222 Meadowlark Dr

Wills Point, TX 75169

$439,900C+

4 bd · 2.5 ba · 2,242 sqft · Built 2022 · SingleFamily · Active · 93 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $13,496/mo
• Mortgage (P&I): −$2,307
• Tax + insurance: −$642
• HOA: −$24
• Vac / Maint / Mgmt: −$2,834
• Net cashflow: $7,689/mo
• Annual: $92,263/yr
• Cap rate: 27.27%
• Cash-on-cash: 74.91%
• DSCR: 4.33
• 1% rule: 3.07%
• Cash to close: $123,172

Investor read

• This is a 4-bed/2.5-bath single-family listed at $440k.
• At list price, monthly cash flow is $8k ($92k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($13k rent vs $440k).
• It's been on market 93 days — a 9% lower offer ($400k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $400k (9.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $3k of loan paydown is wiped out by about $13k of value loss. Plan a longer hold.
• Location reads 59/100 on livability (#1,174 in TX) — a working-class tenant base; expect higher turnover. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F, employment F.
• Wills Point ISD (town): math 32% / reading 35% proficiency, ranked #556 of 826 in TX (top 67%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Earnest O Woods Int (math 28% / reading 29%, grade F, #2,706 of 4,322 statewide, top 63%, 589 students, 56% FRL); Wills Point Middle (math 31% / reading 30%, grade F, #1,036 of 1,662 statewide, top 63%, 407 students, 68% FRL); Wills Point H S (math 27% / reading 42%, grade F, #963 of 1,632 statewide, top 61%, 803 students, 58% FRL) — zoned schools at 61% FRL track the district average.
• Market conditions: 288 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 54 units permitted in Van Zandt County in 2024 (0 in 5+ unit buildings).
• Van Zandt County population projected at +4% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• 7 sale attempts since 4y 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 $123k cash investment doubles in ~2 years — after that, you're playing with house money.
• Climate carrying-cost: major wind risk, 27% chance of damaging wind over 30y; extreme-heat days projected 7→25/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 27.3% vs local median 2.4% in Wills Point — 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

• It's been on market 93 days. Have you received any prior offers? Is the seller open to a 9% concession, seller financing, or rate buy-down credit?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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?
• 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.