5306 Madison Hwy

Clyattville, GA 31601

$167,000D

3 bd · 1.0 ba · 1,366 sqft · Built 1977 · SingleFamily · Active · 338 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,257/mo
• Mortgage (P&I): −$876
• Tax + insurance: −$117
• HOA: −$0
• Vac / Maint / Mgmt: −$264
• Net cashflow: $-0/mo
• Annual: $-6/yr
• Cap rate: 6.29%
• Cash-on-cash: -0.01%
• DSCR: 1.00
• 1% rule: 0.75%
• Cash to close: $46,760

Investor read

• This is a 3-bed/1.0-bath single-family listed at $167k.
• At list price, monthly cash flow is $0 ($-6/yr) — negative.
• To cash-flow at today's rent, offer at most $167k (0.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $126k (24.8% below list).
• It's been on market 338 days — a 12% lower offer ($147k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $126k (24.8% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $5k of value loss. Plan a longer hold.
• Location reads: area grade D — affects rentability + tenant quality, not the cash-flow math above.
• Lowndes County (rural): math 59% / reading 52% proficiency, ranked #8 of 174 in GA (top 5%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Clyattville Elementary School (math 55% / reading 39%, grade D-, #301 of 1,228 statewide, top 25%, 618 students, 76% FRL); Lowndes Middle School (math 39% / reading 45%, grade D-, #126 of 470 statewide, top 28%, 840 students, 72% FRL); Lowndes High School (math 69% / reading 51%, grade C+, #14 of 424 statewide, top 3%, 3,201 students, 39% FRL) — zoned schools average 62% FRL vs 42% district-wide (20 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: Rents rising fast (+8.3%/yr); 201 active listings in the ZIP; lower-income renter base — watch delinquency; 896 units permitted in Lowndes County in 2024 (0 in 5+ unit buildings).
• Lowndes County population projected at +10% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• 5 sale attempts since 8y ago; this cycle's ask has dropped $22k (12%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $35k; list at $167k implies a 377% gain — meaningful room to come down on a strong offer.
• Climate carrying-cost: severe wind risk, 99% chance of damaging wind over 30y; severe wildfire risk; extreme-heat days projected 7→20/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• This rent runs 42% of the median local income ($36k/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 338 days. Have you received any prior offers? Is the seller open to a 25% concession, seller financing, or rate buy-down credit?
• Built in 1977 — 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.
• 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.