22168 Highway 62

Gateway, AR 72732

$301,900C

4 bd · 3.0 ba · 2,432 sqft · Built 2006 · Manufactured · Active · 391 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,682/mo
• Mortgage (P&I): −$1,583
• Tax + insurance: −$229
• HOA: −$0
• Vac / Maint / Mgmt: −$563
• Net cashflow: $307/mo
• Annual: $3,682/yr
• Cap rate: 7.51%
• Cash-on-cash: 4.36%
• DSCR: 1.19
• 1% rule: 0.89%
• Cash to close: $84,532

Investor read

• This is a 4-bed/3.0-bath manufactured listed at $302k.
• At list price, monthly cash flow is $307 ($4k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $268k (11.1% below list).
• It's been on market 391 days — a 12% lower offer ($266k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $266k (12.0% below list) — sets the bar for market timing.
• In year one you build about $25k of equity ($2k loan paydown + $23k appreciation (7.6% local appreciation)).
• Location reads 56/100 on livability (#381 in AR) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A+; Watch: employment C-, crime D, amenities F.
• Rogers School District (urban): math 45% / reading 45% proficiency, ranked #31 of 238 in AR (top 13%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Garfield Elementary School (math 44% / reading 44%, grade F, #143 of 454 statewide, top 36%, 106 students, 68% FRL); Lingle Middle School (math 45% / reading 48%, grade D+, #49 of 201 statewide, top 26%, 766 students, 56% FRL); Rogers Heritage High School (math 25% / reading 35%, grade F, #138 of 292 statewide, top 48%, 2,080 students, 48% FRL).
• Market conditions: 130 active listings in the ZIP; 4,359 units permitted in Benton County in 2024 (402 in 5+ unit buildings).
• Benton County population projected at +56% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 4 sale attempts since 13y ago; this cycle's ask has dropped $93k (24%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $120k; list at $302k implies a 152% gain — meaningful room to come down on a strong offer.
• At projected returns (7.6% appreciation + 3.0% rent growth), your $85k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 2, 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

• It's been on market 391 days. Have you received any prior offers? Is the seller open to a 12% 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 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?
• 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.