114 Meadow Ln Cir

Clinton, MS 39056

$255,500D-

3 bd · 2.0 ba · 2,728 sqft · Built 1968 · SingleFamily · Pending · 168 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,909/mo
• Mortgage (P&I): −$1,340
• Tax + insurance: −$306
• HOA: −$0
• Vac / Maint / Mgmt: −$401
• Net cashflow: $-138/mo
• Annual: $-1,654/yr
• Cap rate: 5.65%
• Cash-on-cash: -2.31%
• DSCR: 0.90
• 1% rule: 0.75%
• Cash to close: $71,540

Investor read

• This is a 3-bed/2.0-bath single-family listed at $256k.
• At list price, monthly cash flow is $-138 ($-2k/yr) — negative.
• To cash-flow at today's rent, offer at most $231k (9.5% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $191k (25.3% below list).
• It's been on market 168 days — a 12% lower offer ($225k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $191k (25.3% 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 $8k of value loss. Plan a longer hold.
• Location reads 69/100 on livability (#49 in MS) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F, health & safety F.
• Clinton Public School District (rural): math 58% / reading 53% proficiency, ranked #4 of 130 in MS (top 3%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Northside Elem (math 58% / reading 56%, grade C+, #37 of 375 statewide, top 10%, 728 students, 100% FRL); Clinton Jr Hi School (math 69% / reading 54%, grade B+, #6 of 179 statewide, top 3%, 871 students, 100% FRL); Clinton High School (math 8% / reading 46%, grade F, #107 of 197 statewide, top 54%, 1,226 students, 100% FRL) — zoned schools average 100% FRL vs 38% district-wide (61 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: Rents falling (-3.7%/yr); 236 active listings in the ZIP; solid renter incomes; 167 units permitted in Hinds County in 2024 (0 in 5+ unit buildings).
• Hinds County population projected to shrink 6% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• Current owner paid $62k; list at $256k implies a 309% gain — meaningful room to come down on a strong offer.
• Climate carrying-cost: moderate flood risk; severe wind risk, 80% chance of damaging wind over 30y; extreme-heat days projected 7→20/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 5.6% vs local median 4.4% in Clinton — meaningfully above typical; check what's discounted (condition, days-on-market, listing class) to confirm the premium yield is real.
• This rent runs 31% of the median local income ($75k/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 168 days. Have you received any prior offers? Is the seller open to a 25% concession, seller financing, or rate buy-down credit?
• Built in 1968 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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.