201 Mill Bayou Rd

Sterlington, LA 71203

$45,760B-

2 bd · 1.0 ba · 1,730 sqft · Built — · SingleFamily · Pending

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,338/mo
• Mortgage (P&I): −$240
• Tax + insurance: −$95
• HOA: −$0
• Vac / Maint / Mgmt: −$281
• Net cashflow: $722/mo
• Annual: $8,665/yr
• Cap rate: 25.23%
• Cash-on-cash: 67.63%
• DSCR: 4.01
• 1% rule: 2.92%
• Cash to close: $12,813

Investor read

• This is a 2-bed/1.0-bath single-family listed at $46k.
• At list price, monthly cash flow is $722 ($9k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $46k).
• Only 0 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-3.0%/yr); year-one equity from $316 of loan paydown is wiped out by about $1k of value loss. Plan a longer hold.
• Location reads 70/100 on livability (#60 in LA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, crime B+; Watch: health & safety D, amenities F, commute F.
• Ouachita Parish (suburban): math 31% / reading 45% proficiency, ranked #26 of 98 in LA (top 26%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Sterlington Elementary School (math 56% / reading 65%, grade B-, #62 of 646 statewide, top 10%, 820 students, 45% FRL); Sterlington Middle School (math 50% / reading 58%, grade B-, #19 of 218 statewide, top 9%, 423 students, 48% FRL); Sterlington High School (math 42% / reading 47%, grade F, #58 of 265 statewide, top 23%, 539 students, 41% FRL).
• Zoned-school proficiency averages 53% at this address vs 38% district-wide (+15 pts) — the actual schools serving this property are materially stronger than the Ouachita Parish average implies; a family-tenant draw the district grade alone would hide.
• Market conditions: 437 active listings in the ZIP; 345 units permitted in Ouachita Parish in 2024 (0 in 5+ unit buildings).
• 2 sale attempts 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 (-3.0% appreciation + 3.0% rent growth), your $13k cash investment doubles in ~2 years — after that, you're playing with house money.
• Climate carrying-cost: major wind risk, 74% 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.
• Cap rate 25.2% vs local median 5.2% in Sterlington — 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.
• This rent runs 31% of the median local income ($52k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Questions for listing agent

• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are A-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
• 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.