103 Baker St

Gainesville, MO 65655

$129,000D

2 bd · 1.5 ba · 866 sqft · Built 1910 · SingleFamily · Active · 214 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $845/mo
• Mortgage (P&I): −$676
• Tax + insurance: −$215
• HOA: −$0
• Vac / Maint / Mgmt: −$178
• Net cashflow: $-224/mo
• Annual: $-2,685/yr
• Cap rate: 4.21%
• Cash-on-cash: -7.43%
• DSCR: 0.67
• 1% rule: 0.66%
• Cash to close: $36,120

Investor read

• This is a 2-bed/1.5-bath single-family listed at $129k.
• At list price, monthly cash flow is $-224 ($-3k/yr) — negative.
• To cash-flow at today's rent, offer at most $97k (25.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $85k (34.5% below list).
• It's been on market 214 days — a 12% lower offer ($114k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $85k (34.5% below list) — sets the bar for 1% rule.
• In year one you build about $8k of equity ($892 loan paydown + $7k appreciation (5.7% local appreciation)).
• Location reads 52/100 on livability (#856 in MO) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+; Watch: schools D+, crime F, amenities F.
• Gainesville R-V (rural): math 45% / reading 50% proficiency, ranked #85 of 324 in MO (top 26%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Watch-outs: built in 1910 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 61 active listings in the ZIP.
• Ozark County population projected at -26% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 2 sale attempts 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 5, paydown + projected appreciation supports a ~$36k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Cap rate 4.2% vs local median 3.1% in Gainesville — 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 214 days. Have you received any prior offers? Is the seller open to a 34% concession, seller financing, or rate buy-down credit?
• Built in 1910 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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?
• 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?