8659 Fm 115

Scroggins, TX 75480

$252,900A-

3 bd · 1.0 ba · 1,548 sqft · Built 1985 · SingleFamily · Active · 11 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,450/mo
• Mortgage (P&I): −$1,326
• Tax + insurance: −$270
• HOA: −$0
• Vac / Maint / Mgmt: −$724
• Net cashflow: $1,129/mo
• Annual: $13,547/yr
• Cap rate: 11.65%
• Cash-on-cash: 19.13%
• DSCR: 1.85
• 1% rule: 1.36%
• Cash to close: $70,812

Investor read

• This is a 3-bed/1.0-bath single-family listed at $253k. Condition is rated fair.
• At list price, monthly cash flow is $1k ($14k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($3k rent vs $253k).
• Only 11 days on market — expect competitive offers; lowballing is unlikely to land.
• In year one you build about $15k of equity ($2k loan paydown + $13k appreciation (5.1% local appreciation)).
• Location reads: area grade A — affects rentability + tenant quality, not the cash-flow math above.
• Mount Vernon ISD (town): math 49% / reading 43% proficiency, ranked #251 of 826 in TX (top 30%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Mt Vernon El (math 47% / reading 40%, grade F, #1,269 of 4,322 statewide, top 30%, 610 students, 70% FRL); Mt Vernon Middle (math 52% / reading 43%, grade C-, #408 of 1,662 statewide, top 25%, 472 students, 72% FRL); Mt Vernon H S (math 42% / reading 52%, grade D-, #591 of 1,632 statewide, top 38%, 489 students, 63% FRL) — zoned schools average 68% FRL vs 52% district-wide (17 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 137 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 7 units permitted in Franklin County in 2024 (0 in 5+ unit buildings).
• 2 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.
• At projected returns (5.1% appreciation + 3.0% rent growth), your $71k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 3, paydown + projected appreciation supports a ~$36k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wind risk, 27% chance of damaging wind over 30y; extreme-heat days projected 7→24/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 11.6% vs local median 1.0% in Scroggins — 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.
• At $3,450/mo this rent would consume 58% of the median local household income ($71k/yr) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• 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.
• 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: roof — Significant wear and tear
• Major: exterior siding — Weathered and peeling
• Major: paint — Peeling and uneven