000 Active 750-char remark

    Show marketing remark (750 chars)

    Opportunity awaits at 8706 Palos Grandes St in Weslaco, TX! This spacious 5-bedroom home sits on approximately 0.5 acre in the county, offering room to grow, customize, or invest. Featuring 1,680 sq ft of living space, a large open living area, vinyl flooring throughout, and a functional layout ideal for a variety of living arrangements. The fully fenced lot provides space for expansion, outdoor enjoyment, or additional improvements. Enjoy peaceful country living with no HOA, while still being just minutes from city amenities. Property is in fixer-upper condition and sold as is, presenting great potential for the right buyer. Cash or conventional financing preferred. Owner financing may be considered. Bring your vision and make it your own!

17. 2011-11-18
    soldstatus
18. 2008-04-15
    soldstatus

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

Tax reassessment forecast TX · Resets to sale price

• Current annual tax: $2,087 · $174/mo
• Projected year-2 tax: $2,288 · $191/mo
• Expected delta: +$200/yr (+$17/mo · 9.6%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

• 🌊 Flood 4/10 Moderate FEMA zone X · 22% chance over 30 yrs
• 🔥 Wildfire 4/10 Moderate
• 🌡 Heat 9/10 Extreme 7 d/yr ≥111°F today · 24 d/yr by 30 yrs out
• 💨 Wind 9/10 Extreme 99% chance of damaging wind over 30 yrs
• 🫁 Air quality 1/10 Low 0 unhealthy d/yr today · 0 by 30 yrs out

Taxation est. · year 1

• Rental income: $16,200
• − Mortgage interest: −$7,002
• − Property taxes: −$2,087
• − Insurance: −$625
• − Repairs & maintenance: −$1,296
• − Management: −$1,296
• − Depreciation: −$3,636
• Taxable income: $257
• Est. tax owed @ 24.0%: −$62
• After-tax cash flow: $2,158/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: Weslaco ISD
• NCES district ID: 4844960
• Math proficiency: 23% ▼ -29.00%
• Reading proficiency: 31% ▼ -9.00%
• Median HH income: $32,867
• Composite: 22.05/100
• National rank: #8196
• State rank: #705 of 826 in TX

Livability — Olivarez

• Score: 51/100
• State rank: #1480
• US rank: #25356

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Olivarez, TX
• City population: 35,400
• Population (ZIP): 35,400

Population outlook (Hidalgo County) Hauer SSP2

• Today (2025): 955,232 people
• By 2030: 1,009,774 · +5.7%
• By 2040: 1,120,332 · +17.3%
• By 2050: 1,225,036 · +28.2%
• By 2075: 1,439,189 · +50.7%
• By 2100: 1,533,429 · +60.5%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly Hispanic (96%)
• Race & ethnicity: Hispanic / Latino 96% Two or more races 42% White 2%
• Hispanic origin (detail): Mexican 90%
• Foreign-born: 20% · Canada
• Languages at home: 19% English-only · Spanish 80%

Political lean MEDSL · Hidalgo

• 2024 margin: Toss-up / Even · D 48.1% · R 51.0%
• 2008→2024 swing: -41.6pp toward R · 2008: 38.7pp · 2024: -2.9pp
• All cycles: 2024: R+2.9 2020: D+17.1 2016: D+40.5 2012: D+41.8 2008: D+38.7

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -9.47%
• Current HPI: 243.5537
• Rent YoY: —
• Metro: —
• 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

3 events — show timeline

• 2026-03-25 Listed $125,000 MCALLENMLS
• 2011-11-18 Sold (Public Records) — Public Records
• 2008-04-15 Sold (Public Records) — Public Records

Property tax history

+11.1%/yr

Latest (2025): $2,087 · +9.5% YoY. Source: county tax records.