504 Davis St · Gainesville, TX 76240

$149,900

3 bd · 1.0 ba · 1,008 sqft · SingleFamily public records · 6 Days on market

Built 1942 4,269 sqft lot Est $159k · 6% under

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Why this score? — see what drove the C+ grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Cash flow +25.9/30.0
• ARV discount +10.1/15.0
• DSCR +8.7/10.0
• 1% rule +6.7/10.0
• Livability +3.3/5.0
• Schools +2.6/10.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks MLS

Great investment opportunity!!! This three bedroom, one bath home with central heat & air has so much to offer! It features a nice location and has been freshly painted, has new flooring, is clean, and ready to roll. 506 Davis St. is available as well. .. .. buy one or buy both and let the money come rolling in!

Key facts

• Fully renovated
• Quartz countertops
• Matte black fixtures

Tags

• FULLY RENOVATED
• WHITE SHAKER CABINETS
• QUARTZ COUNTERTOPS
• CENTER ISLAND
• STONE SUBWAY TILE BACKSPLASH
• MATTE BLACK FIXTURES

Property features AI

Finance

• Financial info: Loan types accepted: Cash, Conventional, FHA, FHA-203K, VA
• HOA & community: No association

Exterior

• Parking: Driveway (no garage or covered/carport spaces)
• Utilities: Municipal utility district: No; Utilities: Other
• Home design: Single-family residence; Residential property; Built in 1942; Entry level: One
• Construction: Year built 1942
• Exterior features: Lot less than 0.5 acre

Interior

• Kitchen: Dishwasher; Electric range; Microwave
• Bedrooms: 3 bedrooms (all on the main level)
• Bathrooms: 2 full bathrooms
• Interior features: One-level layout; One living area; One dining area; Other interior features

What this means for you Summary

Snapshot

• This is a 3-bed/1.0-bath single-family listed at $150k.

Deal economics

• At list price, monthly cash flow is $366 ($4k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $150k).
• Cap rate 9.2% vs local median 3.7% in Gainesville — 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.

Location & tenants

• Location reads 66/100 on livability (#602 in TX) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, crime B+; Watch: amenities F, commute F, employment F.
• Gainesville ISD (rural): math 33% / reading 29% proficiency, ranked #606 of 826 in TX (top 73%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 72% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Edison El (683 students, 81% FRL).
• Market conditions: 462 active listings in the ZIP; 5 comparable units currently listed for rent nearby; rentals lingering (median 44d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 100% of comp listings sitting > 30 days — soft ceiling on asking rent; 190 units permitted in Cooke County in 2024 (0 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.

Negotiation context

• Only 6 days on market — expect competitive offers; lowballing is unlikely to land.
• 3 sale attempts since 12y ago 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.

Risks & watch-outs

• Watch-outs: built in 1942 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: major wildfire risk; extreme-heat days projected 7→21/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $149,900

Questions for the listing agent

1. Built in 1942 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
2. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
3. 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?
4. 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.
5. 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.
6. 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.

Investment metrics

• 1% rule: 1.17% ✓
• Cap rate: 9.23%
• Cash-on-cash: 10.47%
• DSCR: 1.47
• GRM: 7.1

CMA / ARV

• ARV (on-the-fly): $159,264
• Comps found: 11

Show comp detail 11 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
538 S Dixon St	0.29mi	2/1.0 (-1)	1,016 (+1%)	11mo	$100,000	$98	71
1013 E Tennie St	0.30mi	2/1.0 (-1)	936 (-7%)	1mo	$75,000	$80	68
907 S Dixon St S	0.44mi	2/1.0 (-1)	1,048 (+4%)	11mo	$194,000	$185	59
213 W Tennie St	0.40mi	2/1.0 (-1)	1,064 (+6%)	11mo	$200,000	$188	58
1209 E Garnett St	0.44mi	2/1.0 (-1)	1,058 (+5%)	11mo	$180,000	$170	57
113 E Cummings St	0.69mi	2/1.0 (-1)	962 (-5%)	4mo	$134,500	$140	52
607 S Taylor St	0.25mi	2/1.0 (-1)	863 (-14%)	9mo	$163,000	$189	52
605 N Denton St	0.66mi	2/1.0 (-1)	949 (-6%)	21mo	$149,900	$158	37
318 Cunningham St	0.73mi	2/1.0 (-1)	884 (-12%)	9mo	$140,000	$158	33
527 N Dixon St N	0.66mi	2/1.0 (-1)	1,136 (+13%)	12mo	$120,000	$106	33
531 N Dixon St N	0.67mi	2/1.0 (-1)	1,136 (+13%)	12mo	$99,500	$88	32

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

-3.0% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: -0.6%
• Equity multiple: 0.98×
• Total profit: $-944
• Equity at exit: $22,351

10-year hold

• IRR: 9.1%
• Equity multiple: 1.70×
• Total profit: $29,277
• Equity at exit: $12,961

Cash invested: $41,972 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 87 Strongly Landlord-Friendly
• State Texas: 87 Strongly Landlord-Friendly · R+5
• County: — inherits STATE
• City: — inherits STATE

3-day notice; statewide preemption; one of the fastest eviction climates; Travis County (Austin) slightly slower.

