240 Palmero St · San Benito, TX 78535

$125,000

4 bd · 1.5 ba · 1,288 sqft · SingleFamily public records · 381 Days on market

Built 1998 0.28 ac lot $97/sqft · 38% below area Est $201k · 38% under

---

Why this score? — see what drove the D+ grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• ARV discount +15.0/15.0
• Cash flow +10.6/30.0
• Appreciation +5.0/10.0
• 1% rule +4.4/10.0
• Livability +3.3/5.0
• DSCR +3.1/10.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Schools +1.6/10.0

Listing remarks MLS

Charming 4 bedroom 1.5 bath home with a 1 car garage. Spacious backyard. Currently has a long term tenant.

Key facts

• Spacious backyard
• 0.28 acre lot
• Garage

Tags

• SPACIOUS BACKYARD

🏷️ Possibly a rental listed for sale. The $125,000 price doesn't fit this home's estimated sale value (~$200,644) and the remarks read like a rental — treat the cards below with caution.

What this means for you Summary

Snapshot

• This is a 4-bed/1.5-bath single-family listed at $125k.

Deal economics

• At list price, monthly cash flow is $-61 ($-728/yr) — negative.
• To cash-flow at today's rent, offer at most $114k (8.6% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $117k (6.0% below list).
• Recommended offer: $110k (12.0% below list) — sets the bar for market timing.
• Cap rate 5.7% vs local median 3.7% in San Benito — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.

Location & tenants

• Location reads 66/100 on livability (#621 in TX) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: crime C-, schools D-, amenities F.
• San Benito CISD (suburban): math 14% / reading 27% proficiency, ranked #782 of 826 in TX (top 95%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 78% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: 7 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 2,326 units permitted in Cameron County in 2024 (503 in 5+ unit buildings).

Forward outlook

• In year one you build about $5k of equity ($864 loan paydown + $4k appreciation (3.0% local appreciation)).
• Cameron County population projected at +3% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At projected returns (3.0% appreciation + 3.0% rent growth), your $35k cash investment doubles in ~7 years — after that, you're playing with house money.
• By year 8, paydown + projected appreciation supports a ~$34k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Negotiation context

• It's been on market 381 days — a 12% lower offer ($110k) is reasonable based on typical stale-listing flexibility.
• 2 sale attempts since 7y ago; this cycle's ask has dropped $15k (11%) from the opening price — seller is motivated, your offer sets the floor, not the list.

Risks & watch-outs

• Watch-outs: property tax is 2.7% of price.
• Climate carrying-cost: severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→26/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $110,000 (12.0% below list)

Questions for the listing agent

1. 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?
2. It's been on market 381 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
3. Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
4. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
5. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
6. Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
7. 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?
8. 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.
9. 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.
10. 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.

Investment metrics

• 1% rule: 0.94% ✗
• Cap rate: 5.71%
• Cash-on-cash: -2.08%
• DSCR: 0.91
• GRM: 8.9

CMA / ARV

• ARV (median comp): $200,644
• List price: $125,000
• Delta: -37.70%
• Verdict: UNDERPRICED
• Comps: 8 within 1.0 mi

Show comp detail 2 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
245 E Cameo Dr	0.47mi	3/2.5 (-1)	1,273 (-1%)	1mo	$245,000	$192	66
141 Empire Dr	0.58mi	3/2.5 (-1)	1,317 (+2%)	11mo	$230,000	$175	51

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

3.0% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: 5.6%
• Equity multiple: 1.32×
• Total profit: $11,288
• Equity at exit: $56,205

10-year hold

• IRR: 8.6%
• Equity multiple: 2.31×
• Total profit: $45,749
• Equity at exit: $86,619

Cash invested: $35,000 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 87 Strongly Landlord-Friendly
• State Texas: 87 Strongly Landlord-Friendly · R+5
• County: — inherits STATE
• City: — inherits STATE

3-day notice; statewide preemption; one of the fastest eviction climates; Travis County (Austin) slightly slower.

Methodology + full state rankings →

ZIP-level market 78535

• Active inventory: 7
• Price-to-rent: 8.9×

Monthly cashflow live

• Estimated rent: $1,174 medium
• Mortgage (P&I): −$656
• Tax from tax record: −$281 /mo · $3,370/yr
• Insurance: −$52
• HOA: −$0
• Vacancy / Maint / Mgmt: −$247
• Net cashflow: $-61

Break-even live

Break-even rent $1,251

Max offer price $114,282

Occupancy floor —

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $31,250
• Closing costs: $3,750
• Reserves months: —
• Total cash needed: —

Rent comps 2 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
1485 E Stenger St San Benito, TX	3.0	1.0	1296	$1,150	$0.89	13d	1	0.06mi
100 Woodford St Unit D San Benito, TX	3.0	2.5	1500	$1,550	$1.03	43d	1	1.33mi

