365 Wildflower Hill Rd

Kilgore, TX 75662

$85,000B-

2 bd · 2.0 ba · 952 sqft · Built 1983 · Manufactured · Under Contract · 35 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,074/mo
• Mortgage (P&I): −$446
• Tax + insurance: −$142
• HOA: −$0
• Vac / Maint / Mgmt: −$225
• Net cashflow: $261/mo
• Annual: $3,129/yr
• Cap rate: 9.97%
• Cash-on-cash: 13.15%
• DSCR: 1.59
• 1% rule: 1.26%
• Cash to close: $23,800

Investor read

• This is a 2-bed/2.0-bath manufactured listed at $85k. Condition is rated poor.
• At list price, monthly cash flow is $261 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $85k).
• It's been on market 35 days — a 3% lower offer ($82k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $82k (3.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $588 of loan paydown is wiped out by about $3k of value loss. Plan a longer hold.
• Location reads 72/100 on livability (#257 in TX) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: crime D+, employment D+, amenities F.
• Sabine ISD (rural): math 46% / reading 49% proficiency, ranked #210 of 826 in TX (top 25%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Sabine El (math 39% / reading 47%, grade F, #1,283 of 4,322 statewide, top 30%, 734 students, 62% FRL); Sabine Middle (math 48% / reading 47%, grade C-, #408 of 1,662 statewide, top 25%, 363 students, 50% FRL); Sabine H S (math 57% / reading 57%, grade C, #333 of 1,632 statewide, top 22%, 466 students, 40% FRL).
• Market conditions: Rents rising fast (+8.9%/yr); 289 active listings in the ZIP; 193 units permitted in Gregg County in 2024 (0 in 5+ unit buildings).
• At projected returns (-3.0% appreciation + 8.0% rent growth), your $24k cash investment doubles in ~7 years — after that, you're playing with house money.
• Cap rate 10.0% vs local median 3.2% in Kilgore — 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

• It's been on market 35 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• 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 D 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?
• 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.

Repairs flagged (vision-AI assessment)

• Major: siding — Weathered and in need of replacement
• Major: roof — Appears old and may need replacement
• Major: flooring — Outdated and likely in need of replacement
• Major: interior walls/paint — Likely outdated and in need of fresh paint
• Major: windows — Likely outdated and may need replacement
• Major: foundation/structure — Likely outdated and may need repairs