706 Morris · Houston, TX 77009

$450,000

6 bd · 6.0 ba · — sqft · Land · 181 Days on market

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Why this score? — see what drove the B- 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 +30.0/30.0
• DSCR +10.0/10.0
• 1% rule +8.5/10.0
• ARV discount +7.5/15.0
• Livability +3.7/5.0
• Rent growth +2.7/5.0
• Schools +2.7/10.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks MLS

Excellent opportunity to build in a great LOCATION, Investors, Custom/Home Builders, Developers. This coveted Inner Loop area is Developing Quickly! Its a cleared lot . Ready to build, utility lines are available. Surrounded by numerous remodels and new construction. Commuting is made easy with convenient access to the METRORail and major Houston highways including the I-10, 610 Loop, and I-45.

Key facts

• Natural light
• Major highways
• Listed 181 days

Tags

• HISTORIC ALLEN SUBDIVISION
• THOUGHTFULLY DESIGNED LAYOUT
• NATURAL LIGHT
• MINUTES FROM DOWNTOWN HOUSTON
• MAJOR HIGHWAYS
• LOCAL DINING AND SHOPPING

Property features AI

Finance

• Other: Tax information available
• Financial info: Property configured as 2 total units (multifamily)

Exterior

• Utilities: Has heating; Has cooling
• Home design: Residential income property; New construction by Lighthill Development, LLC
• Construction: Under construction

Interior

• Bedrooms: One unit with 2 bedrooms; One unit with 1 bedroom
• Bathrooms: Three full bathrooms (total)
• Heating & cooling: Central heating (electric and gas); Central cooling (electric and gas)
• Interior features: Under construction residential income property; 3 full bathrooms

🏗️ New construction. Builder plan / spec listing (the home may be to-be-built); metrics use comparable previous sales.

What this means for you Summary

Snapshot

• This is a 6-bed/6.0-bath land listed at $450k.

Deal economics

• At list price, monthly cash flow is $2k ($25k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($6k rent vs $450k).
• Recommended offer: $396k (12.0% below list) — sets the bar for market timing.
• Cap rate 11.9% vs local median 3.1% in Houston — 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 74/100 on livability (#184 in TX, #4,771 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, cost of living A+, housing A+; Watch: crime F.
• Houston ISD (urban): math 27% / reading 35% proficiency, ranked #593 of 826 in TX (top 72%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 71% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Marshall Middle (math 14% / reading 22%, grade F, #1,491 of 1,662 statewide, top 91%, 607 students, 97% FRL); Northside H S (math 15% / reading 26%, grade F, #1,389 of 1,632 statewide, top 86%, 1,168 students, 94% FRL) — zoned schools average 95% FRL vs 71% district-wide (24 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: Rents flat; 604 active listings in the ZIP; 3 comparable units currently listed for rent nearby; rentals at typical pace (median 19d on market — plan ~3-4 weeks tenant-placement turnaround); solid renter incomes; 29,883 units permitted in Harris County in 2024 (8,621 in 5+ unit buildings).
• At $6,087/mo this rent would consume 88% of the median local household income ($83k/yr) (locally 994% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $3k of loan paydown is wiped out by about $14k of value loss. Plan a longer hold.
• Harris County population projected at +47% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• At projected returns (-3.0% appreciation + 0.8% rent growth), your $126k cash investment doubles in ~8 years — after that, you're playing with house money.

Negotiation context

• It's been on market 181 days — a 12% lower offer ($396k) is reasonable based on typical stale-listing flexibility.
• 8 sale attempts since 7y 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

• Climate carrying-cost: severe wind risk, 99% 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.

Recommended offer $396,000 (12.0% below list)

Questions for the listing agent

1. It's been on market 181 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
2. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
3. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
4. Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
5. 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?
6. 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.
7. 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.
8. 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: 1.35% ✓
• Cap rate: 11.87%
• Cash-on-cash: 19.93%
• DSCR: 1.89
• GRM: 6.2

CMA / ARV

No comps found within radius.

