111 Guffey Ln

Jamestown, TN 38556

$1F

4 bd · 1.0 ba · 2,052 sqft · Built 1971 · SingleFamily · Active · 306 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,593/mo
• Mortgage (P&I): −$1,756
• Tax + insurance: −$558
• HOA: −$0
• Vac / Maint / Mgmt: −$335
• Net cashflow: $-1,055/mo
• Annual: $-12,661/yr
• Cap rate: 2.51%
• Cash-on-cash: -13.50%
• DSCR: 0.40
• 1% rule: 0.48%
• Cash to close: $93,749

Investor read

• This is a 4-bed/1.0-bath single-family listed at $1.
• At list price, monthly cash flow is $-1k ($-13k/yr) — negative.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $1).
• It's been on market 306 days — a 12% lower offer ($0) is reasonable based on typical stale-listing flexibility.
• In year one you build about $36k of equity ($2k loan paydown + $33k appreciation (10.0% local appreciation)).
• Location reads 61/100 on livability (#250 in TN) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A+; Watch: housing D, schools F, crime F.
• Fentress County (rural): math 24% / reading 27% proficiency, ranked #91 of 139 in TN (top 66%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 65% free/reduced lunch — lower-income household profile, screen leases tightly.
• Watch-outs: property tax is 502224.1% of price.
• Market conditions: 325 active listings in the ZIP.
• Fentress County population projected at -19% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 7 sale attempts since 7y ago; this cycle's ask has dropped $310k (100%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• By year 2, paydown + projected appreciation supports a ~$58k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: moderate wildfire risk — expect insurance premiums to compound above CPI over the hold.
• Cap rate 2.5% vs local median 4.6% in Jamestown — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.

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 306 days. Have you received any prior offers? Is the seller open to a 5% concession, seller financing, or rate buy-down credit?
• Built in 1971 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
• 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?
• 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?