2707 Rue Street Martin Apt A

Hammond, LA 70403

$89,000B

2 bd · 1.5 ba · 1,200 sqft · Built 1983 · SingleFamily · Active · 109 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,415/mo
• Mortgage (P&I): −$467
• Tax + insurance: −$148
• HOA: −$0
• Vac / Maint / Mgmt: −$297
• Net cashflow: $503/mo
• Annual: $6,031/yr
• Cap rate: 13.07%
• Cash-on-cash: 24.20%
• DSCR: 2.08
• 1% rule: 1.59%
• Cash to close: $24,920

Investor read

• This is a 2-bed/1.5-bath single-family listed at $89k. Condition is rated fair.
• At list price, monthly cash flow is $503 ($6k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $89k).
• It's been on market 109 days — a 9% lower offer ($81k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $81k (9.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $615 of loan paydown is wiped out by about $3k of value loss. Plan a longer hold.
• Location reads 69/100 on livability (#77 in LA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A+; Watch: amenities C-, commute D+, crime F.
• Tangipahoa Parish (rural): math 18% / reading 29% proficiency, ranked #63 of 98 in LA (top 64%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 73% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Hammond Westside Montessori (math 15% / reading 21%, grade F, #472 of 646 statewide, top 74%, 1,072 students, 73% FRL); Greenville Park Leadership Academy (math 8% / reading 12%, grade F, #199 of 218 statewide, top 92%, 447 students, 86% FRL); Hammond High Magnet School (math 19% / reading 28%, grade F, #167 of 265 statewide, top 63%, 1,750 students, 64% FRL) — zoned schools at 74% FRL track the district average.
• Market conditions: Rents flat; 429 active listings in the ZIP; 31 comparable units currently listed for rent nearby; rentals lingering (median 140d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 52% of comp listings sitting > 30 days — soft ceiling on asking rent; 1,085 units permitted in Tangipahoa Parish in 2024 (378 in 5+ unit buildings).
• Tangipahoa County population projected at +22% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 2 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.
• At projected returns (-3.0% appreciation + 0.3% rent growth), your $25k cash investment doubles in ~6 years — after that, you're playing with house money.
• Cap rate 13.1% vs local median 4.8% in Hammond — 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.
• This rent runs 33% of the median local income ($51k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Questions for listing agent

• It's been on market 109 days. Have you received any prior offers? Is the seller open to a 9% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• 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?
• 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?
• 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.

Repairs flagged (vision-AI assessment)

• Minor: kitchen — No visible damage or wear, but the photos do not show the kitchen in detail.
• Minor: bathrooms — No visible damage or wear, but the photos do not show the bathrooms in detail.
• Minor: roof — No visible damage or wear, but the photos do not show the roof in detail.
• Minor: exterior — No visible damage or wear, but the photos do not show the exterior in detail.
• Minor: interior walls — No visible damage or wear, but the photos do not show the interior walls in detail.
• Minor: landscaping — No visible damage or wear, but the photos do not show the landscaping in detail.