Carter Plan

Duson, LA 70529

$226,500F

4 bd · 2.0 ba · 1,598 sqft · Built — · SingleFamily · Active · 212 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,282/mo
• Mortgage (P&I): −$1,243
• Tax + insurance: −$395
• HOA: −$0
• Vac / Maint / Mgmt: −$269
• Net cashflow: $-625/mo
• Annual: $-7,498/yr
• Cap rate: 3.13%
• Cash-on-cash: -11.30%
• DSCR: 0.50
• 1% rule: 0.54%
• Cash to close: $66,365

Investor read

• This is a 4-bed/2.0-bath single-family listed at $226k. Condition is rated good.
• At list price, monthly cash flow is $-625 ($-7k/yr) — negative.
• To cash-flow at today's rent, offer at most $147k (35.3% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $128k (43.4% below list).
• It's been on market 212 days — a 12% lower offer ($199k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $128k (43.4% 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 66/100 on livability (#134 in LA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety B+; Watch: amenities F, commute F, employment F.
• Lafayette Parish (urban): math 38% / reading 46% proficiency, ranked #19 of 98 in LA (top 19%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: J. Wallace James Elementary School (math 46% / reading 49%, grade D, #147 of 646 statewide, top 23%, 939 students, 64% FRL); Judice Middle School (math 26% / reading 36%, grade F, #110 of 218 statewide, top 51%, 463 students, 61% FRL); Acadiana High School (math 31% / reading 29%, grade F, #125 of 265 statewide, top 47%, 1,813 students, 56% FRL) — zoned schools at 60% FRL track the district average.
• Market conditions: 243 active listings in the ZIP; 1,585 units permitted in Lafayette Parish in 2024 (10 in 5+ unit buildings).
• Lafayette County population projected at +34% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• Cap rate 3.1% vs local median 5.0% in Duson — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.

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 212 days. Have you received any prior offers? Is the seller open to a 43% concession, seller financing, or rate buy-down credit?
• 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.
• 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.