1602 Marengo Dr · Mobile, AL 36605

$109,900

4 bd · 1.0 ba · 1,705 sqft · SingleFamily public records · 1 Days on market

Built 1988 0.35 ac lot Est $104k · 6% over

---

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
• DSCR +10.0/10.0
• 1% rule +9.0/10.0
• ARV discount +4.9/15.0
• Rent growth +4.6/5.0
• Livability +3.8/5.0
• Condition / age +2.5/5.0
• Schools +2.3/10.0
• Appreciation +0.0/10.0

Listing remarks

Amazing, low maintenance rental property available for sale! This 4 side brick on slab rental property receives $1,350/month on the affordable housing program. This desirable 4 bed / 2 bath features luxury vinyl plank tile throughout and roof/hvac/water heater big ticket items that are only 6 years old. Step into cash flow now! This house is for sale as well as 3 others from same seller. Can be packaged or purchased individually.

Key facts

• 0.35 acre lot
• Built 1988

Property features AI

Finance

• Other: Located in the Gulf Manor subdivision; Address: 1602 Marengo Dr, Mobile, AL 36605

Exterior

• Parking: Driveway
• Utilities: Cable available; Electricity available (110V and 220V); Natural gas available; Public sewer
• Home design: Single-family residence; Residential property
• Construction: Brick 4 sides construction; Built in 1988; Slab foundation; Composition roof
• Exterior features: No notable exterior features; Back yard fencing; View present

Interior

• Kitchen: Electric range; Range hood; Refrigerator
• Bedrooms: 4 bedrooms
• Bathrooms: 2 full bathrooms
• Heating & cooling: Central heating; Central air; Ceiling fans
• Interior features: Other interior features; No fireplace
• Laundry & utility: Electric water heater

What this means for you Summary

Snapshot

• This is a 4-bed/1.0-bath single-family listed at $110k.

Deal economics

• At list price, monthly cash flow is $511 ($6k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $110k).
• Cap rate 11.9% vs local median 4.9% in Mobile — 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 75/100 on livability (#20 in AL, #4,262 nationally) — a middle-class / working-renter tenant base. Strengths: commute A+, cost of living A+, housing A+; Watch: crime F, employment D-.
• Mobile County (urban): math 15% / reading 39% proficiency, ranked #81 of 129 in AL (top 63%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 67% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Lillie B Williamson High School (math 2% / reading 12%, grade F, #273 of 305 statewide, top 89%, 956 students, 94% FRL) — zoned schools average 94% FRL vs 67% district-wide (27 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Zoned-school proficiency averages 7% at this address vs 27% district-wide (-20 pts) — the specific schools serving this property underperform the Mobile County average; the district grade overstates school quality for this exact location.
• Market conditions: Rents rising fast (+8.3%/yr); 139 active listings in the ZIP; 6 comparable units currently listed for rent nearby; rentals lingering (median 44d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 50% of comp listings sitting > 30 days — soft ceiling on asking rent; lower-income renter base — watch delinquency; 1,678 units permitted in Mobile County in 2024 (264 in 5+ unit buildings).
• This rent runs 42% of the median local income ($44k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $760 of loan paydown is wiped out by about $3k of value loss. Plan a longer hold.
• Mobile 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 + 8.0% rent growth), your $31k cash investment doubles in ~5 years — after that, you're playing with house money.

Negotiation context

• Only 1 days on market — expect competitive offers; lowballing is unlikely to land.
• 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

• Climate carrying-cost: severe wind risk, 99% 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 $109,900

Questions for the listing agent

1. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
2. 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?
3. 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?
4. 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.
5. 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.
6. 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: 1.40% ✓
• Cap rate: 11.88%
• Cash-on-cash: 19.95%
• DSCR: 1.89
• GRM: 6.0

CMA / ARV

• ARV (on-the-fly): $104,005
• Comps found: 12

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
1602 Marengo Dr	0.00mi	4/2.0	1,638 (-4%)	0mo	$100,000	$61	89
2405 Octavia Dr S	0.16mi	4/2.0	1,658 (-3%)	12mo	$60,000	$36	73
4401 Cecil Bolton Dr	0.24mi	4/2.0	1,791 (+5%)	20mo	$289,535	$162	60
2054 Faye St	0.64mi	3/1.0 (-1)	1,621 (-5%)	1mo	$235,900	$146	56
2316 Dog River Dr S	0.42mi	4/3.0	1,630 (-4%)	12mo	$209,000	$128	55
1406 Boudousquie St	0.69mi	3/1.0 (-1)	1,609 (-6%)	4mo	$65,000	$40	50
1602 Cadillac Dr	0.69mi	4/2.0	1,768 (+4%)	14mo	$33,000	$19	46
2618 Serigny Dr	0.55mi	3/2.0 (-1)	1,916 (+12%)	4mo	$105,000	$55	42
1462 Darwood Dr	0.72mi	3/2.0 (-1)	1,579 (-7%)	4mo	$89,900	$57	42
1614 Greenbrier Dr E	0.59mi	3/1.5 (-1)	1,530 (-10%)	9mo	$100,000	$65	41
1506 Darwood Dr	0.70mi	5/2.0 (+1)	1,537 (-10%)	14mo	$178,000	$116	30
2510 Mclaughlin Dr	0.62mi	3/2.0 (-1)	1,512 (-11%)	17mo	$90,000	$60	29

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 · 8.0% rent growth · sell at horizon

5-year hold

• IRR: 17.4%
• Equity multiple: 1.74×
• Total profit: $22,869
• Equity at exit: $16,386

