7935 Sherman St · Houston, TX 77012

$99,990

2 bd · 1.0 ba · 786 sqft · SingleFamily public records · 53 Days on market

Built 1938 5,000 sqft lot $127/sqft · 26% below area ↓ 5% since listing

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Why this score? — see what drove the C- 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).

• Cash flow +17.0/30.0
• ARV discount +7.5/15.0
• 1% rule +6.1/10.0
• DSCR +5.3/10.0
• Appreciation +4.0/10.0
• Livability +3.7/5.0
• Schools +2.7/10.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0

Listing remarks MLS

Investor/Builder Opportunity - Magnolia Park 5,000 sqft lot in Magnolia Park, a rapidly developing area minutes from Downtown with easy access to Wayside Dr and Navigation Blvd. New construction single-family homes nearby have sold in the $300k - $400k range, and recent multi- family sales have reached $500k+ depending on design and finish-out. Exiting structures are in poor condition and likely a teardown (rear structure damaged). Multiple development options include single-family, duplex, triplex, fourplex, with potential to subdivide (buyer to verify). Sold as-is. Ideal for redevelopment.

Key facts

• 000 sqft lot
• 5
• Magnolia park

Tags

• 5
• 000 SQFT LOT
• MAGNOLIA PARK
• EASY ACCESS TO WAYSIDE DR
• EASY ACCESS TO NAVIGATION BLVD
• MULTIPLE DEVELOPMENT OPTIONS

What this means for you Summary

Snapshot

• This is a 2-bed/1.0-bath single-family listed at $100k.

Deal economics

• At list price, monthly cash flow is $67 ($807/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $100k).
• Recommended offer: $97k (3.0% below list) — sets the bar for market timing.
• Cap rate 7.1% vs local median 3.2% in Houston — 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 74/100 on livability (#184 in TX, #4,771 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, cost of living A+, housing A+; Watch: schools D, crime F.
• Houston ISD (urban): math 27% / reading 35% proficiency, ranked #593 of 826 in TX (top 72%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 71% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: 74 active listings in the ZIP; 25 comparable units currently listed for rent nearby; rentals at typical pace (median 25d on market — plan ~3-4 weeks tenant-placement turnaround); 48% of comp listings sitting > 30 days — soft ceiling on asking rent; 29,883 units permitted in Harris County in 2024 (8,621 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-2.1%/yr); year-one equity from $692 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Harris County population projected at +47% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.

Negotiation context

• It's been on market 53 days — a 3% lower offer ($97k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Watch-outs: property tax is 2.9% of price; built in 1938 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: major flood risk; severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→24/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $96,990 (3.0% below list)

Questions for the listing agent

1. It's been on market 53 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
2. Built in 1938 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
4. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
5. 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?
6. 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?
7. 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.
8. 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.
9. 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: 1.11% ✓
• Cap rate: 7.10%
• Cash-on-cash: 2.88%
• DSCR: 1.13
• GRM: 7.5

CMA / ARV

• ARV (median comp): $227,289
• List price: $99,990
• Delta: -56.01%
• Verdict: UNDERPRICED
• Comps: 20 within 1.0 mi

Show comp detail 4 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
7734 Canal St	0.30mi	2/1.0	792 (+1%)	15mo	$110,000	$139	72
7541 Avenue F	0.51mi	2/1.0	770 (-2%)	4mo	$129,900	$169	70
7933 Goode St	0.45mi	2/1.0	840 (+7%)	2mo	$140,000	$167	66
7707 Avenue E	0.33mi	2/2.0	806 (+2%)	24mo	$225,000	$279	57

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

Projected returns pro-forma

-2.08% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: -7.1%
• Equity multiple: 0.72×
• Total profit: $-7,941
• Equity at exit: $19,046

10-year hold

• IRR: 1.1%
• Equity multiple: 1.09×
• Total profit: $2,415
• Equity at exit: $15,923

Cash invested: $27,997 (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 77012

• Home prices YoY: -0.8%
• Active inventory: 74
• Price-to-rent: 7.5×

Monthly cashflow live

• Estimated rent: $1,108 high
• Mortgage (P&I): −$524
• Tax from tax record: −$242 /mo · $2,902/yr
• Insurance: −$42
• HOA: −$0
• Vacancy / Maint / Mgmt: −$233
• Net cashflow: $67

