405 Rusk St · Newton, TX 75966

$75,000

1 bd · 0.5 ba · 1,725 sqft · SingleFamily · 119 Days on market

Built 1950 Good condition 2,718 sqft lot ↓ 12% since listing

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Why this score? — see what drove the B grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Cash flow +29.3/30.0
• DSCR +10.0/10.0
• 1% rule +8.2/10.0
• ARV discount +7.5/15.0
• Appreciation +6.7/10.0
• Condition / age +4.0/5.0
• Livability +2.8/5.0
• Rent growth +2.5/5.0
• Schools +2.4/10.0

Listing remarks MLS

This building can be turned into a customized home/loft. It has a downtown location and sits diagonally from the courthouse square. It is walking distance to beautiful Caney Creek Park and other downtown businesses. This unique stone front building has 2 large window displays to maximize natural light. This building was previously used for retail but can be turned into a residential home, loft apartment, home rental space or home & retail all in one. The property boasts a metal roof, vinyl plank flooring, large front room, a smaller room that can be used as a bedroom, large back room with built in work stations, a walk-in closet located in the back room, kitchen or break room area, and one restroom. This unique property has a floating ceiling so you can add or take away walls with ease. Elevate your style and turn this place into the perfect living space. (Seller is a Texas licensed realtor. Agent remarks for license #. ) Bring your dreams and aspirations to the heart of East Texas.

Key facts

• Metal roof
• Large front room
• Downtown location

Tags

• DOWNTOWN LOCATION
• UNIQUE STONE FRONT BUILDING
• LARGE WINDOW DISPLAYS
• METAL ROOF
• VINYL PLANK FLOORING
• LARGE FRONT ROOM

What this means for you Summary

Snapshot

• This is a 1-bed/0.5-bath single-family listed at $75k. Condition is rated good.

Deal economics

• At list price, monthly cash flow is $263 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($990 rent vs $75k).
• Recommended offer: $68k (9.0% below list) — sets the bar for market timing.

Location & tenants

• Location reads 55/100 on livability (#1,355 in TX) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A+, crime B; Watch: amenities F, commute F, employment F.
• Newton ISD (rural): math 23% / reading 36% proficiency, ranked #661 of 826 in TX (top 80%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 70% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Newton El (math 17% / reading 37%, grade F, #2,791 of 4,322 statewide, top 68%, 380 students, 82% FRL); Newton Middle (math 30% / reading 33%, grade F, #997 of 1,662 statewide, top 61%, 333 students, 79% FRL); Newton H S (math 8% / reading 47%, grade F, #1,190 of 1,632 statewide, top 74%, 255 students, 69% FRL).
• Market conditions: 79 active listings in the ZIP.

Forward outlook

• In year one you build about $3k of equity ($519 loan paydown + $3k appreciation (3.5% local appreciation)).
• Newton County population projected at -21% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (3.5% appreciation + 3.0% rent growth), your $21k cash investment doubles in ~4 years — after that, you're playing with house money.
• By year 10, paydown + projected appreciation supports a ~$30k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Negotiation context

• It's been on market 119 days — a 9% lower offer ($68k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Watch-outs: built in 1950 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $68,250 (9.0% below list)

Questions for the listing agent

1. It's been on market 119 days. Have you received any prior offers? Is the seller open to a 9% concession, seller financing, or rate buy-down credit?
2. Built in 1950 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
4. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
5. 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?
6. 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.
7. 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.
8. 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.

Investment metrics

• 1% rule: 1.32% ✓
• Cap rate: 10.51%
• Cash-on-cash: 15.05%
• DSCR: 1.67
• GRM: 6.3

CMA / ARV

No comps found within radius.

Projected returns pro-forma

3.46% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: 22.6%
• Equity multiple: 2.32×
• Total profit: $27,666
• Equity at exit: $35,679

10-year hold

• IRR: 23.2%
• Equity multiple: 4.47×
• Total profit: $72,772
• Equity at exit: $56,556

Cash invested: $21,000 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 87 Strongly Landlord-Friendly
• State Texas: 87 Strongly Landlord-Friendly · R+5
• County: — inherits STATE
• City: — inherits STATE

3-day notice; statewide preemption; one of the fastest eviction climates; Travis County (Austin) slightly slower.