Listing history 19 events

1. 2026-06-18
   days on market $125,000 Active 381 DOM
2. 2026-06-17
   days on market $125,000 Active 380 DOM
3. 2026-06-16
   days on market $125,000 Active 379 DOM
4. 2026-06-15
   days on market $125,000 Active 378 DOM
5. 2026-06-14
   days on market $125,000 Active 376 DOM
6. 2026-06-10
   days on market $125,000 Active 373 DOM
7. 2026-06-09
   days on market $125,000 Active 372 DOM
8. 2026-06-08
   days on market $125,000 Active 371 DOM
9. 2026-06-07
   days on market $125,000 Active 370 DOM
10. 2026-06-03
    days on market $125,000 Active 366 DOM
11. 2026-06-02
    days on market $125,000 Active 365 DOM
12. 2026-06-01
    days on market $125,000 Active 364 DOM
13. 2026-05-31
    days on market $125,000 Active 363 DOM
14. 2026-05-30
    days on market $125,000 Active 362 DOM
15. 2025-10-25
    price $125,000 106-char remark

    Show marketing remark (106 chars)

    Charming 4 bedroom 1.5 bath home with a 1 car garage. Spacious backyard. Currently has a long term tenant.

16. 2025-07-22
    price $130,000 106-char remark

    Show marketing remark (106 chars)

    Charming 4 bedroom 1.5 bath home with a 1 car garage. Spacious backyard. Currently has a long term tenant.

17. 2025-06-03
    listed $140,000 Active 106-char remark

    Show marketing remark (106 chars)

    Charming 4 bedroom 1.5 bath home with a 1 car garage. Spacious backyard. Currently has a long term tenant.

18. 2019-06-27
    listed $125,000
19. 1993-03-01
    soldstatus

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Tax reassessment forecast TX · Resets to sale price

• Current annual tax: $3,370 · $281/mo
• Projected year-2 tax: $3,370 · $281/mo
• Expected delta: $0/yr ($0/mo · 0.0%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

• 🌊 Flood 4/10 Moderate FEMA zone X (unshaded) · 20% chance over 30 yrs
• 🔥 Wildfire 4/10 Moderate
• 🌡 Heat 9/10 Extreme 7 d/yr ≥110°F today · 26 d/yr by 30 yrs out
• 💨 Wind 9/10 Extreme 99% chance of damaging wind over 30 yrs
• 🫁 Air quality 2/10 Low 1 unhealthy d/yr today · 1 by 30 yrs out

Taxation est. · year 1

• Rental income: $14,093
• − Mortgage interest: −$7,002
• − Property taxes: −$3,370
• − Insurance: −$625
• − Repairs & maintenance: −$1,127
• − Management: −$1,127
• − Depreciation: −$3,636
• Taxable loss: −$2,796
• Est. tax savings @ 24.0%: +$671
• After-tax cash flow: $-57/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Schools (NCES district)

• District: San Benito CISD
• NCES district ID: 4838790
• Math proficiency: 14% ▼ -31.00%
• Reading proficiency: 27% ▼ -10.00%
• Median HH income: $29,403
• Composite: 16.31/100
• National rank: #9212
• State rank: #782 of 826 in TX

Livability — San Benito

• Score: 66/100
• State rank: #621
• US rank: #11846

Category grades

Amenities F Commute F Cost of living A+ Crime C- Employment F Housing A+ Health & safety B- User ratings A

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: San Benito, TX
• Population (ZIP): 435

Population outlook (Cameron County) Hauer SSP2

• Today (2025): 441,603 people
• By 2030: 448,113 · +1.5%
• By 2040: 456,385 · +3.3%
• By 2050: 456,294 · +3.3%
• By 2075: 423,851 · -4.0%
• By 2100: 342,787 · -22.4%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly Hispanic (74%)
• Race & ethnicity: Hispanic / Latino 74% Two or more races 33% White 26%
• Hispanic origin (detail): Mexican 74%
• Common ancestry: Lithuanian 5%
• Foreign-born: 25% · Canada
• Languages at home: 32% English-only · Spanish 68%

Political lean MEDSL · Cameron

• 2024 margin: Lean R (+5.8) · D 46.7% · R 52.5%
• 2008→2024 swing: -34.6pp toward R · 2008: 28.8pp · 2024: -5.8pp
• All cycles: 2024: R+5.8 2020: D+13.2 2016: D+32.5 2012: D+32.4 2008: D+28.8

Not yet ingested

• Civics: —

Market trends

• HPI YoY: —
• Current HPI: —
• Rent YoY: —
• Metro: —
• State GDP YoY: ▲ 3.95%
• F500 in state: 110

Industry mix (Fortune 500 HQ in TX)

Industry	F500 HQs	Revenue
▸Energy	16	$1,198B
▸Technology	5	$198B
▸Engineering / Construction	4	$72B
▸Energy Services	3	$60B
▸Utilities	3	$41B
▸Healthcare	2	$330B

Price history

+0.0% since first listed

5 events — show timeline

• 2025-10-25 Price Changed $125,000 RGVMLS
• 2025-07-22 Price Changed $130,000 RGVMLS
• 2025-06-03 Listed $140,000 RGVMLS
• 2019-06-27 Listed $125,000 RGVMLS
• 1993-03-01 Sold (Public Records) — Public Records

Property tax history

+6.7%/yr

Latest (2025): $3,370 · -0.0% YoY. Source: county tax records.