205 James St

York, AL 36925

$80,000C+

3 bd · 1.0 ba · 1,778 sqft · Built 1960 · SingleFamily · Pending · 323 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,122/mo
• Mortgage (P&I): −$420
• Tax + insurance: −$127
• HOA: −$0
• Vac / Maint / Mgmt: −$236
• Net cashflow: $340/mo
• Annual: $4,078/yr
• Cap rate: 12.39%
• Cash-on-cash: 21.77%
• DSCR: 1.97
• 1% rule: 1.40%
• Cash to close: $22,400

Investor read

• This is a 3-bed/1.0-bath single-family listed at $80k.
• At list price, monthly cash flow is $340 ($4k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $80k).
• It's been on market 323 days — a 12% lower offer ($70k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $70k (12.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $553 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Location reads 55/100 on livability (#429 in AL) — a working-class tenant base; expect higher turnover. Strengths: crime A+, cost of living A+; Watch: amenities F, commute F, employment F.
• Sumter County (rural): math 2% / reading 18% proficiency, ranked #124 of 129 in AL (top 96%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 93% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: York West End Junior High School (math 2% / reading 22%, grade F, #536 of 627 statewide, top 88%, 187 students, 90% FRL); Sumter Central High School (math 2% / reading 2%, grade F, #291 of 305 statewide, top 100%, 301 students, 95% FRL) — zoned schools at 93% FRL track the district average.
• Watch-outs: flood insurance adds $66/mo.
• Market conditions: 10 active listings in the ZIP; 4 units permitted in Sumter County in 2024 (0 in 5+ unit buildings).
• Sumter County population projected at -11% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 3 sale attempts; this cycle's ask has dropped $49k (38%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $22k cash investment doubles in ~7 years — after that, you're playing with house money.
• Climate carrying-cost: severe flood risk; severe wind risk, 80% chance of damaging wind over 30y; extreme-heat days projected 7→21/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• It's been on market 323 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Built in 1960 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
• 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?
• 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.