Break-even live

Break-even rent $1,023

Max offer price $99,990

Occupancy floor 89%

Sensitivity live

Price	-10% $124	-5% $96	+0% $67	+5% $39	+10% $11
Rent	-10% $-20	-5% $24	+0% $67	+5% $111	+10% $155
Rate	-1.0pp $118	-0.5pp $93	base $67	+0.5pp $41	+1.0pp $15

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: $24,998
• Closing costs: $3,000
• Reserves months: —
• Total cash needed: —

Rent comps 25 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
7625 Sherman St Unit 1/2 Houston, TX	2.0	1.0	654	$1,150	$1.76	44d	1	0.40mi
7909 Ford St Unit 4 Houston, TX	2.0	1.0	650	$1,500	$2.31	22d	1	0.42mi
7530 Canal St Houston, TX	2.0	1.0	825	$938	$1.14	18d	2	0.53mi
7530 Canal St Unit 12 Houston, TX	2.0	1.0	825	$1,025	$1.24	5d	1	0.53mi
7530 Canal St Houston, TX	2.0	1.0	825	$988	$1.20	13d	2	0.53mi
7520 Avenue C Houston, TX	1.0–2.0	1.0–2.0	745	$1,313	$1.76	44d	31	0.58mi
7427 Avenue I Unit I Houston, TX	1.0	1.0	598	$750	$1.25	25d	1	0.69mi
7310 Sherman St Houston, TX	1.0–3.0	1.0–2.0	879	$1,299	$1.48	0d	11	0.75mi
7250 Avenue C Houston, TX	1.0–3.0	1.0–2.0	886	$1,415	$1.60	0d	15	0.91mi
217 N 72nd St Houston, TX	2.0	2.0	1017	$1,525	$1.50	44d	1	0.98mi
507 N 71st St Unit D Houston, TX	1.0	1.0	700	$800	$1.14	44d	1	1.10mi
505 N 71st St Unit B Houston, TX	1.0	1.0	700	$800	$1.14	44d	1	1.10mi
503 71st St Houston, TX	1.0	1.0	700	$850	$1.21	44d	1	1.10mi
7046 Avenue F Unit F Houston, TX	1.0	1.0	700	$800	$1.14	44d	1	1.10mi
7043 Avenue L Houston, TX	3.0	2.0	999	$1,845	$1.85	44d	1	1.17mi
812 Maltby St Houston, TX	2.0	1.0	860	$600	$0.70	44d	1	1.17mi
7138 Lawndale St Houston, TX	1.0	1.0	650	$975	$1.50	44d	1	1.21mi
7132 Lawndale St Houston, TX	1.0–2.0	1.0	725	$1,296	$1.79	0d	7	1.24mi
7004 Capitol St Houston, TX	2.0	1.0	650	$1,100	$1.69	44d	1	1.24mi
1023 Delmas St Unit B Houston, TX	2.0	1.0	637	$999	$1.57	20d	1	1.34mi
6833 Avenue C Unit 1 Houston, TX	1.0	1.0	600	$950	$1.58	8d	1	1.41mi
6833 Avenue C Unit 3 Houston, TX	1.0	1.0	600	$950	$1.58	25d	1	1.41mi
7909 Brutus St Houston, TX	1.0	1.0	525	$675	$1.29	0d	1	1.42mi
916 Redwood St Houston, TX	2.0	1.0	975	$985	$1.01	22d	1	1.49mi
916 Redwood St Houston, TX	2.0	1.0	975	$985	$1.01	44d	1	1.49mi

Listing history 11 events

1. 2026-06-10
   days on market $99,990 Active 53 DOM
2. 2026-06-08
   days on market $99,990 Active 52 DOM
3. 2026-06-07
   days on market $99,990 Active 51 DOM
4. 2026-06-04
   days on market $99,990 Active 48 DOM
5. 2026-06-01
   days on market $99,990 Active 45 DOM
6. 2026-05-31
   days on market $99,990 Active 44 DOM
7. 2026-05-17
   price $99,990 604-char remark

   Show marketing remark (604 chars)

   Investor/Builder Opportunity - Magnolia Park 5,000 sqft lot in Magnolia Park, a rapidly developing area minutes from Downtown with easy access to Wayside Dr and Navigation Blvd. New construction single-family homes nearby have sold in the $300k - $400k range, and recent multi- family sales have reached $500k+ depending on design and finish-out. Exiting structures are in poor condition and likely a teardown (rear structure damaged). Multiple development options include single-family, duplex, triplex, fourplex, with potential to subdivide (buyer to verify). Sold as-is. Ideal for redevelopment.

