6418 Walnut St

Moss Point, MS 39563

$164,000D+

4 bd · 4.0 ba · 2,025 sqft · Built 1972 · MultiFamily · Active · 105 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,300/mo
• Mortgage (P&I): −$860
• Tax + insurance: −$215
• HOA: −$0
• Vac / Maint / Mgmt: −$273
• Net cashflow: $-48/mo
• Annual: $-577/yr
• Cap rate: 6.43%
• Cash-on-cash: 0.48%
• DSCR: 1.02
• 1% rule: 0.79%
• Cash to close: $45,920

Investor read

• This is a 4-bed/4.0-bath multifamily listed at $164k.
• At list price, monthly cash flow is $-48 ($-577/yr) — negative.
• To cash-flow at today's rent, offer at most $156k (5.2% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $130k (20.7% below list).
• It's been on market 105 days — a 9% lower offer ($149k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $130k (20.7% below list) — sets the bar for 1% rule.
• In year one you build about $9k of equity ($1k loan paydown + $8k appreciation (4.6% local appreciation)).
• Location reads 67/100 on livability (#77 in MS) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, crime A-; Watch: health & safety D+, amenities F, commute F.
• Moss Point Separate School District (suburban): math 17% / reading 22% proficiency, ranked #94 of 130 in MS (top 72%) — 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: Moss Point Kreole Primary School (394 students, 100% FRL); Magnolia Middle School (math 19% / reading 23%, grade F, #112 of 179 statewide, top 64%, 381 students, 100% FRL); Moss Point High School (math 27% / reading 27%, grade F, #101 of 197 statewide, top 54%, 455 students, 100% FRL) — zoned schools average 100% FRL vs 83% district-wide (17 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: flood insurance adds $66/mo.
• Market conditions: 88 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 516 units permitted in Jackson County in 2024 (6 in 5+ unit buildings).
• 5 sale attempts since 12y 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 (4.6% appreciation + 3.0% rent growth), your $46k cash investment doubles in ~5 years — after that, you're playing with house money.
• By year 5, paydown + projected appreciation supports a ~$38k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: severe flood risk; severe wind risk, 99% chance of damaging wind over 30y; major wildfire risk; extreme-heat days projected 7→22/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

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?
• It's been on market 105 days. Have you received any prior offers? Is the seller open to a 21% concession, seller financing, or rate buy-down credit?
• Built in 1972 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
• 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?
• 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?