860 Lou Ann Ln · Clarksville, TN 37042

$460,000

24 bd · 24.0 ba · 4,500 sqft · MultiFamily · 60 Days on market

Built 1990 Fair condition ↓ 3% since listing

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Why this score? — see what drove the B- 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 +30.0/30.0
• 1% rule +10.0/10.0
• DSCR +10.0/10.0
• ARV discount +7.5/15.0
• Livability +4.2/5.0
• Rent growth +2.8/5.0
• Schools +2.5/10.0
• Condition / age +2.2/5.0
• Appreciation +0.0/10.0

Multi-family units

County records classify this as Multi-Family (5+ Unit). Listing-text estimate: 6 units. confirmed

5+ unit building — per-unit beds/baths from public records are typically unavailable; the breakdown below (if shown) is an estimate from the listing text.

Listing remarks

6 unit parcel at 860-866 Lou Ann Lane with 6 manufactured homes on 1.73 acre site. Fully leased. Several units with long time tenants. This is a turnkey deal at the 1% rule which is just hard to come by these days for investors. DO NOT DISTURB TENANTS. 8+% cap rate.

Key facts

• Built 1990
• Listed 60 days

Property features AI

Finance

• Financial info: Gross annual income approximately $54,294; Net operating income approximately $38,006; Owner pays trash collection; Tenants pay electricity and water

Exterior

• Utilities: Public water service; Public sewer service; Electric service available
• Home design: Residential income property; Attached property; One level; Multi-family structure; Zoned RM-1
• Construction: Built (approximate); Other construction materials
• Exterior features: Public water; Public sewer; Electricity available; Water available

Interior

• Bedrooms: Six 2-bedroom units
• Flooring: Carpet; Laminate
• Bathrooms: Units with 2 bathrooms each
• Heating & cooling: Electric heating; Electric cooling
• Interior features: Carpet and laminate flooring

What this means for you Summary

Snapshot

• This is a 6 × 4-bed/4.0-bath units multifamily listed at $460k. Condition is rated fair.

Deal economics

• At list price, monthly cash flow is $5k ($54k/yr) — positive. Per door: $751/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($10k rent vs $460k).
• Recommended offer: $446k (3.0% below list) — sets the bar for market timing.
• Cap rate 18.1% vs local median 3.5% in Clarksville — 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 84/100 on livability (#1 in TN, #798 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, commute A+, cost of living A+; Watch: employment C-, crime D+.
• Montgomery County (urban): math 25% / reading 31% proficiency, ranked #65 of 139 in TN (top 47%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Minglewood Elementary (math 20% / reading 18%, grade F, #687 of 952 statewide, top 72%, 744 students, 0% FRL); Northwest High (math 6% / reading 34%, grade F, #178 of 332 statewide, top 55%, 1,456 students, 0% FRL) — zoned schools average 0% FRL vs 40% district-wide (40 pts lower); this property's tenant base skews higher-income than the district average.
• Market conditions: Rents rising (+1.3%/yr); 893 active listings in the ZIP; 2,583 units permitted in Montgomery County in 2024 (617 in 5+ unit buildings).
• At $9,730/mo this rent would consume 166% of the median local household income ($70k/yr) (locally 2093% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $3k of loan paydown is wiped out by about $14k of value loss. Plan a longer hold.
• Montgomery County population projected at +49% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• At projected returns (-3.0% appreciation + 1.3% rent growth), your $129k cash investment doubles in ~3 years — after that, you're playing with house money.

Negotiation context

• It's been on market 60 days — a 3% lower offer ($446k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Climate carrying-cost: extreme-heat days projected 7→19/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $446,200 (3.0% below list)

Questions for the listing agent

1. It's been on market 60 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
2. Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
3. What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
4. Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
5. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
6. Crime grade is D 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?
7. 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.
8. 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.
9. How much new apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.

Investment metrics

• 1% rule: 2.12% ✓
• Cap rate: 18.05%
• Cash-on-cash: 42.00%
• DSCR: 2.87
• GRM: 3.9

CMA / ARV

No comps found within radius.

