156 Doc Jones Rd

Whitley City, KY 42653

$85,000B-

3 bd · 1.0 ba · 960 sqft · Built 1971 · SingleFamily · Active · 557 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $850/mo
• Mortgage (P&I): −$446
• Tax + insurance: −$68
• HOA: −$0
• Vac / Maint / Mgmt: −$178
• Net cashflow: $158/mo
• Annual: $1,898/yr
• Cap rate: 8.53%
• Cash-on-cash: 7.98%
• DSCR: 1.35
• 1% rule: 1.00%
• Cash to close: $23,800

Investor read

• This is a 3-bed/1.0-bath single-family listed at $85k.
• At list price, monthly cash flow is $158 ($2k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($850 rent vs $85k).
• It's been on market 557 days — a 12% lower offer ($75k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $75k (12.0% below list) — sets the bar for market timing.
• In year one you build about $3k of equity ($588 loan paydown + $2k appreciation (2.9% local appreciation)).
• Location reads 57/100 on livability (#441 in KY) — a working-class tenant base; expect higher turnover. Strengths: crime A+, cost of living A+, housing B; Watch: amenities F, commute F, employment F.
• Mccreary County (rural): math 22% / reading 35% proficiency, ranked #135 of 165 in KY (top 82%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 70% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Whitley City Elementary School (math 12% / reading 21%, grade F, #615 of 676 statewide, top 91%, 551 students, 84% FRL); Mccreary County Middle School (math 22% / reading 38%, grade F, #146 of 217 statewide, top 69%, 605 students, 81% FRL); Mccreary Central High School (math 17% / reading 32%, grade F, #179 of 254 statewide, top 78%, 734 students, 78% FRL).
• Market conditions: 30 active listings in the ZIP; 1 comparable units currently listed for rent nearby.
• McCreary County population projected at -15% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 4 sale attempts since 2y ago; this cycle's ask has dropped $14k (14%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $39k; list at $85k implies a 118% gain — meaningful room to come down on a strong offer.
• At projected returns (2.9% appreciation + 3.0% rent growth), your $24k cash investment doubles in ~5 years — after that, you're playing with house money.

Questions for listing agent

• It's been on market 557 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Built in 1971 — 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 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 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.