8. 2026-04-17
   listed $105,000 Active 604-char remark

   Show marketing remark (604 chars)

   Investor/Builder Opportunity - Magnolia Park 5,000 sqft lot in Magnolia Park, a rapidly developing area minutes from Downtown with easy access to Wayside Dr and Navigation Blvd. New construction single-family homes nearby have sold in the $300k - $400k range, and recent multi- family sales have reached $500k+ depending on design and finish-out. Exiting structures are in poor condition and likely a teardown (rear structure damaged). Multiple development options include single-family, duplex, triplex, fourplex, with potential to subdivide (buyer to verify). Sold as-is. Ideal for redevelopment.

9. 2006-02-07
   soldstatus
10. 2006-02-07
    soldstatus
11. 1998-01-27
    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: $2,902 · $242/mo
• Projected year-2 tax: $2,902 · $242/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 6/10 Major FEMA zone X (unshaded) · 27% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 9/10 Extreme 7 d/yr ≥109°F today · 24 d/yr by 30 yrs out
• 💨 Wind 9/10 Extreme 99% chance of damaging wind over 30 yrs
• 🫁 Air quality 2/10 Low 2 unhealthy d/yr today · 2 by 30 yrs out

Taxation est. · year 1

• Rental income: $13,293
• − Mortgage interest: −$5,601
• − Property taxes: −$2,902
• − Insurance: −$500
• − Repairs & maintenance: −$1,063
• − Management: −$1,063
• − Depreciation: −$2,909
• Taxable loss: −$746
• Est. tax savings @ 24.0%: +$179
• After-tax cash flow: $986/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: Houston ISD
• NCES district ID: 4823640
• Math proficiency: 27% ▼ -18.00%
• Reading proficiency: 35% ▼ -6.00%
• Median HH income: $46,054
• Composite: 26.63/100
• National rank: #7173
• State rank: #593 of 826 in TX

Livability — Houston

• Score: 74/100
• State rank: #184
• US rank: #4771

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Houston, TX
• City population: 3,226,434
• Population (ZIP): 16,780

Population outlook (Harris County) Hauer SSP2

• Today (2025): 5,571,493 people
• By 2030: 6,089,821 · +9.3%
• By 2040: 7,142,806 · +28.2%
• By 2050: 8,185,864 · +46.9%
• By 2075: 10,574,329 · +89.8%
• By 2100: 12,109,958 · +117.4%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly Hispanic (92%)
• Race & ethnicity: Hispanic / Latino 92% Two or more races 35% Black 5% White 2%
• Hispanic origin (detail): Mexican 80%
• Common ancestry: Lithuanian 2%
• Foreign-born: 37% · Canada, Jamaica
• Languages at home: 18% English-only · Spanish 82%

Political lean MEDSL · Harris

• 2024 margin: Lean D (+5.5) · D 52.0% · R 46.4% · Other 1.6%
• 2008→2024 swing: +3.9pp toward D · 2008: 1.6pp · 2024: 5.5pp
• All cycles: 2024: D+5.5 2020: D+13.3 2016: D+12.4 2012: D+0.1 2008: D+1.6

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -2.08%
• Current HPI: 274.5729
• 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

-4.8% since first listed

5 events — show timeline

• 2026-05-17 Price Changed $99,990 HARMLS
• 2026-04-17 Listed $105,000 HARMLS
• 2006-02-07 Sold (Public Records) — Public Records
• 2006-02-07 Sold (Public Records) — Public Records
• 1998-01-27 Sold (Public Records) — Public Records

Property tax history

+6.6%/yr

Latest (2025): $2,902 · +2.7% YoY. Source: county tax records.