3070 Louisiana 8

Sicily Island, LA 71368

$173,000D-

4 bd · 3.5 ba · 1,850 sqft · Built 1987 · Other · Active · 123 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,240/mo
• Mortgage (P&I): −$907
• Tax + insurance: −$116
• HOA: −$0
• Vac / Maint / Mgmt: −$260
• Net cashflow: $-44/mo
• Annual: $-523/yr
• Cap rate: 5.99%
• Cash-on-cash: -1.08%
• DSCR: 0.95
• 1% rule: 0.72%
• Cash to close: $48,440

Investor read

• This is a 4-bed/3.5-bath other listed at $173k.
• At list price, monthly cash flow is $-44 ($-523/yr) — negative.
• To cash-flow at today's rent, offer at most $165k (4.4% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $124k (28.3% below list).
• It's been on market 123 days — a 12% lower offer ($152k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $124k (28.3% below list) — sets the bar for 1% rule.
• In year one you build about $6k of equity ($1k loan paydown + $5k appreciation (3.0% local appreciation)).
• Location reads 55/100 on livability (#360 in LA) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A+; Watch: health & safety D, crime F, amenities F.
• Catahoula Parish (rural): math 17% / reading 34% proficiency, ranked #58 of 98 in LA (top 59%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 69% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Jonesville Elementary School (math 17% / reading 22%, grade F, #448 of 646 statewide, top 71%, 259 students, 51% FRL); Block High School (math 2% / reading 27%, grade F, #221 of 265 statewide, top 84%, 218 students, 80% FRL) — zoned schools at 66% FRL track the district average.
• Market conditions: 6 active listings in the ZIP; 60 units permitted in Catahoula Parish in 2024 (0 in 5+ unit buildings).
• Catahoula County population projected at -17% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 2 sale attempts since 14y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• Current owner paid $115k; list at $173k implies a 50% gain — meaningful room to come down on a strong offer.
• At projected returns (3.0% appreciation + 3.0% rent growth), your $48k cash investment doubles in ~7 years — after that, you're playing with house money.
• By year 6, paydown + projected appreciation supports a ~$34k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: severe wind risk, 80% chance of damaging wind over 30y; extreme-heat days projected 7→19/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

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 123 days. Have you received any prior offers? Is the seller open to a 28% 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.
• Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
• 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.