12 Eldorado Dr

Lambert, MS 38643

$31,820B

3 bd · 1.0 ba · 1,041 sqft · Built 1974 · SingleFamily · Pending · 21 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $958/mo
• Mortgage (P&I): −$167
• Tax + insurance: −$145
• HOA: −$0
• Vac / Maint / Mgmt: −$201
• Net cashflow: $445/mo
• Annual: $5,345/yr
• Cap rate: 23.09%
• Cash-on-cash: 59.99%
• DSCR: 3.67
• 1% rule: 3.01%
• Cash to close: $8,910

Investor read

• This is a 3-bed/1.0-bath single-family listed at $32k.
• At list price, monthly cash flow is $445 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($958 rent vs $32k).
• It's been on market 21 days — a 2% lower offer ($31k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $31k (1.5% below list) — sets the bar for market timing.
• In year one you build about $1k of equity ($220 loan paydown + $955 appreciation (3.0% local appreciation)).
• Location reads 55/100 on livability (#311 in MS) — a working-class tenant base; expect higher turnover. Strengths: crime A+, cost of living A+, housing A; Watch: health & safety D+, amenities F, commute F.
• Quitman County School District (town): math 16% / reading 20% proficiency, ranked #98 of 130 in MS (top 75%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 98% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Quitman County Elementary School (math 27% / reading 22%, grade F, #221 of 375 statewide, top 60%, 365 students, 100% FRL); Quitman County Middle School (math 12% / reading 19%, grade F, #132 of 179 statewide, top 74%, 272 students, 100% FRL); M. S. Palmer High School (math 15% / reading 15%, grade F, #148 of 197 statewide, top 76%, 215 students, 100% FRL) — zoned schools at 100% FRL track the district average.
• Watch-outs: property tax is 5.0% of price.
• Market conditions: 5 active listings in the ZIP; 2 units permitted in Quitman County in 2024 (0 in 5+ unit buildings).
• Quitman County population projected at -35% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 2 sale attempts 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.
• At projected returns (3.0% appreciation + 3.0% rent growth), your $9k cash investment doubles in ~2 years — after that, you're playing with house money.
• Climate carrying-cost: major flood risk; major wind risk, 27% chance of damaging wind over 30y; extreme-heat days projected 7→20/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• Built in 1974 — 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?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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?
• 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.