107 Silver St

Tollette, AR 71851

$26,500D+

3 bd · 1.0 ba · 1,456 sqft · Built 1960 · SingleFamily · Active · 19 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,166/mo
• Mortgage (P&I): −$139
• Tax + insurance: −$41
• HOA: −$0
• Vac / Maint / Mgmt: −$245
• Net cashflow: $741/mo
• Annual: $8,893/yr
• Cap rate: 39.85%
• Cash-on-cash: 119.86%
• DSCR: 6.33
• 1% rule: 4.40%
• Cash to close: $7,420

Investor read

• This is a 3-bed/1.0-bath single-family listed at $26k.
• At list price, monthly cash flow is $741 ($9k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $26k).
• It's been on market 19 days — a 2% lower offer ($26k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $26k (1.5% below list) — sets the bar for market timing.
• In year one you build about $479 of equity ($183 loan paydown + $296 appreciation (1.1% local appreciation)).
• Location reads 57/100 on livability (#346 in AR) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A+; Watch: crime D, schools F, amenities F.
• Mineral Springs School District (rural): math 15% / reading 15% proficiency, ranked #222 of 238 in AR (top 93%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 78% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: 9 active listings in the ZIP; 1 units permitted in Howard County in 2024 (0 in 5+ unit buildings).
• Howard County population projected at -14% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (1.1% appreciation + 3.0% rent growth), your $7k cash investment doubles in ~1 year — after that, you're playing with house money.
• Climate carrying-cost: moderate wildfire risk; 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 1960 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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 D 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.
• 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.