4948 E St Charles Ave E

Lake Charles, LA 70605

$274,900D

3 bd · 2.5 ba · 2,285 sqft · Built 1978 · SingleFamily · Active · 106 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,917/mo
• Mortgage (P&I): −$1,442
• Tax + insurance: −$264
• HOA: −$0
• Vac / Maint / Mgmt: −$403
• Net cashflow: $-190/mo
• Annual: $-2,286/yr
• Cap rate: 5.46%
• Cash-on-cash: -2.97%
• DSCR: 0.87
• 1% rule: 0.70%
• Cash to close: $76,972

Investor read

• This is a 3-bed/2.5-bath single-family listed at $275k.
• At list price, monthly cash flow is $-190 ($-2k/yr) — negative.
• To cash-flow at today's rent, offer at most $241k (12.2% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $192k (30.2% below list).
• It's been on market 106 days — a 9% lower offer ($250k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $192k (30.2% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $8k of value loss. Plan a longer hold.
• Location reads 68/100 on livability (#95 in LA) — a middle-class / working-renter tenant base. Strengths: commute A+, cost of living A+, housing A+; Watch: crime F, amenities F, employment D-.
• Calcasieu Parish (other): math 30% / reading 44% proficiency, ranked #29 of 98 in LA (top 30%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Prien Lake Elementary School (math 60% / reading 68%, grade B, #45 of 646 statewide, top 7%, 671 students, 44% FRL); S. J. Welsh Middle School (math 28% / reading 44%, grade F, #84 of 218 statewide, top 41%, 1,107 students, 49% FRL); Alfred M. Barbe High School (math 41% / reading 56%, grade D, #41 of 265 statewide, top 16%, 1,991 students, 41% FRL).
• Zoned-school proficiency averages 50% at this address vs 37% district-wide (+12 pts) — the actual schools serving this property are materially stronger than the Calcasieu Parish average implies; a family-tenant draw the district grade alone would hide.
• Market conditions: Rents rising fast (+15.1%/yr); 464 active listings in the ZIP; 1 comparable units currently listed for rent nearby; solid renter incomes; 1,298 units permitted in Calcasieu Parish in 2024 (526 in 5+ unit buildings).
• Calcasieu County population projected at +11% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• 4 sale attempts since 5y ago; this cycle's ask has dropped $25k (8%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Climate carrying-cost: severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→24/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 5.5% vs local median 4.2% in Lake Charles — meaningfully above typical; check what's discounted (condition, days-on-market, listing class) to confirm the premium yield is real.

Questions for listing agent

• What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
• It's been on market 106 days. Have you received any prior offers? Is the seller open to a 30% concession, seller financing, or rate buy-down credit?
• Built in 1978 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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 B-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?
• 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?
• 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?