1135 Joe Dear Rd

Georgetown, MS 39082

$35,000B

2 bd · 2.0 ba · 864 sqft · Built 1961 · SingleFamily · Pending · 14 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $848/mo
• Mortgage (P&I): −$184
• Tax + insurance: −$27
• HOA: −$0
• Vac / Maint / Mgmt: −$178
• Net cashflow: $459/mo
• Annual: $5,513/yr
• Cap rate: 22.05%
• Cash-on-cash: 56.26%
• DSCR: 3.50
• 1% rule: 2.42%
• Cash to close: $9,800

Investor read

• This is a 2-bed/2.0-bath single-family listed at $35k.
• At list price, monthly cash flow is $459 ($6k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($848 rent vs $35k).
• Only 14 days on market — expect competitive offers; lowballing is unlikely to land.
• In year one you build about $1k of equity ($242 loan paydown + $938 appreciation (2.7% local appreciation)).
• Location reads 54/100 on livability (#322 in MS) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A+; Watch: amenities F, commute F, employment F.
• Simpson County School District (rural): math 18% / reading 24% proficiency, ranked #90 of 130 in MS (top 69%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 76% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Simpson Central School (math 32% / reading 34%, grade F, #168 of 375 statewide, top 45%, 433 students, 99% FRL); Mendenhall Junior High School (math 14% / reading 24%, grade F, #119 of 179 statewide, top 66%, 243 students, 99% FRL); Mendenhall High School (math 8% / reading 22%, grade F, #150 of 197 statewide, top 76%, 519 students, 99% FRL) — zoned schools average 99% FRL vs 76% district-wide (24 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 3 active listings in the ZIP; 3 units permitted in Simpson County in 2024 (0 in 5+ unit buildings).
• Simpson County population projected at -16% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 3 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.
• Current owner paid $28k; 27% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• At projected returns (2.7% appreciation + 3.0% rent growth), your $10k cash investment doubles in ~2 years — after that, you're playing with house money.
• Climate carrying-cost: severe wind risk, 80% chance of damaging wind over 30y; extreme-heat days projected 7→20/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• Built in 1961 — 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.