250 El Dorado Blvd #282

Houston, TX 77598

$77,900D

1 bd · 1.0 ba · 722 sqft · Built 1979 · Condo · Active · 13 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,034/mo
• Mortgage (P&I): −$409
• Tax + insurance: −$278
• HOA: −$300
• Vac / Maint / Mgmt: −$217
• Net cashflow: $-170/mo
• Annual: $-2,043/yr
• Cap rate: 4.69%
• Cash-on-cash: -5.71%
• DSCR: 0.75
• 1% rule: 1.33%
• Cash to close: $21,812

Investor read

• This is a 1-bed/1.0-bath condo listed at $78k.
• At list price, monthly cash flow is $-170 ($-2k/yr) — negative.
• To cash-flow at today's rent, offer at most $48k (38.6% below list).
• Meets the 1% rule at list price ($1k rent vs $78k).
• Only 13 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $48k (38.6% below list) — sets the bar for cash-flow.
• In year one you build about $2k of equity ($539 loan paydown + $1k appreciation (1.6% local appreciation)).
• Location reads 74/100 on livability (#184 in TX, #4,771 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, cost of living A+, housing A+; Watch: crime F.
• Clear Creek ISD (suburban): math 48% / reading 54% proficiency, ranked #114 of 826 in TX (top 14%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: G H Whitcomb El (math 35% / reading 40%, grade F, #1,744 of 4,322 statewide, top 41%, 630 students, 73% FRL); Clear Lake Int (math 39% / reading 44%, grade F, #595 of 1,662 statewide, top 37%, 832 students, 54% FRL); Clear Lake H S (math 57% / reading 65%, grade C+, #258 of 1,632 statewide, top 16%, 2,533 students, 0% FRL) — zoned schools average 42% FRL vs 25% district-wide (18 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: property tax is 2.8% of price; flood insurance adds $66/mo; HOA is 29% of rent.
• Market conditions: Rents flat; 210 active listings in the ZIP; 40 comparable units currently listed for rent nearby; rentals leasing fast (median 13d on market — plan ~1-2 weeks tenant-placement turnaround); 29,883 units permitted in Harris County in 2024 (8,621 in 5+ unit buildings).
• Harris County population projected at +47% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• Climate carrying-cost: severe flood risk; severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→26/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 4.7% vs local median 3.2% in Houston — 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?
• Built in 1979 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
• What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• Any open or pending special assessments — roof, HVAC, plumbing, elevator, façade? What's the per-unit balance and payoff schedule, and is the seller paying it off at close or rolling it to the buyer?
• 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?