Camellia V G Plan

Gulf Hills, MS 39564

$328,990F

4 bd · 2.0 ba · 2,204 sqft · Built — · SingleFamily · Active · 145 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,332/mo
• Mortgage (P&I): −$1,734
• Tax + insurance: −$551
• HOA: −$0
• Vac / Maint / Mgmt: −$490
• Net cashflow: $-442/mo
• Annual: $-5,307/yr
• Cap rate: 4.69%
• Cash-on-cash: -5.73%
• DSCR: 0.74
• 1% rule: 0.71%
• Cash to close: $92,576

Investor read

• This is a 4-bed/2.0-bath single-family listed at $329k. Condition is rated good.
• At list price, monthly cash flow is $-442 ($-5k/yr) — negative.
• To cash-flow at today's rent, offer at most $267k (19.0% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $233k (29.1% below list).
• It's been on market 145 days — a 12% lower offer ($290k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $233k (29.1% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $10k of value loss. Plan a longer hold.
• Location reads 71/100 on livability (#38 in MS) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: employment D+, amenities F, commute F.
• Jackson County School District (rural): math 53% / reading 48% proficiency, ranked #10 of 130 in MS (top 8%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: St Martin East Elementary School (math 67% / reading 57%, grade B, #18 of 375 statewide, top 5%, 685 students, 100% FRL); St. Martin Middle School (math 44% / reading 39%, grade F, #53 of 179 statewide, top 30%, 995 students, 100% FRL); St Martin High School (math 65% / reading 49%, grade C, #8 of 197 statewide, top 4%, 1,283 students, 100% FRL) — zoned schools average 100% FRL vs 50% district-wide (50 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: Rents rising (+1.3%/yr); 892 active listings in the ZIP; 1 comparable units currently listed for rent nearby; solid renter incomes; 516 units permitted in Jackson County in 2024 (6 in 5+ unit buildings).
• This rent runs 36% of the median local income ($79k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Questions for listing agent

• What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
• It's been on market 145 days. Have you received any prior offers? Is the seller open to a 29% concession, seller financing, or rate buy-down credit?
• 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?
• The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?
• 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.