31947N US Hwy 60

Ellsinore, MO 63937

$129,000D+

2 bd · 1.5 ba · 1,200 sqft · Built 2010 · Other · Active · 115 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,015/mo
• Mortgage (P&I): −$676
• Tax + insurance: −$163
• HOA: −$0
• Vac / Maint / Mgmt: −$213
• Net cashflow: $-38/mo
• Annual: $-450/yr
• Cap rate: 5.94%
• Cash-on-cash: -1.25%
• DSCR: 0.94
• 1% rule: 0.79%
• Cash to close: $36,120

Investor read

• This is a 2-bed/1.5-bath other listed at $129k.
• At list price, monthly cash flow is $-38 ($-450/yr) — negative.
• To cash-flow at today's rent, offer at most $122k (5.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $101k (21.3% below list).
• It's been on market 115 days — a 9% lower offer ($117k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $101k (21.3% below list) — sets the bar for 1% rule.
• In year one you build about $7k of equity ($892 loan paydown + $6k appreciation (4.5% local appreciation)).
• Location reads 59/100 on livability (#529 in MO) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A+; Watch: health & safety C-, crime F, amenities F.
• East Carter County R-II (rural): math 43% / reading 54% proficiency, ranked #71 of 324 in MO (top 22%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 64% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: East Carter Co. R-Ii Elem. (math 47% / reading 57%, grade C-, #231 of 1,115 statewide, top 24%, 327 students, 66% FRL); East Carter Co. R-Ii Middle (math 37% / reading 52%, grade D, #113 of 391 statewide, top 31%, 141 students, 60% FRL); East Carter Co. R-Ii High (math 44% / reading 44%, grade F, #179 of 521 statewide, top 39%, 184 students, 61% FRL) — zoned schools at 62% FRL track the district average.
• Market conditions: 15 active listings in the ZIP; 2 units permitted in Carter County in 2024 (0 in 5+ unit buildings).
• Carter County population projected to shrink 10% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• 5 sale attempts since 2y ago 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 (4.5% appreciation + 3.0% rent growth), your $36k cash investment doubles in ~5 years — after that, you're playing with house money.
• By year 6, paydown + projected appreciation supports a ~$35k 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 115 days. Have you received any prior offers? Is the seller open to a 21% 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.