204 S Limit Ave · Mountainair, NM 87036

$116,000

2 bd · 1.5 ba · 1,034 sqft · Other · 504 Days on market

Built 1940 Poor condition 0.31 ac lot $112/sqft · 16% above area Est $100k · 16% over ↓ 4% since listing

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Why this score? — see what drove the D 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 +16.3/30.0
• Appreciation +6.9/10.0
• DSCR +5.1/10.0
• 1% rule +3.5/10.0
• Livability +2.8/5.0
• Rent growth +2.5/5.0
• Schools +2.1/10.0
• Condition / age +1.0/5.0
• ARV discount +0.3/15.0

Listing remarks MLS

Large double corner lot in the small town of Mountainair. This older home has two bedrooms, two baths with a lovely yard. There are a couple of outdoor storage buildings. The carport provides a nice patio area as well as room to park the car. Lovely yard with plenty of options for outdoor living space. Cellar access from Kitchen. Needs work as there has been deferred maintenance over the years.

Key facts

• Double corner lot
• Patio area
• Carport

Tags

• DOUBLE CORNER LOT
• OUTDOOR STORAGE BUILDINGS
• CARPORT
• PATIO AREA
• CELLAR ACCESS
• OUTDOOR LIVING SPACE

What this means for you Summary

Snapshot

• This is a 2-bed/1.5-bath other listed at $116k. Condition is rated poor.

Deal economics

• At list price, monthly cash flow is $64 ($771/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 $98k (15.2% below list).
• Recommended offer: $98k (15.2% below list) — sets the bar for 1% rule.

Location & tenants

• Location reads 56/100 on livability (#188 in NM) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A; Watch: amenities C-, schools F, crime F.
• Mountainair Public Schools (rural): math 25% / reading 25% proficiency, ranked #25 of 29 in NM (top 86%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 77% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: 52 active listings in the ZIP.

Forward outlook

• In year one you build about $5k of equity ($802 loan paydown + $5k appreciation (3.9% local appreciation)).
• Torrance County population projected at -29% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (3.9% appreciation + 3.0% rent growth), your $32k cash investment doubles in ~5 years — after that, you're playing with house money.
• By year 7, paydown + projected appreciation supports a ~$34k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Negotiation context

• It's been on market 504 days — a 12% lower offer ($102k) is reasonable based on typical stale-listing flexibility.
• 2 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.

Risks & watch-outs

• Watch-outs: built in 1940 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: major wildfire risk — expect insurance premiums to compound above CPI over the hold.

Recommended offer $98,422 (15.2% below list)

Questions for the listing agent

1. It's been on market 504 days. Have you received any prior offers? Is the seller open to a 15% concession, seller financing, or rate buy-down credit?
2. Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
3. Built in 1940 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
4. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
5. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
6. 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?
7. 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?
8. 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?
9. 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.
10. 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.
11. 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: 0.85% ✗
• Cap rate: 6.96%
• Cash-on-cash: 2.37%
• DSCR: 1.11
• GRM: 9.8

CMA / ARV

• ARV (median comp): $100,000
• List price: $116,000
• Delta: 16.00%
• Verdict: OVERPRICED
• Comps: 3 within 1.0 mi

Projected returns pro-forma

3.89% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: 12.1%
• Equity multiple: 1.73×
• Total profit: $23,575
• Equity at exit: $58,060

10-year hold

• IRR: 13.6%
• Equity multiple: 3.20×
• Total profit: $71,549
• Equity at exit: $94,366

Cash invested: $32,480 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 55 Moderately Landlord-Leaning
• State New Mexico: 55 Moderately Landlord-Leaning · D+3
• County: — inherits STATE
• City: — inherits STATE

3-day notice but with cure rights; relocation assistance in some cities.