Projected returns pro-forma

-3.0% appreciation · 0.84% rent growth · sell at horizon

5-year hold

• IRR: 9.7%
• Equity multiple: 1.38×
• Total profit: $47,253
• Equity at exit: $67,096

10-year hold

• IRR: 17.1%
• Equity multiple: 2.28×
• Total profit: $161,259
• Equity at exit: $38,908

Cash invested: $126,000 (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 77009

• Rents YoY: 0.8%
• Active inventory: 604
• Price-to-rent: 6.2×

Monthly cashflow live

• Estimated rent: $6,087 medium
• Mortgage (P&I): −$2,360
• Tax from tax record: −$169 /mo · $2,028/yr
• Insurance: −$188
• HOA: −$0
• Vacancy / Maint / Mgmt: −$1,278
• Net cashflow: $2,093

Break-even live

Break-even rent $3,438

Max offer price $450,000

Occupancy floor 61%

Sensitivity live

Price	-10% $2,347	-5% $2,220	+0% $2,093	+5% $1,965	+10% $1,838
Rent	-10% $1,612	-5% $1,852	+0% $2,093	+5% $2,333	+10% $2,573
Rate	-1.0pp $2,319	-0.5pp $2,207	base $2,093	+0.5pp $1,976	+1.0pp $1,857

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: $112,500
• Closing costs: $13,500
• Reserves months: —
• Total cash needed: —

Rent comps 3 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
1916 Hardy St Houston, TX	6.0	6.0	—	$9,500	—	44d	1	0.74mi
1914 Shearn St Houston, TX	5.0	3.0	—	$4,200	—	16d	1	1.02mi
603 Archer St Houston, TX	5.0	3.5	—	$7,995	—	19d	1	1.20mi

Listing history 25 events

1. 2026-05-08
   status Pending
2. 2026-05-03
   status Pending
3. 2026-04-01
   status Active
4. 2026-03-17
   historical Active Under Contract
5. 2026-02-06
   status Active
6. 2025-11-07
   historical Active Under Contract
7. 2025-11-07
   listed $450,000 Active
8. 2024-07-31
   soldstatus Sold 398-char remark

   Show marketing remark (398 chars)

   Excellent opportunity to build in a great LOCATION, Investors, Custom/Home Builders, Developers. This coveted Inner Loop area is Developing Quickly! Its a cleared lot . Ready to build, utility lines are available. Surrounded by numerous remodels and new construction. Commuting is made easy with convenient access to the METRORail and major Houston highways including the I-10, 610 Loop, and I-45.

9. 2024-07-24
   status Pending 398-char remark

   Show marketing remark (398 chars)

   Excellent opportunity to build in a great LOCATION, Investors, Custom/Home Builders, Developers. This coveted Inner Loop area is Developing Quickly! Its a cleared lot . Ready to build, utility lines are available. Surrounded by numerous remodels and new construction. Commuting is made easy with convenient access to the METRORail and major Houston highways including the I-10, 610 Loop, and I-45.

10. 2024-06-21
    price $127,888 398-char remark

    Show marketing remark (398 chars)

    Excellent opportunity to build in a great LOCATION, Investors, Custom/Home Builders, Developers. This coveted Inner Loop area is Developing Quickly! Its a cleared lot . Ready to build, utility lines are available. Surrounded by numerous remodels and new construction. Commuting is made easy with convenient access to the METRORail and major Houston highways including the I-10, 610 Loop, and I-45.

11. 2024-05-24
    price $132,500 398-char remark

    Show marketing remark (398 chars)

    Excellent opportunity to build in a great LOCATION, Investors, Custom/Home Builders, Developers. This coveted Inner Loop area is Developing Quickly! Its a cleared lot . Ready to build, utility lines are available. Surrounded by numerous remodels and new construction. Commuting is made easy with convenient access to the METRORail and major Houston highways including the I-10, 610 Loop, and I-45.

12. 2024-05-06
    listed $137,000 Active 398-char remark

    Show marketing remark (398 chars)

    Excellent opportunity to build in a great LOCATION, Investors, Custom/Home Builders, Developers. This coveted Inner Loop area is Developing Quickly! Its a cleared lot . Ready to build, utility lines are available. Surrounded by numerous remodels and new construction. Commuting is made easy with convenient access to the METRORail and major Houston highways including the I-10, 610 Loop, and I-45.

