Winton II H Plan

Denham Springs, LA 70726

$233,990D-

4 bd · 2.0 ba · 1,516 sqft · Built — · SingleFamily · Active · 486 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,967/mo
• Mortgage (P&I): −$1,301
• Tax + insurance: −$413
• HOA: −$0
• Vac / Maint / Mgmt: −$413
• Net cashflow: $-160/mo
• Annual: $-1,922/yr
• Cap rate: 5.52%
• Cash-on-cash: -2.77%
• DSCR: 0.88
• 1% rule: 0.79%
• Cash to close: $69,451

Investor read

• This is a 4-bed/2.0-bath single-family listed at $234k. Condition is rated poor.
• At list price, monthly cash flow is $-160 ($-2k/yr) — negative.
• To cash-flow at today's rent, offer at most $225k (3.9% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $197k (15.9% below list).
• It's been on market 486 days — a 12% lower offer ($206k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $197k (15.9% 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 $7k of value loss. Plan a longer hold.
• Location reads 74/100 on livability (#29 in LA, #4,939 nationally) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: crime C-, amenities F, commute F.
• Livingston Parish (suburban): math 40% / reading 52% proficiency, ranked #13 of 98 in LA (top 13%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: Rents rising (+3.8%/yr); 985 active listings in the ZIP; 4 comparable units currently listed for rent nearby; rentals at typical pace (median 17d on market — plan ~3-4 weeks tenant-placement turnaround); solid renter incomes; 794 units permitted in Livingston Parish in 2024 (99 in 5+ unit buildings).
• Livingston County population projected at +27% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• Cap rate 5.5% vs local median 4.0% in Denham Springs — 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.
• This rent runs 30% 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 486 days. Have you received any prior offers? Is the seller open to a 16% 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?
• 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 B-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?
• 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.

Repairs flagged (vision-AI assessment)

• Major: exterior siding — The siding appears to be peeling and in need of replacement.
• Major: roof — The roof appears to be in poor condition and may need to be replaced.
• Major: flooring — The flooring appears to be in poor condition and may need to be replaced.
• Major: interior walls/paint — The interior walls and paint appear to be in poor condition and may need to be repainted.
• Major: HVAC/mechanicals — The HVAC and mechanical systems appear to be in poor condition and may need to be replaced or repaired.
• Major: landscaping — The landscaping appears to be in poor condition and may need to be replaced or reworked.