1540 Gibson St · Montgomery, AL 36110

$59,000

3 bd · 1.0 ba · 1,025 sqft · SingleFamily public records · 126 Days on market

Built 1969 $58/sqft · at area comps Est $60k · at est.

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Why this score? — see what drove the B- 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 +30.0/30.0
• 1% rule +10.0/10.0
• DSCR +10.0/10.0
• ARV discount +8.1/15.0
• Livability +3.2/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Schools +1.7/10.0
• Appreciation +0.0/10.0

Key facts

• Parking
• Built 1969
• Listed 126 days

What this means for you Summary

Snapshot

• This is a 3-bed/1.0-bath single-family listed at $59k.

Deal economics

• At list price, monthly cash flow is $453 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $59k).
• Recommended offer: $52k (12.0% below list) — sets the bar for market timing.
• Cap rate 15.5% vs local median 6.0% in Montgomery — 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 65/100 on livability (#138 in AL) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: schools C-, employment D, crime F.
• Montgomery County (urban): math 9% / reading 31% proficiency, ranked #106 of 129 in AL (top 82%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 70% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: 62 active listings in the ZIP; 38 comparable units currently listed for rent nearby; rentals lingering (median 45d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 63% of comp listings sitting > 30 days — soft ceiling on asking rent; 460 units permitted in Montgomery County in 2024 (37 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $408 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Montgomery County population projected to shrink 8% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $17k cash investment doubles in ~4 years — after that, you're playing with house money.

Negotiation context

• It's been on market 126 days — a 12% lower offer ($52k) is reasonable based on typical stale-listing flexibility.
• 3 sale attempts since 27y ago; this cycle's ask has dropped $6k (9%) from the opening price — seller is motivated, your offer sets the floor, not the list.

Risks & watch-outs

• Climate carrying-cost: severe wind risk, 80% chance of damaging wind over 30y; extreme-heat days projected 7→20/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $51,920 (12.0% below list)

Questions for the listing agent

1. It's been on market 126 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
2. Built in 1969 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
4. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
5. 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?
6. 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.
7. 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.
8. 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: 1.76% ✓
• Cap rate: 15.51%
• Cash-on-cash: 32.91%
• DSCR: 2.46
• GRM: 4.7

CMA / ARV

• ARV (median comp): $59,813
• List price: $59,000
• Delta: -1.36%
• Verdict: FAIR
• Comps: 20 within 1.0 mi

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
1544 Gibson St	0.01mi	3/1.0	1,025 (0%)	2mo	$52,000	$51	98
1515 Baffin Ct	0.13mi	3/1.0	1,025 (0%)	3mo	$26,000	$25	92
1800 Cotton Ct	0.17mi	3/1.0	962 (-6%)	5mo	$62,500	$65	77
3560 Manley Dr	0.33mi	3/1.0	950 (-7%)	2mo	$60,000	$63	71
1945 Gibson St	0.53mi	3/1.0	1,045 (+2%)	2mo	$23,000	$22	70
1930 Gibson St	0.49mi	3/2.0	1,040 (+2%)	4mo	$63,500	$61	67
132 Amanda Ln	0.45mi	3/2.0	1,118 (+9%)	1mo	$45,000	$40	59
2003 Miller St	0.70mi	2/1.0 (-1)	1,044 (+2%)	2mo	$54,000	$52	57
1833 Midway St	0.45mi	3/1.0	1,175 (+15%)	1mo	$64,900	$55	54
3129 Cabot St	0.64mi	3/2.0	1,099 (+7%)	1mo	$17,501	$16	54
218 Broadway St	0.66mi	2/1.0 (-1)	960 (-6%)	1mo	$49,000	$51	53
298 Broadway St	0.74mi	2/1.0 (-1)	896 (-13%)	2mo	$36,000	$40	38

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

Projected returns pro-forma

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

5-year hold

• IRR: 28.1%
• Equity multiple: 2.17×
• Total profit: $19,287
• Equity at exit: $8,797

10-year hold

• IRR: 35.5%
• Equity multiple: 4.26×
• Total profit: $53,917
• Equity at exit: $5,101

Cash invested: $16,520 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 90 Strongly Landlord-Friendly
• State Alabama: 90 Strongly Landlord-Friendly · R+15
• County: — inherits STATE
• City: — inherits STATE

Right-to-evict in 7 days for non-payment; no rent control; preempted statewide; courts move quickly.