13. 2023-04-01
    status Pending
14. 2023-04-01
    historical
15. 2023-03-30
    status Active
16. 2023-03-28
    status Pending, Continue to Show
17. 2023-03-24
    status Pending
18. 2023-03-15
    listed $127,888 Active
19. 2020-07-23
    soldstatus
20. 2019-01-17
    historical
21. 2019-01-12
    price $137,500
22. 2019-01-10
    historical
23. 2019-01-10
    listed $156,500 Active
24. 2019-01-01
    listed $156,500 Active
25. 1988-01-02
    soldstatus

ⓘ 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: $2,028 · $169/mo
• Projected year-2 tax: $8,235 · $686/mo
• Expected delta: +$6,207/yr (+$517/mo · 306.1%)

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

Climate risk First Street

• 🌊 Flood 3/10 Moderate FEMA zone X (unshaded) · 20% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 9/10 Extreme 7 d/yr ≥109°F today · 24 d/yr by 30 yrs out
• 💨 Wind 9/10 Extreme 99% chance of damaging wind over 30 yrs
• 🫁 Air quality 3/10 Moderate 2 unhealthy d/yr today · 3 by 30 yrs out

Taxation est. · year 1

• Rental income: $73,046
• − Mortgage interest: −$25,207
• − Property taxes: −$2,028
• − Insurance: −$2,250
• − Repairs & maintenance: −$5,844
• − Management: −$5,844
• − Depreciation: −$13,091
• Taxable income: $18,783
• Est. tax owed @ 24.0%: −$4,508
• After-tax cash flow: $20,602/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: Houston ISD
• NCES district ID: 4823640
• Math proficiency: 27% ▼ -18.00%
• Reading proficiency: 35% ▼ -6.00%
• Median HH income: $46,054
• Composite: 26.63/100
• National rank: #7173
• State rank: #593 of 826 in TX

Livability — Houston

• Score: 74/100
• State rank: #184
• US rank: #4771

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Houston, TX
• County: Harris County · 4,702,590 people
• City population: 3,226,434
• Metro: Houston-The Woodlands-Sugar Land, TX
• Population (ZIP): 35,769
• Household income: $83,148
• Rent vs Own: 42.4% rent · 57.6% own
• Severe rent burden: 994.0

Population outlook (Harris County) Hauer SSP2

• Today (2025): 5,571,493 people
• By 2030: 6,089,821 · +9.3%
• By 2040: 7,142,806 · +28.2%
• By 2050: 8,185,864 · +46.9%
• By 2075: 10,574,329 · +89.8%
• By 2100: 12,109,958 · +117.4%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Diverse neighborhood (Simpson 0.60)
• Race & ethnicity: Hispanic / Latino 53% White 33% Two or more races 22% Black 8% Asian 3%
• Hispanic origin (detail): Mexican 46%
• Common ancestry: Italian 2% Lithuanian 2% Slovak 1%
• Foreign-born: 20% · Canada
• Languages at home: 55% English-only · Spanish 40% Other Indo-European 2% Other Asian/Pacific 1%

Political lean MEDSL · Harris

• 2024 margin: Lean D (+5.5) · D 52.0% · R 46.4% · Other 1.6%
• 2008→2024 swing: +3.9pp toward D · 2008: 1.6pp · 2024: 5.5pp
• All cycles: 2024: D+5.5 2020: D+13.3 2016: D+12.4 2012: D+0.1 2008: D+1.6

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -533.57%
• Current HPI: 219.5037
• Rent YoY: ▲ 0.84%
• Metro: Houston-The Woodlands-Sugar Land, 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

+187.5% since first listed

25 events — show timeline

• 2026-05-08 Pending — HARMLS
• 2026-05-03 Pending — HARMLS
• 2026-04-01 Relisted — HARMLS
• 2026-03-17 Contingent — HARMLS
• 2026-02-06 Relisted — HARMLS
• 2025-11-07 Contingent — HARMLS
• 2025-11-07 Listed $450,000 HARMLS
• 2024-07-31 Sold (MLS) — HARMLS
• 2024-07-24 Pending — HARMLS
• 2024-06-21 Price Changed $127,888 HARMLS
• 2024-05-24 Price Changed $132,500 HARMLS
• 2024-05-06 Listed $137,000 HARMLS
• 2023-04-01 Pending — HARMLS
• 2023-04-01 Listing Removed — HARMLS
• 2023-03-30 Relisted — HARMLS
• 2023-03-28 Pending — HARMLS
• 2023-03-24 Pending — HARMLS
• 2023-03-15 Listed $127,888 HARMLS
• 2020-07-23 Sold (Public Records) — Public Records
• 2019-01-17 Listing Removed — HARMLS
• 2019-01-12 Price Changed $137,500 HARMLS
• 2019-01-10 Listed $156,500 HARMLS
• 2019-01-10 Listing Removed — HARMLS
• 2019-01-01 Listed $156,500 HARMLS
• 1988-01-02 Sold (Public Records) — Public Records

Property tax history

+5.4%/yr

Latest (2025): $2,028 · +1.6% YoY. Source: county tax records.