Odessa Plan

Pearland, TX 77581

$80,900D-

3 bd · 2.0 ba · 1,064 sqft · Built — · Manufactured · Active · 338 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,998/mo
• Mortgage (P&I): −$787
• Tax + insurance: −$250
• HOA: −$850
• Vac / Maint / Mgmt: −$420
• Net cashflow: $-308/mo
• Annual: $-3,701/yr
• Cap rate: 3.83%
• Cash-on-cash: -8.81%
• DSCR: 0.61
• 1% rule: 1.33%
• Cash to close: $42,000

Investor read

• This is a 3-bed/2.0-bath manufactured listed at $81k. Condition is rated poor.
• At list price, monthly cash flow is $-308 ($-4k/yr) — negative.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $81k).
• It's been on market 338 days — a 12% lower offer ($71k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $71k (12.0% below list) — sets the bar for market timing.
• 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.
• Location reads 81/100 on livability (#32 in TX, #1,539 nationally) — a professional / high-income tenant draw. Strengths: schools A+, employment A+, housing A+; Watch: amenities D-, commute F.
• Pearland ISD (suburban): math 58% / reading 59% proficiency, ranked #47 of 826 in TX (top 6%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Watch-outs: property tax is 2.8% of price; HOA is 43% of rent.
• Market conditions: Rents rising (+2.9%/yr); 319 active listings in the ZIP; 1 comparable units currently listed for rent nearby; high-income renter base; 3,960 units permitted in Brazoria County in 2024 (593 in 5+ unit buildings).
• Brazoria County population projected at +44% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 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.
• Cap rate 3.8% vs local median 3.0% in Pearland — meaningfully above typical; check what's discounted (condition, days-on-market, listing class) to confirm the premium yield is real.

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 12% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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 A-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?

Repairs flagged (vision-AI assessment)

• Major: basketball court — The basketball court appears to be a separate structure and is not part of the home's interior or exterior. It is not clear if it is part of the property or not.
• Major: fence — The fence surrounding the basketball court appears to be in poor condition and may need repair or replacement.
• Major: landscaping — The landscaping around the basketball court appears to be overgrown and in need of maintenance.
• Major: foundation/structure — The foundation and structure of the home are not visible, but the basketball court and fence suggest the property may be on a manufactured home lot, which often requires regular maintenance and potential repairs to the foundation and structure.