13949 Compton Rd

Dixon, MO 65459

$185,000F

4 bd · 2.0 ba · 1,680 sqft · Built 1983 · Other · Active · 14 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,070/mo
• Mortgage (P&I): −$970
• Tax + insurance: −$135
• HOA: −$0
• Vac / Maint / Mgmt: −$225
• Net cashflow: $-260/mo
• Annual: $-3,118/yr
• Cap rate: 4.61%
• Cash-on-cash: -6.02%
• DSCR: 0.73
• 1% rule: 0.58%
• Cash to close: $51,800

Investor read

• This is a 4-bed/2.0-bath other listed at $185k.
• At list price, monthly cash flow is $-260 ($-3k/yr) — negative.
• To cash-flow at today's rent, offer at most $139k (24.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $107k (42.1% below list).
• Only 14 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $107k (42.1% below list) — sets the bar for 1% rule.
• In year one you build about $11k of equity ($1k loan paydown + $10k appreciation (5.2% local appreciation)).
• Location reads 61/100 on livability (#445 in MO) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: crime F, amenities F, commute F.
• Dixon R-I (rural): math 23% / reading 33% proficiency, ranked #280 of 324 in MO (top 86%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Dixon Elem. (math 42% / reading 47%, grade F, #413 of 1,115 statewide, top 42%, 394 students, 55% FRL); Dixon Middle (math 12% / reading 17%, grade F, #362 of 391 statewide, top 93%, 227 students, 55% FRL); Dixon High (math 5% / reading 32%, grade F, #481 of 521 statewide, top 92%, 277 students, 46% FRL).
• Market conditions: 78 active listings in the ZIP; 62 units permitted in Pulaski County in 2024 (0 in 5+ unit buildings).
• 6 sale attempts since 11y 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.
• By year 4, paydown + projected appreciation supports a ~$37k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Cap rate 4.6% vs local median 3.2% in Dixon — 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

• 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?
• 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?
• 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?
• 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.