Methodology + full state rankings →

ZIP-level market 36110

• Home prices YoY: -34.8%
• Active inventory: 62
• Price-to-rent: 4.7×

Monthly cashflow live

• Estimated rent: $1,041 high
• Mortgage (P&I): −$309
• Tax from tax record: −$35 /mo · $420/yr
• Insurance: −$25
• HOA: −$0
• Vacancy / Maint / Mgmt: −$219
• Net cashflow: $453

Break-even live

Break-even rent $467

Max offer price $59,000

Occupancy floor 51%

Sensitivity live

Price	-10% $486	-5% $470	+0% $453	+5% $436	+10% $420
Rent	-10% $371	-5% $412	+0% $453	+5% $494	+10% $535
Rate	-1.0pp $483	-0.5pp $468	base $453	+0.5pp $438	+1.0pp $422

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: $14,750
• Closing costs: $1,770
• Reserves months: —
• Total cash needed: —

Rent comps 38 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
3042 George B Edmondson Dr Montgomery, AL	3.0	1.0	900	$860	$0.96	44d	1	0.12mi
3114 Cotton St Montgomery, AL	3.0	1.0	888	$1,100	$1.24	44d	1	0.21mi
1653 N Yarbrough Ct Montgomery, AL	3.0	1.0	1130	$950	$0.84	22d	1	0.26mi
1817 Texas Ct Montgomery, AL	3.0	1.0	925	$1,050	$1.14	22d	1	0.36mi
3329 Texas St Montgomery, AL	3.0	1.0	1000	$1,100	$1.10	44d	1	0.49mi
3050 Willena Ave Montgomery, AL	3.0	1.0	1466	$985	$0.67	22d	1	0.53mi
3613 Erwin Dr Montgomery, AL	3.0	2.0	1092	$1,250	$1.14	44d	1	0.54mi
3452 Harris St Montgomery, AL	3.0	1.0	1400	$1,150	$0.82	22d	1	0.65mi
3008 Cabot St Montgomery, AL	4.0	2.0	1300	$1,150	$0.88	44d	1	0.65mi
2503 Skyline Ave Montgomery, AL	3.0	1.0	1015	$1,150	$1.13	44d	1	0.65mi
2056 Midway St Montgomery, AL	3.0	1.0	1110	$985	$0.89	44d	1	0.66mi
218 Broadway St Montgomery, AL	2.0	1.0	960	$895	$0.93	14d	1	0.67mi
2107 Yarbrough Cir Montgomery, AL	3.0	1.0	910	$925	$1.02	44d	1	0.67mi
2019 Amos St Montgomery, AL	3.0	1.5	1134	$985	$0.87	44d	1	0.68mi
2111 Yarbrough St Montgomery, AL	3.0	1.0	962	$795	$0.83	44d	1	0.68mi
207 Destin St Montgomery, AL	3.0	1.0	966	$695	$0.72	22d	1	0.70mi
2001 Speigle St Montgomery, AL	3.0	1.0	1260	$1,035	$0.82	44d	1	0.70mi
2076 Midway St Montgomery, AL	3.0	1.0	1068	$1,000	$0.94	44d	1	0.71mi
216 Gardendale Dr Montgomery, AL	3.0	1.0	900	$850	$0.94	22d	1	0.72mi
298 Broadway St Montgomery, AL	2.0	1.0	896	$900	$1.00	44d	1	0.74mi
204 W Park Ave Montgomery, AL	3.0	1.0	1145	$850	$0.74	22d	1	0.78mi
341 Chisholm St Montgomery, AL	3.0	1.0	756	$1,195	$1.58	22d	1	0.81mi
16 Garden St Montgomery, AL	3.0	1.5	1008	$775	$0.77	45d	1	0.83mi
2006 Harmon St Unit 3 Montgomery, AL	3.0	1.0	800	$500	$0.62	44d	1	0.87mi
142 W Michigan Ave Montgomery, AL	3.0	1.0	840	$995	$1.18	14d	1	0.94mi
1324 Federal Dr Montgomery, AL	2.0	1.0	1000	$1,100	$1.10	44d	1	1.02mi
3 Rotary St Montgomery, AL	3.0	1.0	1131	$925	$0.82	22d	1	1.03mi
429 Edward St Montgomery, AL	3.0	1.0	828	$1,080	$1.30	14d	1	1.06mi
4029 Chelsea Dr Montgomery, AL	3.0	1.0	1000	$1,200	$1.20	44d	1	1.07mi
412 Edward St Montgomery, AL	3.0	1.0	828	$800	$0.97	44d	1	1.09mi
508 Glenmore Rd Montgomery, AL	2.0	1.0	1135	$1,000	$0.88	44d	1	1.30mi
517 N Florida St Unit B Montgomery, AL	2.0	1.0	900	$750	$0.83	44d	1	1.34mi
105 Dyas Ct Montgomery, AL	3.0	1.0	1025	$1,095	$1.07	44d	1	1.35mi
408 Briarbrook Dr #204 Montgomery, AL	3.0	2.0	1025	$1,000	$0.98	44d	1	1.37mi
408 Briarbrook Dr Montgomery, AL	3.0	2.0	1025	$960	$0.94	22d	1	1.37mi
424 N California St Apt D Montgomery, AL	2.0	1.0	850	$778	$0.92	22d	1	1.37mi
2023 Windsor Ave Montgomery, AL	2.0	1.0	889	$895	$1.01	44d	1	1.39mi
2122 Windsor Ave Montgomery, AL	2.0	1.0	1052	$725	$0.69	44d	1	1.45mi

