101 W Paul

Allen, OK 74825

$78,500A-

3 bd · 1.0 ba · 1,248 sqft · Built 1970 · SingleFamily · Pending · 9 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,133/mo
• Mortgage (P&I): −$412
• Tax + insurance: −$76
• HOA: −$0
• Vac / Maint / Mgmt: −$238
• Net cashflow: $407/mo
• Annual: $4,886/yr
• Cap rate: 12.52%
• Cash-on-cash: 22.23%
• DSCR: 1.99
• 1% rule: 1.44%
• Cash to close: $21,980

Investor read

• This is a 3-bed/1.0-bath single-family listed at $78k.
• At list price, monthly cash flow is $407 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $78k).
• Only 9 days on market — expect competitive offers; lowballing is unlikely to land.
• In year one you build about $4k of equity ($543 loan paydown + $4k appreciation (4.5% local appreciation)).
• Location reads 60/100 on livability (#339 in OK) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A; Watch: amenities F, commute F, employment F.
• Allen (rural): math 17% / reading 15% proficiency, ranked #208 of 270 in OK (top 77%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 65% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Allen Es (math 18% / reading 15%, grade F, #576 of 845 statewide, top 69%, 315 students, 0% FRL); Allen Hs (math 10% / reading 10%, grade F, #361 of 447 statewide, top 94%, 134 students, 0% FRL) — zoned schools average 0% FRL vs 65% district-wide (65 pts lower); this property's tenant base skews higher-income than the district average.
• Market conditions: 25 active listings in the ZIP; 2 units permitted in Pontotoc County in 2024 (0 in 5+ unit buildings).
• Pontotoc County population projected at +7% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• Current owner paid $58k; 34% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• At projected returns (4.5% appreciation + 3.0% rent growth), your $22k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 8, paydown + projected appreciation supports a ~$31k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wildfire risk; extreme-heat days projected 7→19/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• Built in 1970 — 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?
• 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.