2520 Farnell Dr · Mobile, AL 36605

$148,250

4 bd · 2.0 ba · 1,511 sqft · SingleFamily public records · 8 Days on market

Built 1980 0.25 ac lot

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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 +24.3/30.0
• DSCR +7.8/10.0
• ARV discount +7.5/15.0
• 1% rule +5.6/10.0
• Rent growth +4.6/5.0
• Livability +3.8/5.0
• Condition / age +2.5/5.0
• Schools +2.3/10.0
• Appreciation +0.0/10.0

Listing remarks MLS

Income producing property with long term Section 8 tenant $783 (rent increase has been submitted to the Housing Authority). The home has just had Section 8 inspection. The home has a new roof and AC. Do not disturb the tenants. Photo taken prior to tenant occupying property. 1 of 3 properties for sale by Agent owned property.

Key facts

• 0.25 acre lot
• Built 1980
• Listed 8 days

Property features AI

Finance

• Other: No other financial amenities
• Financial info: No financial details to display
• HOA & community: Subdivision: Gulf Manor

Exterior

• Parking: No parking
• Security: No accessibility features listed
• Utilities: Electricity available (110 volts); Public sewer; Water available
• Home design: Single family residence; Residential property
• Construction: Vinyl siding; Shingle roof; Brick/mortar foundation; Built in 1980
• Exterior features: No notable exterior features; No fencing; No pool or spa; View available

Interior

• Kitchen: No kitchen features specified
• Bedrooms: 3 bedrooms
• Flooring: Other flooring
• Bathrooms: 1 full bathroom
• Heating & cooling: Electric heating; Central air conditioning
• Interior features: Other interior features; No fireplace; Separate dining room; No basement
• Laundry & utility: No laundry/utility features specified

What this means for you Summary

Snapshot

• This is a 4-bed/2.0-bath single-family listed at $148k.

Deal economics

• At list price, monthly cash flow is $299 ($4k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $148k).
• Cap rate 8.7% vs local median 4.9% in Mobile — 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 75/100 on livability (#20 in AL, #4,262 nationally) — a middle-class / working-renter tenant base. Strengths: commute A+, cost of living A+, housing A+; Watch: schools D-, crime F, employment D-.
• Mobile County (urban): math 15% / reading 39% proficiency, ranked #81 of 129 in AL (top 63%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 67% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: Rents rising fast (+8.3%/yr); 139 active listings in the ZIP; 6 comparable units currently listed for rent nearby; rentals lingering (median 44d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 50% of comp listings sitting > 30 days — soft ceiling on asking rent; lower-income renter base — watch delinquency; 1,678 units permitted in Mobile County in 2024 (264 in 5+ unit buildings).
• This rent runs 43% of the median local income ($44k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
• Mobile County population projected to shrink 8% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• At projected returns (-3.0% appreciation + 8.0% rent growth), your $42k cash investment doubles in ~8 years — after that, you're playing with house money.

Negotiation context

• Only 8 days on market — expect competitive offers; lowballing is unlikely to land.
• Current owner paid $55k; list at $148k implies a 170% gain — meaningful room to come down on a strong offer.

Risks & watch-outs

• Climate carrying-cost: severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→20/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $148,250

Questions for the listing agent

1. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
2. 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?
3. 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?
4. 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.
5. 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.
6. 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: 1.06% ✓
• Cap rate: 8.71%
• Cash-on-cash: 8.63%
• DSCR: 1.38
• GRM: 7.9

CMA / ARV

• ARV (on-the-fly): $98,215
• Comps found: 12

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
1602 Marengo Dr	0.32mi	4/2.0	1,638 (+8%)	0mo	$100,000	$61	71
1614 Greenbrier Dr E	0.32mi	3/1.5 (-1)	1,530 (+1%)	9mo	$100,000	$65	69
1607 Faure Dr E	0.14mi	4/1.0	1,288 (-15%)	1mo	$85,000	$66	64
2365 Dog River Dr N	0.44mi	4/2.0	1,400 (-7%)	8mo	$65,000	$46	60
2405 Octavia Dr S	0.28mi	4/2.0	1,658 (+10%)	12mo	$60,000	$36	60
1462 Darwood Dr	0.52mi	3/2.0 (-1)	1,579 (+4%)	4mo	$89,900	$57	60
1663 Darwood Dr	0.30mi	4/1.5	1,350 (-11%)	11mo	$95,000	$70	58
2354 Octavia Dr S	0.36mi	3/1.5 (-1)	1,300 (-14%)	5mo	$55,000	$42	49
1575 Marengo Dr	0.36mi	3/1.0 (-1)	1,342 (-11%)	9mo	$104,000	$77	48
2316 Dog River Dr S	0.63mi	4/3.0	1,630 (+8%)	12mo	$209,000	$128	44
2651 Morningside Dr	0.53mi	3/1.5 (-1)	1,344 (-11%)	12mo	$75,283	$56	40
2331 S Dog River Dr	0.62mi	3/1.0 (-1)	1,366 (-10%)	8mo	$167,000	$122	39

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 · 8.0% rent growth · sell at horizon

5-year hold

• IRR: 2.0%
• Equity multiple: 1.08×
• Total profit: $3,273
• Equity at exit: $22,105

10-year hold

• IRR: 15.7%
• Equity multiple: 2.57×
• Total profit: $65,029
• Equity at exit: $12,818

Cash invested: $41,510 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 90 Strongly Landlord-Friendly
• State Alabama: 90 Strongly Landlord-Friendly · R+15
• County: — inherits STATE
• City: — inherits STATE

Right-to-evict in 7 days for non-payment; no rent control; preempted statewide; courts move quickly.