Listing history 21 events

1. 2026-06-18
   days on market $59,000 Active 126 DOM
2. 2026-06-17
   days on market $59,000 Active 125 DOM
3. 2026-06-16
   days on market $59,000 Active 124 DOM
4. 2026-06-15
   days on market $59,000 Active 123 DOM
5. 2026-06-14
   days on market $59,000 Active 121 DOM
6. 2026-06-13
   days on market $59,000 Active 120 DOM
7. 2026-06-10
   days on market $59,000 Active 118 DOM
8. 2026-06-09
   days on market $59,000 Active 117 DOM
9. 2026-06-08
   days on market $59,000 Active 116 DOM
10. 2026-06-07
    days on market $59,000 Active 115 DOM
11. 2026-06-03
    days on market $59,000 Active 111 DOM
12. 2026-06-02
    days on market $59,000 Active 110 DOM
13. 2026-06-01
    days on market $59,000 Active 109 DOM
14. 2026-05-31
    days on market $59,000 Active 108 DOM
15. 2026-05-30
    days on market $59,000 Active 107 DOM
16. 2026-03-20
    price $59,000
17. 2026-02-12
    listed $65,000 Active
18. 2015-10-01
    soldstatus $64,000
19. 2013-03-25
    soldstatus $50,000
20. 2012-04-28
    listed $44,900
21. 1999-07-19
    listed $55,900

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Tax reassessment forecast AL · Resets to sale price

• Current annual tax: $420 · $35/mo
• Projected year-2 tax: $420 · $35/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 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 3/10 Moderate
• 🌡 Heat 7/10 Severe 7 d/yr ≥107°F today · 20 d/yr by 30 yrs out
• 💨 Wind 8/10 Severe 80% chance of damaging wind over 30 yrs
• 🫁 Air quality 3/10 Moderate 4 unhealthy d/yr today · 4 by 30 yrs out

Taxation est. · year 1

• Rental income: $12,487
• − Mortgage interest: −$3,305
• − Property taxes: −$420
• − Insurance: −$295
• − Repairs & maintenance: −$999
• − Management: −$999
• − Depreciation: −$1,716
• Taxable income: $4,753
• Est. tax owed @ 24.0%: −$1,141
• After-tax cash flow: $4,296/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: Montgomery County
• NCES district ID: 0102430
• Math proficiency: 9% ▼ -21.00%
• Reading proficiency: 31% ▼ -1.00%
• Median HH income: $43,902
• Composite: 17.24/100
• National rank: #9093
• State rank: #106 of 129 in AL

Livability — Montgomery

• Score: 65/100
• State rank: #138
• US rank: #13416

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Montgomery, AL
• County: Montgomery County · 190,016 people
• City population: 175,913
• Metro: Montgomery, AL
• Population (ZIP): 12,102
• Household income: $47,315
• Rent vs Own: 50.0% rent · 50.0% own
• Severe rent burden: 753.0

Population outlook (Montgomery County) Hauer SSP2

• Today (2025): 224,008 people
• By 2030: 221,460 · -1.1%
• By 2040: 214,179 · -4.4%
• By 2050: 204,912 · -8.5%
• By 2075: 177,821 · -20.6%
• By 2100: 145,134 · -35.2%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly Black (83%)
• Race & ethnicity: Black 83% White 11% Two or more races 3% Asian 2% Hispanic / Latino 1%
• Common ancestry: Hispanic 1%
• Foreign-born: 2% · China, Canada
• Languages at home: 96% English-only · Spanish 2% Other Asian/Pacific 1%

Political lean MEDSL · Montgomery

• 2024 margin: Solid D (+30.7) · D 64.8% · R 34.1% · Other 1.1%
• 2008→2024 swing: +11.5pp toward D · 2008: 19.2pp · 2024: 30.7pp
• All cycles: 2024: D+30.7 2020: D+31.5 2016: D+26.2 2012: D+24.3 2008: D+19.2

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -35.37%
• Current HPI: 66.3114
• Rent YoY: —
• Metro: Montgomery, AL
• State GDP YoY: ▲ 2.94%
• F500 in state: 4

Industry mix (Fortune 500 HQ in AL)

Industry	F500 HQs	Revenue
▸Financial Services	1	$8B
▸Healthcare	1	$5B

Price history

+5.5% since first listed

6 events — show timeline

• 2026-03-20 Price Changed $59,000 MAAR
• 2026-02-12 Listed $65,000 MAAR
• 2015-10-01 Sold (Public Records) $64,000 Public Records
• 2013-03-25 Sold (Public Records) $50,000 Public Records
• 2012-04-28 Listed $44,900 MAAR
• 1999-07-19 Listed $55,900 MAAR

Property tax history

+2.1%/yr

Latest (2025): $420 · +1.4% YoY. Source: county tax records.