1346 Highway 21 E

San Augustine, TX 75972

$55,500B

2 bd · 1.0 ba · 1,275 sqft · Built 1952 · SingleFamily · Active · 1 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $939/mo
• Mortgage (P&I): −$291
• Tax + insurance: −$92
• HOA: −$0
• Vac / Maint / Mgmt: −$197
• Net cashflow: $358/mo
• Annual: $4,295/yr
• Cap rate: 14.03%
• Cash-on-cash: 27.64%
• DSCR: 2.23
• 1% rule: 1.69%
• Cash to close: $15,540

Investor read

• This is a 2-bed/1.0-bath single-family listed at $56k. Condition is rated fair.
• At list price, monthly cash flow is $358 ($4k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($939 rent vs $56k).
• Only 1 days on market — expect competitive offers; lowballing is unlikely to land.
• In year one you build about $2k of equity ($384 loan paydown + $2k appreciation (3.7% local appreciation)).
• Location reads 67/100 on livability (#579 in TX) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: amenities F, commute F, employment F.
• San Augustine ISD (rural): math 16% / reading 23% proficiency, ranked #786 of 826 in TX (top 95%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 83% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: San Augustine El (math 17% / reading 22%, grade F, #3,583 of 4,322 statewide, top 86%, 304 students, 90% FRL).
• Watch-outs: built in 1952 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 88 active listings in the ZIP; 2 units permitted in San Augustine County in 2024 (0 in 5+ unit buildings).
• San Augustine County population projected at -25% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (3.7% appreciation + 3.0% rent growth), your $16k cash investment doubles in ~3 years — after that, you're playing with house money.
• Climate carrying-cost: severe wind risk, 80% chance of damaging wind over 30y; moderate wildfire risk; extreme-heat days projected 7→23/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1952 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are F-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.

Repairs flagged (vision-AI assessment)

• Moderate: Exterior siding — Weathered and in need of replacement
• Moderate: Interior walls — Peeling paint and potential structural issues
• Moderate: Kitchen cabinets — Worn and in need of replacement