801 Delhi Dr

Socorro, TX 79927

$249,950B

None bd · None ba · 3,759 sqft · Built 1979 · MultiFamily · Pending · 1 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $5,428/mo
• Mortgage (P&I): −$1,311
• Tax + insurance: −$597
• HOA: −$0
• Vac / Maint / Mgmt: −$1,140
• Net cashflow: $2,381/mo
• Annual: $28,568/yr
• Cap rate: 17.72%
• Cash-on-cash: 40.82%
• DSCR: 2.82
• 1% rule: 2.17%
• Cash to close: $69,986

Investor read

• This is a multifamily listed at $250k.
• At list price, monthly cash flow is $2k ($29k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($5k rent vs $250k).
• Only 1 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-0.9%/yr); year-one equity from $2k of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Location reads 63/100 on livability (#830 in TX) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F, employment F.
• Socorro ISD (urban): math 23% / reading 36% proficiency, ranked #624 of 826 in TX (top 76%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 66% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Campestre El (math 17% / reading 27%, grade F, #3,333 of 4,322 statewide, top 80%, 495 students, 91% FRL); Socorro Middle (math 14% / reading 27%, grade F, #1,407 of 1,662 statewide, top 86%, 540 students, 92% FRL); Socorro H S (math 13% / reading 35%, grade F, #1,333 of 1,632 statewide, top 82%, 2,484 students, 87% FRL) — zoned schools average 90% FRL vs 66% district-wide (24 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: Rents rising fast (+5.3%/yr); 218 active listings in the ZIP; 2,196 units permitted in El Paso County in 2024 (143 in 5+ unit buildings).
• El Paso County population projected at +10% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At projected returns (-0.9% appreciation + 5.3% rent growth), your $70k cash investment doubles in ~3 years — after that, you're playing with house money.
• At $5,428/mo this rent would consume 121% of the median local household income ($54k/yr) (locally 732% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• Built in 1979 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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.
• How much new apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.