Methodology + full state rankings →

ZIP-level market 36605

• Rents YoY: 8.3%
• Active inventory: 139
• Price-to-rent: 7.9×

Monthly cashflow live

• Estimated rent: $1,571 high
• Mortgage (P&I): −$777
• Tax from tax record: −$104 /mo · $1,243/yr
• Insurance: −$62
• HOA: −$0
• Vacancy / Maint / Mgmt: −$330
• Net cashflow: $299

Break-even live

Break-even rent $1,193

Max offer price $148,250

Occupancy floor 76%

Sensitivity live

Price	-10% $383	-5% $341	+0% $299	+5% $257	+10% $215
Rent	-10% $174	-5% $237	+0% $299	+5% $361	+10% $423
Rate	-1.0pp $373	-0.5pp $336	base $299	+0.5pp $260	+1.0pp $221

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: $37,062
• Closing costs: $4,448
• Reserves months: —
• Total cash needed: —

Rent comps 6 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
2359 Vermillion Dr Mobile, AL	3.0	1.0	1064	$895	$0.84	21d	1	0.35mi
2665 S Faure Dr Mobile, AL	4.0	1.0	1817	$1,514	$0.83	21d	1	0.37mi
1466 Darwood Dr Mobile, AL	3.0	1.5	1053	$1,400	$1.33	44d	1	0.51mi
1411 Greenbrier Dr Mobile, AL	3.0	1.0	1069	$995	$0.93	44d	1	0.60mi
2456 McLaughlin Dr Mobile, AL	3.0	1.0	1405	$1,300	$0.93	44d	1	0.61mi
2255 Dog River Ct Unit 1043454P Mobile, AL	4.0	2.0	1851	$2,890	$1.56	21d	1	0.69mi

Listing history 7 events

1. 2026-06-18
   days on market $148,250 Active 8 DOM
2. 2026-06-17
   days on market $148,250 Active 7 DOM
3. 2026-06-16
   days on market $148,250 Active 6 DOM
4. 2026-06-15
   days on market $148,250 Active 5 DOM
5. 2026-06-14
   days on market $148,250 Active 3 DOM
6. 2026-06-13
   remarks 693-char remark
7. 2026-06-13
   listed $148,250 Active 2 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 AL · Resets to sale price

• Current annual tax: $1,243 · $104/mo
• Projected year-2 tax: $1,243 · $104/mo
• Expected delta: $0/yr ($0/mo · 0.0%)

ⓘ 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 9/10 Extreme 7 d/yr ≥105°F today · 20 d/yr by 30 yrs out
• 💨 Wind 9/10 Extreme 99% chance of damaging wind over 30 yrs
• 🫁 Air quality 2/10 Low 1 unhealthy d/yr today · 1 by 30 yrs out

Taxation est. · year 1

• Rental income: $18,857
• − Mortgage interest: −$8,304
• − Property taxes: −$1,243
• − Insurance: −$741
• − Repairs & maintenance: −$1,509
• − Management: −$1,509
• − Depreciation: −$4,313
• Taxable income: $1,238
• Est. tax owed @ 24.0%: −$297
• After-tax cash flow: $3,286/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: Mobile County
• NCES district ID: 0102370
• Math proficiency: 15% ▼ -28.00%
• Reading proficiency: 39% ▬ 0.00%
• Median HH income: $42,455
• Composite: 22.9/100
• National rank: #8002
• State rank: #81 of 129 in AL

Livability — Mobile

• Score: 75/100
• State rank: #20
• US rank: #4262

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Mobile, AL
• County: Mobile County · 246,577 people
• City population: 205,729
• Metro: Mobile, AL
• Population (ZIP): 25,104
• Household income: $43,538
• Rent vs Own: 46.3% rent · 53.7% own
• Severe rent burden: 1521.0

Population outlook (Mobile County) Hauer SSP2

• Today (2025): 415,303 people
• By 2030: 411,755 · -0.9%
• By 2040: 399,670 · -3.8%
• By 2050: 382,616 · -7.9%
• By 2075: 337,353 · -18.8%
• By 2100: 283,391 · -31.8%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly Black (67%)
• Race & ethnicity: Black 67% White 27% Two or more races 4% Hispanic / Latino 3%
• Common ancestry: Lithuanian 3% Slovak 2% Iranian 1%
• Foreign-born: 3% · Canada
• Languages at home: 97% English-only · Spanish 2%

Political lean MEDSL · Mobile

• 2024 margin: R (+16.4) · D 41.3% · R 57.7%
• 2008→2024 swing: -7.7pp toward R · 2008: -8.7pp · 2024: -16.4pp
• All cycles: 2024: R+16.4 2020: R+11.9 2016: R+13.9 2012: R+9.3 2008: R+8.7

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -96.46%
• Current HPI: 125.9526
• Rent YoY: ▲ 8.26%
• Metro: Mobile, AL
• State GDP YoY: ▲ 2.94%
• F500 in state: 4

Industry mix (Fortune 500 HQ in AL)

Industry	F500 HQs	Revenue
▸Financial Services	1	$8B
▸Healthcare	1	$5B

Price history

+169.5% since first listed

2 events — show timeline

• 2026-06-10 Listed $148,250 GCMLS AL
• 2022-10-24 Sold (MLS) $55,000 GCMLS AL

Property tax history

+3.4%/yr

Latest (2025): $1,243 · +6.2% YoY. Source: county tax records.