Methodology + full state rankings →

ZIP-level market 87036

• Home prices YoY: 3.8%
• Active inventory: 52
• Price-to-rent: 9.8×

Monthly cashflow live

• Estimated rent: $984 medium
• Mortgage (P&I): −$608
• Tax from tax record: −$57 /mo · $679/yr
• Insurance: −$48
• HOA: −$0
• Vacancy / Maint / Mgmt: −$207
• Net cashflow: $64

Break-even live

Break-even rent $903

Max offer price $116,000

Occupancy floor 88%

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: $29,000
• Closing costs: $3,480
• Reserves months: —
• Total cash needed: —

Listing history 18 events

1. 2026-06-18
   days on market $116,000 Active 504 DOM
2. 2026-06-17
   days on market $116,000 Active 503 DOM
3. 2026-06-16
   days on market $116,000 Active 502 DOM
4. 2026-06-15
   days on market $116,000 Active 501 DOM
5. 2026-06-13
   days on market $116,000 Active 499 DOM
6. 2026-06-10
   days on market $116,000 Active 496 DOM
7. 2026-06-09
   days on market $116,000 Active 495 DOM
8. 2026-06-08
   days on market $116,000 Active 494 DOM
9. 2026-06-07
   days on market $116,000 Active 493 DOM
10. 2026-06-05
    days on market $116,000 Active 490 DOM
11. 2026-06-03
    days on market $116,000 Active 489 DOM
12. 2026-06-02
    days on market $116,000 Active 488 DOM
13. 2026-06-01
    days on market $116,000 Active 487 DOM
14. 2026-05-31
    days on market $116,000 Active 486 DOM
15. 2025-11-24
    price $116,000 397-char remark

    Show marketing remark (397 chars)

    Large double corner lot in the small town of Mountainair. This older home has two bedrooms, two baths with a lovely yard. There are a couple of outdoor storage buildings. The carport provides a nice patio area as well as room to park the car. Lovely yard with plenty of options for outdoor living space. Cellar access from Kitchen. Needs work as there has been deferred maintenance over the years.

16. 2025-02-11
    status Active 397-char remark

    Show marketing remark (397 chars)

    Large double corner lot in the small town of Mountainair. This older home has two bedrooms, two baths with a lovely yard. There are a couple of outdoor storage buildings. The carport provides a nice patio area as well as room to park the car. Lovely yard with plenty of options for outdoor living space. Cellar access from Kitchen. Needs work as there has been deferred maintenance over the years.

17. 2024-12-27
    status Pending 397-char remark

    Show marketing remark (397 chars)

    Large double corner lot in the small town of Mountainair. This older home has two bedrooms, two baths with a lovely yard. There are a couple of outdoor storage buildings. The carport provides a nice patio area as well as room to park the car. Lovely yard with plenty of options for outdoor living space. Cellar access from Kitchen. Needs work as there has been deferred maintenance over the years.

18. 2024-12-12
    listed $121,000 Active 397-char remark

    Show marketing remark (397 chars)

    Large double corner lot in the small town of Mountainair. This older home has two bedrooms, two baths with a lovely yard. There are a couple of outdoor storage buildings. The carport provides a nice patio area as well as room to park the car. Lovely yard with plenty of options for outdoor living space. Cellar access from Kitchen. Needs work as there has been deferred maintenance over the years.

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

Tax reassessment forecast NM · Resets to sale price

• Current annual tax: $679 · $57/mo
• Projected year-2 tax: $928 · $77/mo
• Expected delta: +$249/yr (+$21/mo · 36.6%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

• 🌊 Flood 1/10 Low 0% chance over 30 yrs
• 🔥 Wildfire 6/10 Major
• 🌡 Heat 3/10 Moderate 4 d/yr ≥91°F today · 11 d/yr by 30 yrs out
• 💨 Wind 1/10 Low
• 🫁 Air quality 1/10 Low 0 unhealthy d/yr today · 0 by 30 yrs out

Taxation est. · year 1

• Rental income: $11,811
• − Mortgage interest: −$6,498
• − Property taxes: −$679
• − Insurance: −$580
• − Repairs & maintenance: −$945
• − Management: −$945
• − Depreciation: −$3,375
• Taxable loss: −$1,211
• Est. tax savings @ 24.0%: +$291
• After-tax cash flow: $1,062/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.

