324 W Main St

Essex, MO 63846

$37,500B+

3 bd · 1.0 ba · 1,400 sqft · Built 1920 · Other · Active · 3 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,091/mo
• Mortgage (P&I): −$197
• Tax + insurance: −$44
• HOA: −$0
• Vac / Maint / Mgmt: −$229
• Net cashflow: $622/mo
• Annual: $7,463/yr
• Cap rate: 26.20%
• Cash-on-cash: 71.08%
• DSCR: 4.16
• 1% rule: 2.91%
• Cash to close: $10,500

Investor read

• This is a 3-bed/1.0-bath other listed at $38k.
• At list price, monthly cash flow is $622 ($7k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $38k).
• Only 3 days on market — expect competitive offers; lowballing is unlikely to land.
• In year one you build about $1k of equity ($259 loan paydown + $1k appreciation (3.0% local appreciation)).
• Location reads 66/100 on livability (#245 in MO) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: health & safety C-, crime F, amenities F.
• Richland R-I (rural): math 80% / reading 85% proficiency, ranked #1 of 535 in MO (top 0%) — strong family-tenant draw, lease renewals of 3-5y typical.
• Zoned schools: Richland Elem. (math 77% / reading 87%, grade A+, #4 of 1,115 statewide, top 0%, 145 students, 60% FRL); Richland High (math 32% / reading 57%, grade F, #179 of 521 statewide, top 39%, 122 students, 65% FRL).
• Zoned-school proficiency averages 63% at this address vs 82% district-wide (-19 pts) — the specific schools serving this property underperform the Richland R-I average; the district grade overstates school quality for this exact location.
• Watch-outs: built in 1920 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 5 active listings in the ZIP; 17 units permitted in Stoddard County in 2024 (0 in 5+ unit buildings).
• Stoddard County population projected at -12% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 3 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 $10k cash investment doubles in ~2 years — after that, you're playing with house money.
• Climate carrying-cost: extreme-heat days projected 7→20/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• Built in 1920 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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?
• 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.