17999 State Highway U N/A

Hermitage, MO 65668

$160,000D-

1 bd · 1.0 ba · 392 sqft · Built 2015 · Other · Active · 62 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $801/mo
• Mortgage (P&I): −$839
• Tax + insurance: −$267
• HOA: −$0
• Vac / Maint / Mgmt: −$168
• Net cashflow: $-473/mo
• Annual: $-5,676/yr
• Cap rate: 2.75%
• Cash-on-cash: -12.67%
• DSCR: 0.44
• 1% rule: 0.50%
• Cash to close: $44,800

Investor read

• This is a 1-bed/1.0-bath other listed at $160k.
• At list price, monthly cash flow is $-473 ($-6k/yr) — negative.
• To cash-flow at today's rent, offer at most $92k (42.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $80k (49.9% below list).
• It's been on market 62 days — a 6% lower offer ($150k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $80k (49.9% below list) — sets the bar for 1% rule.
• In year one you build about $16k of equity ($1k loan paydown + $15k appreciation (9.3% local appreciation)).
• Location reads 54/100 on livability (#788 in MO) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing B; Watch: schools D, crime F, amenities F.
• Hermitage R-IV (rural): math 45% / reading 50% proficiency, ranked #185 of 535 in MO (top 35%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: 28 active listings in the ZIP.
• Hickory County population projected at -26% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• By year 3, paydown + projected appreciation supports a ~$40k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

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 62 days. Have you received any prior offers? Is the seller open to a 50% 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.
• 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?
• 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?
• 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.