Methodology + full state rankings →

ZIP-level market 75966

• Home prices YoY: 2.3%
• Active inventory: 79
• Price-to-rent: 6.3×

Monthly cashflow live

• Estimated rent: $990 medium
• Mortgage (P&I): −$393
• Tax est. 1.5%: −$94 /mo · $1,125/yr
• Insurance: −$31
• HOA: −$0
• Vacancy / Maint / Mgmt: −$208
• Net cashflow: $263

Break-even live

Break-even rent $656

Max offer price $75,000

Occupancy floor 68%

Sensitivity live

Price	-10% $315	-5% $289	+0% $263	+5% $238	+10% $212
Rent	-10% $185	-5% $224	+0% $263	+5% $303	+10% $342
Rate	-1.0pp $301	-0.5pp $283	base $263	+0.5pp $244	+1.0pp $224

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $18,750
• Closing costs: $2,250
• Reserves months: —
• Total cash needed: —

Listing history 19 events

1. 2026-06-21
   days on market $75,000 Active 119 DOM
2. 2026-06-21
   days on market $75,000 Active 118 DOM
3. 2026-06-18
   days on market $75,000 Active 116 DOM
4. 2026-06-17
   days on market $75,000 Active 115 DOM
5. 2026-06-16
   days on market $75,000 Active 114 DOM
6. 2026-06-15
   days on market $75,000 Active 113 DOM
7. 2026-06-15
   days on market $75,000 Active 112 DOM
8. 2026-06-13
   days on market $75,000 Active 111 DOM
9. 2026-06-12
   days on market $75,000 Active 110 DOM
10. 2026-06-10
    days on market $75,000 Active 107 DOM
11. 2026-06-08
    days on market $75,000 Active 106 DOM
12. 2026-06-08
    days on market $75,000 Active 105 DOM
13. 2026-06-07
    days on market $75,000 Active 104 DOM
14. 2026-06-03
    days on market $75,000 Active 101 DOM
15. 2026-06-02
    days on market $75,000 Active 100 DOM
16. 2026-06-01
    days on market $75,000 Active 99 DOM
17. 2026-05-31
    days on market $75,000 Active 98 DOM
18. 2026-05-18
    price $75,000 1003-char remark

    Show marketing remark (1003 chars)

    This building can be turned into a customized home/loft. It has a downtown location and sits diagonally from the courthouse square. It is walking distance to beautiful Caney Creek Park and other downtown businesses. This unique stone front building has 2 large window displays to maximize natural light. This building was previously used for retail but can be turned into a residential home, loft apartment, home rental space or home & retail all in one. The property boasts a metal roof, vinyl plank flooring, large front room, a smaller room that can be used as a bedroom, large back room with built in work stations, a walk-in closet located in the back room, kitchen or break room area, and one restroom. This unique property has a floating ceiling so you can add or take away walls with ease. Elevate your style and turn this place into the perfect living space. (Seller is a Texas licensed realtor. Agent remarks for license #. ) Bring your dreams and aspirations to the heart of East Texas.

19. 2024-08-10
    listed $85,000 Active 1003-char remark

    Show marketing remark (1003 chars)

    This building can be turned into a customized home/loft. It has a downtown location and sits diagonally from the courthouse square. It is walking distance to beautiful Caney Creek Park and other downtown businesses. This unique stone front building has 2 large window displays to maximize natural light. This building was previously used for retail but can be turned into a residential home, loft apartment, home rental space or home & retail all in one. The property boasts a metal roof, vinyl plank flooring, large front room, a smaller room that can be used as a bedroom, large back room with built in work stations, a walk-in closet located in the back room, kitchen or break room area, and one restroom. This unique property has a floating ceiling so you can add or take away walls with ease. Elevate your style and turn this place into the perfect living space. (Seller is a Texas licensed realtor. Agent remarks for license #. ) Bring your dreams and aspirations to the heart of East Texas.