Projected returns pro-forma

-3.0% appreciation · 1.27% rent growth · sell at horizon

5-year hold

• IRR: 36.7%
• Equity multiple: 2.52×
• Total profit: $196,057
• Equity at exit: $68,587

10-year hold

• IRR: 42.4%
• Equity multiple: 4.69×
• Total profit: $475,019
• Equity at exit: $39,772

Cash invested: $128,800 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 87 Strongly Landlord-Friendly
• State Tennessee: 87 Strongly Landlord-Friendly · R+13
• County: — inherits STATE
• City: — inherits STATE

14-day notice (URLTA); generally landlord-favorable; Nashville court paced moderate.

Methodology + full state rankings →

ZIP-level market 37042

• Home prices YoY: -18.2%
• Rents YoY: 1.3%
• Active inventory: 893
• Price-to-rent: 23.6×

Monthly cashflow live

• Estimated rent: $9,730 high
• Mortgage (P&I): −$2,412
• Tax est. 1.5%: −$575 /mo · $6,900/yr
• Insurance: −$192
• HOA: −$0
• Vacancy / Maint / Mgmt: −$2,043
• Net cashflow: $4,508

Break-even live

Break-even rent $4,024

Max offer price $460,000

Occupancy floor 49%

Sensitivity live

Price	-10% $4,826	-5% $4,667	+0% $4,508	+5% $4,349	+10% $4,190
Rent	-10% $3,739	-5% $4,123	+0% $4,508	+5% $4,892	+10% $5,276
Rate	-1.0pp $4,739	-0.5pp $4,625	base $4,508	+0.5pp $4,389	+1.0pp $4,267

6-unit breakdown (identical units grouped — click to expand)

Units	Beds	Baths	Est. rent
▸ 6× units	4	4	$9,732
Total (6 units)			$9,730

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: $115,000
• Closing costs: $13,800
• Reserves months: —
• Total cash needed: —

Listing history 17 events

1. 2026-06-18
   days on market $460,000 Active 60 DOM
2. 2026-06-17
   days on market $460,000 Active 59 DOM
3. 2026-06-16
   days on market $460,000 Active 58 DOM
4. 2026-06-15
   days on market $460,000 Active 57 DOM
5. 2026-06-14
   days on market $460,000 Active 55 DOM
6. 2026-06-13
   days on market $460,000 Active 54 DOM
7. 2026-06-10
   days on market $460,000 Active 52 DOM
8. 2026-06-09
   days on market $460,000 Active 51 DOM
9. 2026-06-08
   days on market $460,000 Active 50 DOM
10. 2026-06-07
    days on market $460,000 Active 49 DOM
11. 2026-06-05
    days on market $460,000 Active 46 DOM
12. 2026-06-03
    days on market $460,000 Active 45 DOM
13. 2026-06-02
    days on market $460,000 Active 44 DOM
14. 2026-05-31
    days on market $460,000 Active 42 DOM
15. 2026-05-30
    days on market $460,000 Active 41 DOM
16. 2026-04-28
    price $460,000
17. 2026-04-19
    listed $475,000 Active

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

Climate risk First Street

• 🌊 Flood 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 2/10 Low
• 🌡 Heat 5/10 Major 7 d/yr ≥107°F today · 19 d/yr by 30 yrs out
• 💨 Wind 3/10 Moderate 8% 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: $116,760
• − Mortgage interest: −$25,767
• − Property taxes: −$6,900
• − Insurance: −$2,300
• − Repairs & maintenance: −$9,341
• − Management: −$9,341
• − Depreciation: −$13,382
• Taxable income: $49,729
• Est. tax owed @ 24.0%: −$11,935
• After-tax cash flow: $42,158/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.

Condition & rehab AI · 13 photos

Fair 45/100 Moderate rehab

This multi-family property requires significant repairs and maintenance, particularly to the roof and exterior siding, to improve its condition and value.