Methodology + full state rankings →

ZIP-level market 76240

• Active inventory: 462
• Price-to-rent: 7.1×

Monthly cashflow live

• Estimated rent: $1,748 high
• Mortgage (P&I): −$786
• Tax from tax record: −$166 /mo · $1,991/yr
• Insurance: −$62
• HOA: −$0
• Vacancy / Maint / Mgmt: −$367
• Net cashflow: $366

Break-even live

Break-even rent $1,284

Max offer price $149,900

Occupancy floor 74%

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $37,475
• Closing costs: $4,497
• Reserves months: —
• Total cash needed: —

Rent comps 5 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
1010 E Main St Gainesville, TX	3.0	1.0	1263	$1,550	$1.23	43d	1	0.31mi
1331 Lanius St Gainesville, TX	3.0	2.0	1300	$1,850	$1.42	43d	1	0.56mi
923 S Wine St Gainesville, TX	3.0	1.0	1216	$1,550	$1.27	43d	1	0.62mi
426 N Clements St Gainesville, TX	3.0	2.0	1408	$2,307	$1.64	43d	1	0.67mi
1610 Elizabeth St Gainesville, TX	3.0	1.0	1100	$1,500	$1.36	43d	1	1.03mi

Listing history 7 events

1. 2026-06-12
   statusdays on market $149,900 Pending 6 DOM
2. 2026-06-09
   days on market $149,900 Active Option Contract 5 DOM
3. 2026-06-09
   status $149,900 Active Option Contract 4 DOM
4. 2026-06-08
   days on market $149,900 Active 4 DOM
5. 2026-06-07
   days on market $149,900 Active 3 DOM
6. 2026-06-05
   remarks 699-char remark
7. 2026-06-05
   listed $149,900 Active 1 DOM

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Tax reassessment forecast TX · Resets to sale price

• Current annual tax: $1,991 · $166/mo
• Projected year-2 tax: $2,743 · $229/mo
• Expected delta: +$753/yr (+$63/mo · 37.8%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

• 🌊 Flood 4/10 Moderate FEMA zone X (shaded) · 23% chance over 30 yrs
• 🔥 Wildfire 7/10 Severe
• 🌡 Heat 6/10 Major 7 d/yr ≥110°F today · 21 d/yr by 30 yrs out
• 💨 Wind 4/10 Moderate 17% chance of damaging wind over 30 yrs
• 🫁 Air quality 3/10 Moderate 3 unhealthy d/yr today · 4 by 30 yrs out

Taxation est. · year 1

• Rental income: $20,974
• − Mortgage interest: −$8,397
• − Property taxes: −$1,991
• − Insurance: −$750
• − Repairs & maintenance: −$1,678
• − Management: −$1,678
• − Depreciation: −$4,361
• Taxable income: $2,121
• Est. tax owed @ 24.0%: −$509
• After-tax cash flow: $3,887/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Schools (NCES district)

• District: Gainesville ISD
• NCES district ID: 4820220
• Math proficiency: 33% ▼ -9.00%
• Reading proficiency: 29% ▼ -2.00%
• Median HH income: $41,772
• Composite: 26.27/100
• National rank: #7252
• State rank: #606 of 826 in TX

Livability — Gainesville

• Score: 66/100
• State rank: #602
• US rank: #11445

Category grades

Amenities F Commute F Cost of living A+ Crime B+ Employment F Housing A+ Health & safety F User ratings A+

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Gainesville, TX
• County: Cooke County · 29,419 people
• City population: 29,419
• Metro: Gainesville, TX
• Population (ZIP): 29,419
• Household income: $71,502
• Rent vs Own: 32.6% rent · 67.4% own
• Severe rent burden: 660.0

Population outlook (Cooke County) Hauer SSP2

• Today (2025): 39,965 people
• By 2030: 39,974 · +0.0%
• By 2040: 39,772 · -0.5%
• By 2050: 39,258 · -1.8%
• By 2075: 37,262 · -6.8%
• By 2100: 33,363 · -16.5%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (66%)
• Race & ethnicity: White 66% Hispanic / Latino 24% Two or more races 14% Black 5%
• Hispanic origin (detail): Mexican 21%
• Common ancestry: Serbian 2% Lithuanian 2% Slovak 1%
• Foreign-born: 8% · Canada
• Languages at home: 83% English-only · Spanish 16% Other Indo-European 1%

Political lean MEDSL · Cooke

• 2024 margin: Solid R (+66.9) · D 16.2% · R 83.1%
• 2008→2024 swing: -8.2pp toward R · 2008: -58.7pp · 2024: -66.9pp
• All cycles: 2024: R+66.9 2020: R+65.2 2016: R+68.1 2012: R+67.6 2008: R+58.7

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -198.63%
• Current HPI: 247.3822
• Rent YoY: —
• Metro: Gainesville, TX
• State GDP YoY: ▲ 3.95%
• F500 in state: 110

Industry mix (Fortune 500 HQ in TX)

Industry	F500 HQs	Revenue
▸Energy	16	$1,198B
▸Technology	5	$198B
▸Engineering / Construction	4	$72B
▸Energy Services	3	$60B
▸Utilities	3	$41B
▸Healthcare	2	$330B

Price history

+256.9% since first listed

5 events — show timeline

• 2026-06-04 Listed $149,900 NTREIS
• 2023-11-05 Rental Removed $1,160 RENTLY
• 2023-10-28 Listed for Rent $1,160 RENTLY
• 2014-08-25 Sold (MLS) — NTREIS
• 2014-08-02 Listed $42,000 NTREIS

Property tax history

+9.6%/yr

Latest (2025): $1,991 · +10.4% YoY. Source: county tax records.