Condition & rehab AI · 12 photos

Poor 20/100 Extensive rehab

This property requires extensive renovation and maintenance to improve its condition and value. Significant repairs and updates are needed to bring it up to code and make it move-in ready.

Repairs flagged

• Major exterior siding — Severe peeling and damage
• Major interior walls — Severe damage and peeling
• Major HVAC system — Severe clutter and damage
• Major roof — Severe clutter and damage
• Major windows — Severe clutter and damage

Value-add opportunities

• Both exterior renovation — Improves curb appeal and value
• Both interior renovation — Improves functionality and value
• Both HVAC replacement — Improves comfort and value
• Both roof replacement — Improves durability and value
• Both window replacement — Improves energy efficiency and value

Renovation cost estimate screening

Repair item	Severity	Est. cost
exterior siding · Severe peeling and damage	Major	$15,000–50,000
interior walls · Severe damage and peeling	Major	$15,000–50,000
HVAC system · Severe clutter and damage	Major	$15,000–50,000
roof · Severe clutter and damage	Major	$15,000–50,000
windows · Severe clutter and damage	Major	$15,000–50,000
Total estimated repair cost · 5 items		$75,000–250,000

Value-add ROI direction

• Both exterior renovation — Improves curb appeal and value ↑
• Both interior renovation — Improves functionality and value ↑
• Both HVAC replacement — Improves comfort and value ↑
• Both roof replacement — Improves durability and value ↑
• Both window replacement — Improves energy efficiency and value ↑

ⓘ Cost ranges are severity-bucket heuristics (US national rule-of-thumb). Get contractor quotes + a written scope before underwriting a rehab budget.

Schools (NCES district)

• District: Mountainair Public Schools
• NCES district ID: 3501950
• Math proficiency: 25% ▲ 15.00%
• Reading proficiency: 25% ▼ -10.00%
• Median HH income: $37,198
• Composite: 20.84/100
• National rank: #8501
• State rank: #25 of 29 in NM

Livability — Mountainair

• Score: 56/100
• State rank: #188
• US rank: #22919

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Mountainair, NM
• Population (ZIP): 2,052

Population outlook (Torrance County) Hauer SSP2

• Today (2025): 13,807 people
• By 2030: 12,946 · -6.2%
• By 2040: 11,214 · -18.8%
• By 2050: 9,802 · -29.0%
• By 2075: 7,634 · -44.7%
• By 2100: 5,637 · -59.2%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Diverse neighborhood (Simpson 0.61)
• Race & ethnicity: White 47% Hispanic / Latino 41% Two or more races 13% Black 6%
• Hispanic origin (detail): Mexican 7%
• Common ancestry: Lithuanian 3% Slovak 2% Romanian 1%
• Foreign-born: 4% · Canada
• Languages at home: 82% English-only · Spanish 18%

Political lean MEDSL · Torrance

• 2024 margin: Solid R (+38.1) · D 29.9% · R 68.0% · Other 2.2%
• 2008→2024 swing: -28.8pp toward R · 2008: -9.3pp · 2024: -38.1pp
• All cycles: 2024: R+38.1 2020: R+33.4 2016: R+30.8 2012: R+17.4 2008: R+9.3

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▲ 3.89%
• Current HPI: 105.5739
• Rent YoY: —
• Metro: —
• State GDP YoY: —
• F500 in state: 0

Price history

-4.1% since first listed

4 events — show timeline

• 2025-11-24 Price Changed $116,000 Southwest MLS
• 2025-02-11 Relisted — Southwest MLS
• 2024-12-27 Pending — Southwest MLS
• 2024-12-12 Listed $121,000 Southwest MLS

Property tax history

+64.4%/yr

Latest (2025): $679 · +6.0% YoY. Source: county tax records.