125 Houston St · Lexington, VA 24450

$217,000

2 bd · 1.0 ba · 920 sqft · SingleFamily public records · 13 Days on market

Built 1941 7,840 sqft lot Est $192k · 13% over

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Why this score? — see what drove the F 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 +9.2/30.0
• Schools +7.1/10.0
• Livability +4.0/5.0
• DSCR +2.6/10.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• 1% rule +2.1/10.0
• ARV discount +1.7/15.0
• Appreciation +0.0/10.0

Listing remarks

Attention homebuyers! Don't miss this opportunity to own a property in the heart of Lexington. 125 Houston Street. Ideally located just 5 minutes from both Virginia Military Institute and Washington and Lee University, this home offers excellent potential for rental income, homebuyer, or a value-add investment. This house features 2 bedrooms and 2 full bathrooms 2 detached car garage. Situated only 5 minutes from the universities and close to downtown Lexington, the property provides convenient access to shopping, dining, entertainment, and local amenities.

Key facts

• 7,840 sq ft lot
• 2 garage spots
• Built 1941

Tags

• CONVENIENT ACCESS TO SHOPPING
• CONVENIENT ACCESS TO DINING

Property features AI

Exterior

• Parking: Detached 2-car garage; Driveway (paved)
• Utilities: Public water; Public sewer
• Home design: Single-story home; Renovated
• Construction: Block, concrete and plaster construction with vinyl siding; Composition roof; Crawl space foundation; Property listed as resale
• Exterior features: Paved driveway

Interior

• Kitchen: Electric cooking
• Bedrooms: All bedrooms on the first level; Bedroom 2 with hardwood floor and ceiling fan; Bedroom 3 with carpet
• Flooring: Laminate; Hardwood (in one bedroom); Carpet (in one bedroom and living area)
• Bathrooms: 2 full bathrooms; Full bath with tub and shower
• Heating & cooling: Electric heating; Electric cooling
• Interior features: Bedroom on main level; Laminate flooring; Masonry wood-burning fireplace (1)
• Laundry & utility: First-level laundry

What this means for you Summary

Snapshot

• This is a 2-bed/1.0-bath single-family listed at $217k.

Deal economics

• At list price, monthly cash flow is $-164 ($-2k/yr) — negative.
• To cash-flow at today's rent, offer at most $188k (13.4% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $153k (29.4% below list).
• Recommended offer: $153k (29.4% below list) — sets the bar for 1% rule.
• Cap rate 5.4% vs local median 3.3% in Lexington — 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 80/100 on livability (#62 in VA, #1,813 nationally) — a professional / high-income tenant draw. Strengths: crime A+, amenities A+, health & safety A+; Watch: commute F.
• Lexington City Public School District (town): math 82% / reading 88% proficiency, ranked #4 of 131 in VA (top 3%) — strong family-tenant draw, lease renewals of 3-5y typical; only 18% free/reduced lunch — higher-income household profile.
• Zoned schools: Harrington Waddell Elementary (math 82% / reading 87%, grade A+, #71 of 1,108 statewide, top 8%, 324 students, 32% FRL); Lylburn Downing Middle (math 82% / reading 87%, grade A+, #14 of 342 statewide, top 4%, 161 students, 26% FRL).
• Market conditions: 148 active listings in the ZIP; 2 comparable units currently listed for rent nearby; solid renter incomes; 1 units permitted in Lexington city in 2024 (0 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $7k of value loss. Plan a longer hold.
• Lexington County population projected at +17% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.

Negotiation context

• Only 13 days on market — expect competitive offers; lowballing is unlikely to land.
• Current owner paid $175k; 24% above their basis — modest negotiation headroom, anchor on the comps not their cost.

Risks & watch-outs

• Watch-outs: built in 1941 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: extreme-heat days projected 7→18/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $153,111 (29.4% 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. Built in 1941 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
4. 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?
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: 0.71% ✗
• Cap rate: 5.38%
• Cash-on-cash: -3.25%
• DSCR: 0.86
• GRM: 11.8

CMA / ARV

• ARV (on-the-fly): $192,280
• Comps found: 7

Show comp detail 7 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
309 Summit St	0.19mi	2/1.0	972 (+6%)	5mo	$210,000	$216	77
102 Houston St	0.15mi	3/1.0 (+1)	936 (+2%)	16mo	$290,000	$310	72
805 S Main St	0.46mi	2/1.0	884 (-4%)	2mo	$200,000	$226	71
405 Arpia St	0.18mi	3/1.0 (+1)	950 (+3%)	24mo	$198,900	$209	61
713 Thornhill Rd NW	0.48mi	2/1.5	1,031 (+12%)	2mo	$208,800	$203	54
115 Davidson St	0.41mi	2/1.0	864 (-6%)	20mo	$180,000	$208	54
209 Taylor St	0.27mi	2/2.0	1,011 (+10%)	20mo	$145,000	$143	50

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: -21.8%
• Equity multiple: 0.25×
• Total profit: $-45,693
• Equity at exit: $32,355

10-year hold

• IRR: -15.6%
• Equity multiple: 0.12×
• Total profit: $-53,498
• Equity at exit: $18,762

Cash invested: $60,760 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 55 Moderately Landlord-Leaning
• State Virginia: 55 Moderately Landlord-Leaning · D+2
• County: — inherits STATE
• City: — inherits STATE

VRLTA gives some tenant protections; Northern Virginia courts slower; rural VA landlord-leaning.