Repairs flagged

• Major Roof — Significant damage and potential leaks indicated.
• Major Exterior siding — Weathered and in need of repair.
• Minor Flooring — Carpeted flooring may need replacement for aesthetic appeal.

Value-add opportunities

• Both Replace roof — A new roof will significantly improve the home's appearance and value.
• Both Repair and paint exterior siding — A fresh coat of paint and repairs will enhance curb appeal and value.
• Both Replace carpeted flooring — New flooring will improve the home's appearance and value.

Renovation cost estimate screening

Repair item	Severity	Est. cost
Roof · Significant damage and potential leaks indicated.	Major	$15,000–50,000
Exterior siding · Weathered and in need of repair.	Major	$15,000–50,000
Flooring · Carpeted flooring may need replacement for aesthetic appeal.	Minor	$500–3,000
Total estimated repair cost · 3 items		$30,500–103,000

Value-add ROI direction

• Both Replace roof — A new roof will significantly improve the home's appearance and value. ↑
• Both Repair and paint exterior siding — A fresh coat of paint and repairs will enhance curb appeal and value. ↑
• Both Replace carpeted flooring — New flooring will improve the home's appearance and value. ↑

ⓘ Cost ranges are severity-bucket heuristics (US national rule-of-thumb). Get contractor quotes + a written scope before underwriting a rehab budget.

Schools (NCES district)

• District: Montgomery County
• NCES district ID: 4703030
• Math proficiency: 25% ▼ -20.00%
• Reading proficiency: 31% ▼ -10.00%
• Median HH income: $50,423
• Composite: 24.56/100
• National rank: #7641
• State rank: #65 of 139 in TN

Livability — Clarksville

• Score: 84/100
• State rank: #1
• US rank: #798

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Clarksville, TN
• County: Montgomery County · 211,371 people
• City population: 211,371
• Metro: Clarksville, TN-KY
• Population (ZIP): 87,652
• Household income: $70,393
• Rent vs Own: 41.4% rent · 58.6% own
• Severe rent burden: 2093.0

Population outlook (Montgomery County) Hauer SSP2

• Today (2025): 236,633 people
• By 2030: 258,978 · +9.4%
• By 2040: 305,456 · +29.1%
• By 2050: 353,147 · +49.2%
• By 2075: 471,289 · +99.2%
• By 2100: 564,122 · +138.4%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Diverse neighborhood (Simpson 0.68)
• Race & ethnicity: White 48% Black 26% Hispanic / Latino 15% Two or more races 13% Asian 3%
• Hispanic origin (detail): Mexican 6% Puerto Rican 4%
• Common ancestry: Italian 4% Slovak 1% Lithuanian 1%
• Foreign-born: 8% · Canada, South Korea, China
• Languages at home: 88% English-only · Spanish 8% German/W. Germanic 1% Other Indo-European 1%

Political lean MEDSL · Montgomery

• 2024 margin: R (+18.4) · D 40.0% · R 58.5% · Other 1.5%
• 2008→2024 swing: -10.5pp toward R · 2008: -7.9pp · 2024: -18.4pp
• All cycles: 2024: R+18.4 2020: R+12.7 2016: R+18.6 2012: R+10.5 2008: R+7.9

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -58.81%
• Current HPI: 264.4911
• Rent YoY: ▲ 1.27%
• Metro: Clarksville, TN-KY
• State GDP YoY: ▲ 2.78%
• F500 in state: 22

Industry mix (Fortune 500 HQ in TN)

Industry	F500 HQs	Revenue
▸Healthcare	3	$91B
▸Retail	3	$72B
▸Transportation / Logistics	1	$88B
▸Paper / Packaging	1	$19B
▸Insurance	1	$13B
▸Energy	1	$12B

Price history

-3.2% since first listed

2 events — show timeline

• 2026-04-28 Price Changed $460,000 REALTRACS as Distributed by MLS Grid
• 2026-04-19 Listed $475,000 REALTRACS as Distributed by MLS Grid