299 Tate Dr

Monticello, KY 42633

$115,000D

3 bd · 1.0 ba · 1,032 sqft · Built 1960 · SingleFamily · Active · 38 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $950/mo
• Mortgage (P&I): −$603
• Tax + insurance: −$192
• HOA: −$0
• Vac / Maint / Mgmt: −$200
• Net cashflow: $-44/mo
• Annual: $-531/yr
• Cap rate: 5.83%
• Cash-on-cash: -1.65%
• DSCR: 0.93
• 1% rule: 0.83%
• Cash to close: $32,200

Investor read

• This is a 3-bed/1.0-bath single-family listed at $115k. Condition is rated average.
• At list price, monthly cash flow is $-44 ($-531/yr) — negative.
• To cash-flow at today's rent, offer at most $109k (5.6% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $95k (17.4% below list).
• It's been on market 38 days — a 3% lower offer ($112k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $95k (17.4% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $795 of loan paydown is wiped out by about $3k of value loss. Plan a longer hold.
• Location reads 65/100 on livability (#265 in KY) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F, employment F.
• Wayne County (town): math 20% / reading 33% proficiency, ranked #142 of 165 in KY (top 86%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Bell Elementary School (476 students, 82% FRL); Wayne County Middle School (math 18% / reading 36%, grade F, #172 of 217 statewide, top 80%, 679 students, 75% FRL); Wayne County High School (math 24% / reading 40%, grade F, #97 of 254 statewide, top 46%, 940 students, 76% FRL) — zoned schools average 78% FRL vs 57% district-wide (20 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 192 active listings in the ZIP; 1 comparable units currently listed for rent nearby.
• Wayne County population projected at -20% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• Climate carrying-cost: moderate wildfire risk; extreme-heat days projected 7→21/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 5.8% vs local median 3.6% in Monticello — 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?
• It's been on market 38 days. Have you received any prior offers? Is the seller open to a 17% concession, seller financing, or rate buy-down credit?
• Built in 1960 — 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.

Repairs flagged (vision-AI assessment)

• Major: Appliances — Outdated and in need of replacement.
• Major: Bathroom fixtures — Dated and in need of replacement.
• Major: Landscaping — Basic and could be improved for curb appeal.