10-year hold

• IRR: 29.1%
• Equity multiple: 4.21×
• Total profit: $98,740
• Equity at exit: $9,502

Cash invested: $30,772 (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 36605

• Rents YoY: 8.3%
• Active inventory: 139
• Price-to-rent: 6.0×

Monthly cashflow live

• Estimated rent: $1,535 high
• Mortgage (P&I): −$576
• Tax from tax record: −$79 /mo · $952/yr
• Insurance: −$46
• HOA: −$0
• Vacancy / Maint / Mgmt: −$322
• Net cashflow: $511

Break-even live

Break-even rent $888

Max offer price $109,900

Occupancy floor 62%

Sensitivity live

Price	-10% $574	-5% $543	+0% $511	+5% $480	+10% $449
Rent	-10% $390	-5% $451	+0% $511	+5% $572	+10% $633
Rate	-1.0pp $567	-0.5pp $539	base $511	+0.5pp $483	+1.0pp $454

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: $27,475
• Closing costs: $3,297
• Reserves months: —
• Total cash needed: —

Rent comps 6 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
2359 Vermillion Dr Mobile, AL	3.0	1.0	1064	$895	$0.84	21d	1	0.05mi
2255 Dog River Ct Unit 1043454P Mobile, AL	4.0	2.0	1851	$2,890	$1.56	21d	1	0.42mi
2456 McLaughlin Dr Mobile, AL	3.0	1.0	1405	$1,300	$0.93	44d	1	0.53mi
2665 S Faure Dr Mobile, AL	4.0	1.0	1817	$1,514	$0.83	21d	1	0.61mi
1466 Darwood Dr Mobile, AL	3.0	1.5	1053	$1,400	$1.33	44d	1	0.72mi
1411 Greenbrier Dr Mobile, AL	3.0	1.0	1069	$995	$0.93	44d	1	0.74mi

Listing history 8 events

1. 2026-05-12
   status Pending
2. 2026-05-11
   listed $109,900 Active
3. 2024-12-16
   historical $1,250
4. 2024-12-05
   price $1,250
5. 2024-10-23
   listed $1,350
6. 2019-10-08
   soldstatus $169,000
7. 2019-08-09
   soldstatus $29,000
8. 2010-05-10
   soldstatus $83,500

ⓘ 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: $952 · $79/mo
• Projected year-2 tax: $952 · $79/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 1/10 Low
• 🌡 Heat 9/10 Extreme 7 d/yr ≥105°F today · 20 d/yr by 30 yrs out
• 💨 Wind 9/10 Extreme 99% chance of damaging wind over 30 yrs
• 🫁 Air quality 2/10 Low 1 unhealthy d/yr today · 1 by 30 yrs out

Taxation est. · year 1

• Rental income: $18,425
• − Mortgage interest: −$6,156
• − Property taxes: −$952
• − Insurance: −$550
• − Repairs & maintenance: −$1,474
• − Management: −$1,474
• − Depreciation: −$3,197
• Taxable income: $4,622
• Est. tax owed @ 24.0%: −$1,109
• After-tax cash flow: $5,028/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: Mobile County
• NCES district ID: 0102370
• Math proficiency: 15% ▼ -28.00%
• Reading proficiency: 39% ▬ 0.00%
• Median HH income: $42,455
• Composite: 22.9/100
• National rank: #8002
• State rank: #81 of 129 in AL

Livability — Mobile

• Score: 75/100
• State rank: #20
• US rank: #4262

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Mobile, AL
• County: Mobile County · 246,577 people
• City population: 205,729
• Metro: Mobile, AL
• Population (ZIP): 25,104
• Household income: $43,538
• Rent vs Own: 46.3% rent · 53.7% own
• Severe rent burden: 1521.0

Population outlook (Mobile County) Hauer SSP2

• Today (2025): 415,303 people
• By 2030: 411,755 · -0.9%
• By 2040: 399,670 · -3.8%
• By 2050: 382,616 · -7.9%
• By 2075: 337,353 · -18.8%
• By 2100: 283,391 · -31.8%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly Black (67%)
• Race & ethnicity: Black 67% White 27% Two or more races 4% Hispanic / Latino 3%
• Common ancestry: Lithuanian 3% Slovak 2% Iranian 1%
• Foreign-born: 3% · Canada
• Languages at home: 97% English-only · Spanish 2%

Political lean MEDSL · Mobile

• 2024 margin: R (+16.4) · D 41.3% · R 57.7%
• 2008→2024 swing: -7.7pp toward R · 2008: -8.7pp · 2024: -16.4pp
• All cycles: 2024: R+16.4 2020: R+11.9 2016: R+13.9 2012: R+9.3 2008: R+8.7

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -96.46%
• Current HPI: 125.9526
• Rent YoY: ▲ 8.26%
• Metro: Mobile, 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

+31.6% since first listed

8 events — show timeline

• 2026-05-12 Pending — GCMLS AL
• 2026-05-11 Listed $109,900 GCMLS AL
• 2024-12-16 Rental Removed $1,250 APPFOLIO
• 2024-12-05 Price Changed $1,250 APPFOLIO
• 2024-10-23 Listed for Rent $1,350 APPFOLIO
• 2019-10-08 Sold (Public Records) $169,000 Public Records
• 2019-08-09 Sold (Public Records) $29,000 Public Records
• 2010-05-10 Sold (Public Records) $83,500 Public Records

Property tax history

+5.8%/yr

Latest (2025): $952 · +7.0% YoY. Source: county tax records.