432 Andrews Ave

Hartsville/Trousdale County, TN 37074

$216,500D-

3 bd · 2.0 ba · 1,248 sqft · Built 2004 · Other · Active · 131 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,236/mo
• Mortgage (P&I): −$1,135
• Tax + insurance: −$131
• HOA: −$0
• Vac / Maint / Mgmt: −$260
• Net cashflow: $-289/mo
• Annual: $-3,474/yr
• Cap rate: 4.69%
• Cash-on-cash: -5.73%
• DSCR: 0.75
• 1% rule: 0.57%
• Cash to close: $60,620

Investor read

• This is a 3-bed/2.0-bath other listed at $216k.
• At list price, monthly cash flow is $-289 ($-3k/yr) — negative.
• To cash-flow at today's rent, offer at most $165k (23.6% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $124k (42.9% below list).
• It's been on market 131 days — a 12% lower offer ($191k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $124k (42.9% below list) — sets the bar for 1% rule.
• In year one you build about $23k of equity ($1k loan paydown + $22k appreciation (10.0% local appreciation)).
• Location reads: area grade D — affects rentability + tenant quality, not the cash-flow math above.
• Trousdale County (rural): math 29% / reading 33% proficiency, ranked #46 of 139 in TN (top 33%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: 87 active listings in the ZIP; 3 comparable units currently listed for rent nearby; rentals leasing fast (median 8d on market — plan ~1-2 weeks tenant-placement turnaround); 112 units permitted in Trousdale County in 2024 (0 in 5+ unit buildings).
• Trousdale County population projected at +8% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• By year 2, paydown + projected appreciation supports a ~$37k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: extreme-heat days projected 7→20/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 4.7% vs local median 2.4% in Hartsville/Trousdale County — 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.

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 131 days. Have you received any prior offers? Is the seller open to a 43% 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.
• 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.
• 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.