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Taxation est. · year 1

• Rental income: $11,874
• − Mortgage interest: −$4,201
• − Property taxes: −$1,125
• − Insurance: −$375
• − Repairs & maintenance: −$950
• − Management: −$950
• − Depreciation: −$2,182
• Taxable income: $2,092
• Est. tax owed @ 24.0%: −$502
• After-tax cash flow: $2,659/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Condition & rehab AI · 11 photos

Good 80/100 Cosmetic rehab

This property is in good condition with cosmetic updates needed to enhance its resale and rental value. The interior walls and flooring could be refreshed, and new kitchen and bathroom fixtures would significantly improve the property's appeal.

Value-add opportunities

• Both Paint interior walls and trim — Fresh paint enhances curb appeal and interior aesthetics.
• Both Install new flooring in kitchen and bathrooms — New flooring improves aesthetics and functionality.
• Both Install new kitchen cabinets and countertops — New cabinets and countertops enhance functionality and aesthetics.
• Both Install new bathroom fixtures — New fixtures improve functionality and aesthetics.
• Both Install new lighting fixtures — New lighting enhances aesthetics and functionality.
• Both Landscaping and curb appeal improvements — Landscaping enhances curb appeal and adds value to the property.

Renovation cost estimate screening

Value-add ROI direction

• Both Paint interior walls and trim — Fresh paint enhances curb appeal and interior aesthetics. ↑
• Both Install new flooring in kitchen and bathrooms — New flooring improves aesthetics and functionality. ↑
• Both Install new kitchen cabinets and countertops — New cabinets and countertops enhance functionality and aesthetics. ↑
• Both Install new bathroom fixtures — New fixtures improve functionality and aesthetics. ↑
• Both Install new lighting fixtures — New lighting enhances aesthetics and functionality. ↑
• Both Landscaping and curb appeal improvements — Landscaping enhances curb appeal and adds value to the property. ↑

ⓘ Cost ranges are severity-bucket heuristics (US national rule-of-thumb). Get contractor quotes + a written scope before underwriting a rehab budget.

Schools (NCES district)

• District: Newton ISD
• NCES district ID: 4832730
• Math proficiency: 23% ▼ -9.00%
• Reading proficiency: 36% ▼ -2.00%
• Median HH income: $34,557
• Composite: 24.26/100
• National rank: #7719
• State rank: #661 of 826 in TX

Livability — Newton

• Score: 55/100
• State rank: #1355
• US rank: #23337

Category grades

Amenities F Commute F Cost of living A+ Crime B Employment F Housing A+ Health & safety F User ratings F

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Newton, TX
• Population (ZIP): 4,773

Population outlook (Newton County) Hauer SSP2

• Today (2025): 13,123 people
• By 2030: 12,567 · -4.2%
• By 2040: 11,431 · -12.9%
• By 2050: 10,393 · -20.8%
• By 2075: 8,230 · -37.3%
• By 2100: 6,038 · -54.0%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (71%)
• Race & ethnicity: White 71% Black 20% Two or more races 8% Hispanic / Latino 5% Native American 1%
• Hispanic origin (detail): Mexican 4%
• Common ancestry: Romanian 1% Lithuanian 1% Italian 1%
• Foreign-born: 2% · Canada, China
• Languages at home: 95% English-only · French/Haitian/Cajun 2% Spanish 2%

Political lean MEDSL · Newton

• 2024 margin: Solid R (+66.6) · D 16.6% · R 83.2%
• 2008→2024 swing: -34.4pp toward R · 2008: -32.2pp · 2024: -66.6pp
• All cycles: 2024: R+66.6 2020: R+60.9 2016: R+49.5 2012: R+43.3 2008: R+32.2

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▲ 3.46%
• Current HPI: 153.3331
• Rent YoY: —
• Metro: —
• State GDP YoY: ▲ 3.95%
• F500 in state: 110

Industry mix (Fortune 500 HQ in TX)

Industry	F500 HQs	Revenue
▸Energy	16	$1,198B
▸Technology	5	$198B
▸Engineering / Construction	4	$72B
▸Energy Services	3	$60B
▸Utilities	3	$41B
▸Healthcare	2	$330B

Price history

-11.8% since first listed

2 events — show timeline

• 2026-05-18 Price Changed $75,000 Deep East Texas MLS
• 2024-08-10 Listed $85,000 Deep East Texas MLS