134 W College St

Henry, TN 38231

$19,200C-

2 bd · 2.0 ba · 768 sqft · Built 1927 · SingleFamily · Active · 83 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $837/mo
• Mortgage (P&I): −$101
• Tax + insurance: −$32
• HOA: −$0
• Vac / Maint / Mgmt: −$176
• Net cashflow: $529/mo
• Annual: $6,345/yr
• Cap rate: 39.34%
• Cash-on-cash: 118.02%
• DSCR: 6.25
• 1% rule: 4.36%
• Cash to close: $5,376

Investor read

• This is a 2-bed/2.0-bath single-family listed at $19k. Condition is rated poor.
• At list price, monthly cash flow is $529 ($6k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($837 rent vs $19k).
• It's been on market 83 days — a 6% lower offer ($18k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $18k (6.0% below list) — sets the bar for market timing.
• In year one you build about $2k of equity ($133 loan paydown + $2k appreciation (7.9% local appreciation)).
• Location reads 57/100 on livability (#334 in TN) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A; Watch: health & safety C-, crime F, amenities F.
• Henry County (rural): math 30% / reading 30% proficiency, ranked #60 of 139 in TN (top 43%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Henry Elementary (math 32% / reading 22%, grade F, #496 of 952 statewide, top 55%, 335 students, 0% FRL); Lakewood Middle School (math 34% / reading 25%, grade F, #107 of 333 statewide, top 33%, 249 students, 0% FRL); Henry Co High School (reading 38%, 1,048 students, 0% FRL) — zoned schools average 0% FRL vs 55% district-wide (55 pts lower); this property's tenant base skews higher-income than the district average.
• Watch-outs: built in 1927 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 13 active listings in the ZIP; 19 units permitted in Henry County in 2024 (0 in 5+ unit buildings).
• Henry County population projected to shrink 10% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• At projected returns (7.9% appreciation + 3.0% rent growth), your $5k cash investment doubles in ~1 year — after that, you're playing with house money.
• Climate carrying-cost: 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

• It's been on market 83 days. Have you received any prior offers? Is the seller open to a 6% 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?
• Built in 1927 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• 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?
• Crime grade is F 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.

Repairs flagged (vision-AI assessment)

• Major: roof — Damaged shingles
• Major: exterior siding — Peeling paint and siding damage