15197 Allen St

McCool, MS 39108

$139,000D

2 bd · 2.0 ba · 1,731 sqft · Built 1940 · Other · Active · 27 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,069/mo
• Mortgage (P&I): −$729
• Tax + insurance: −$128
• HOA: −$0
• Vac / Maint / Mgmt: −$225
• Net cashflow: $-12/mo
• Annual: $-142/yr
• Cap rate: 6.19%
• Cash-on-cash: -0.37%
• DSCR: 0.98
• 1% rule: 0.77%
• Cash to close: $38,920

Investor read

• This is a 2-bed/2.0-bath other listed at $139k.
• At list price, monthly cash flow is $-12 ($-142/yr) — negative.
• To cash-flow at today's rent, offer at most $137k (1.5% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $107k (23.1% below list).
• It's been on market 27 days — a 2% lower offer ($137k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $107k (23.1% below list) — sets the bar for 1% rule.
• In year one you build about $7k of equity ($961 loan paydown + $6k appreciation (4.4% local appreciation)).
• Location reads 61/100 on livability (#206 in MS) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: health & safety D+, amenities F, commute F.
• Attala County School District (rural): math 27% / reading 31% proficiency, ranked #72 of 130 in MS (top 55%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 75% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Greenlee Attendance Center (math 42% / reading 42%, grade F, #108 of 375 statewide, top 30%, 291 students, 100% FRL); Ethel Attendance Center (math 22% / reading 37%, grade F, #91 of 197 statewide, top 49%, 287 students, 100% FRL) — zoned schools average 100% FRL vs 75% district-wide (25 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: built in 1940 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 11 active listings in the ZIP; 3 units permitted in Attala County in 2024 (0 in 5+ unit buildings).
• Attala County population projected at -24% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (4.4% appreciation + 3.0% rent growth), your $39k cash investment doubles in ~5 years — after that, you're playing with house money.
• By year 5, paydown + projected appreciation supports a ~$31k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wind risk, 58% chance of damaging wind over 30y; extreme-heat days projected 7→21/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?
• Built in 1940 — 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?
• 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.