Methodology + full state rankings →

ZIP-level market 24450

• Home prices YoY: -22.8%
• Active inventory: 148
• Price-to-rent: 11.8×

Monthly cashflow live

• Estimated rent: $1,531 medium
• Mortgage (P&I): −$1,138
• Tax from tax record: −$146 /mo · $1,748/yr
• Insurance: −$90
• HOA: −$0
• Vacancy / Maint / Mgmt: −$322
• Net cashflow: $-164

Break-even live

Break-even rent $1,739

Max offer price $187,944

Occupancy floor —

Sensitivity live

Price	-10% $-42	-5% $-103	+0% $-164	+5% $-226	+10% $-287
Rent	-10% $-285	-5% $-225	+0% $-164	+5% $-104	+10% $-44
Rate	-1.0pp $-55	-0.5pp $-109	base $-164	+0.5pp $-221	+1.0pp $-278

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: $54,250
• Closing costs: $6,510
• Reserves months: —
• Total cash needed: —

Rent comps 2 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
204 S Jefferson St Lexington, VA	2.0	1.0	792	$1,400	$1.77	16d	1	0.52mi
203 Myers St Apt B Lexington, VA	2.0	1.0	1000	$1,400	$1.40	16d	1	0.68mi

Listing history 10 events

1. 2026-06-22
   days on market $217,000 Active 13 DOM
2. 2026-06-18
   days on market $217,000 Active 10 DOM
3. 2026-06-17
   days on market $217,000 Active 9 DOM
4. 2026-06-16
   days on market $217,000 Active 8 DOM
5. 2026-06-15
   days on market $217,000 Active 7 DOM
6. 2026-06-14
   days on market $217,000 Active 5 DOM
7. 2026-06-13
   days on market $217,000 Active 4 DOM
8. 2026-06-10
   days on market $217,000 Active 2 DOM
9. 2026-06-09
   remarks 563-char remark
10. 2026-06-09
    listed $217,000 Active 1 DOM

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

Tax reassessment forecast VA · Resets to sale price

• Current annual tax: $1,748 · $146/mo
• Projected year-2 tax: $1,779 · $148/mo
• Expected delta: +$31/yr (+$3/mo · 1.8%)

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

Climate risk First Street

• 🌊 Flood 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 3/10 Moderate
• 🌡 Heat 5/10 Major 7 d/yr ≥102°F today · 18 d/yr by 30 yrs out
• 💨 Wind 2/10 Low 100% 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: $18,373
• − Mortgage interest: −$12,155
• − Property taxes: −$1,748
• − Insurance: −$1,085
• − Repairs & maintenance: −$1,470
• − Management: −$1,470
• − Depreciation: −$6,313
• Taxable loss: −$5,868
• Est. tax savings @ 24.0%: +$1,408
• After-tax cash flow: $-566/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: Lexington City Public School District
• NCES district ID: 5102220
• Math proficiency: 82% ▼ -9.00%
• Reading proficiency: 88% ▬ 0.00%
• Median HH income: $37,249
• Composite: 70.57/100
• National rank: #258
• State rank: #4 of 131 in VA

Livability — Lexington

• Score: 80/100
• State rank: #62
• US rank: #1813

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Lexington, VA
• County: Rockbridge County · 17,714 people
• City population: 17,714
• Metro: nan
• Population (ZIP): 17,714
• Household income: $76,587
• Rent vs Own: 31.7% rent · 68.3% own
• Severe rent burden: 429.0

Population outlook (Lexington County) Hauer SSP2

• Today (2025): 8,814 people
• By 2030: 9,156 · +3.9%
• By 2040: 9,636 · +9.3%
• By 2050: 10,345 · +17.4%
• By 2075: 12,696 · +44.0%
• By 2100: 14,268 · +61.9%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (86%)
• Race & ethnicity: White 86% Two or more races 5% Black 4% Hispanic / Latino 3% Asian 2%
• Common ancestry: Serbian 4% Italian 2% Slovak 2%
• Foreign-born: 4% · China, Canada, South Korea
• Languages at home: 95% English-only · Spanish 2% Chinese 1% Korean 1%

Political lean MEDSL · Lexington

• 2024 margin: Strong D (+26.7) · D 62.7% · R 36.0% · Other 1.3%
• 2008→2024 swing: +1.3pp toward D · 2008: 25.4pp · 2024: 26.7pp
• All cycles: 2024: D+26.7 2020: D+32.0 2016: D+30.6 2012: D+12.6 2008: D+25.4

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -83.84%
• Current HPI: 283.7394
• Rent YoY: —
• Metro: nan
• State GDP YoY: ▲ 2.40%
• F500 in state: 50

Industry mix (Fortune 500 HQ in VA)

Industry	F500 HQs	Revenue
▸Aerospace / Defense	4	$236B
▸Technology / Defense	3	$32B
▸Financial Services	2	$176B
▸Utilities	2	$27B
▸Insurance	2	$25B
▸Technology	2	$15B

Price history

+24.0% since first listed

2 events — show timeline

• 2026-06-08 Listed $217,000 CVRMLS
• 2022-12-09 Sold (Public Records) $175,000 Public Records

Property tax history

+4.4%/yr

Latest (2025): $1,748 · +0.0% YoY. Source: county tax records.