5455 Pine Burr Blvd

Beaumont, TX 77708

$45,000B

2 bd · 1.0 ba · 696 sqft · Built 1962 · SingleFamily · Active · 33 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $956/mo
• Mortgage (P&I): −$236
• Tax + insurance: −$84
• HOA: −$0
• Vac / Maint / Mgmt: −$201
• Net cashflow: $436/mo
• Annual: $5,230/yr
• Cap rate: 17.91%
• Cash-on-cash: 41.51%
• DSCR: 2.85
• 1% rule: 2.13%
• Cash to close: $12,600

Investor read

• This is a 2-bed/1.0-bath single-family listed at $45k. Condition is rated fair.
• At list price, monthly cash flow is $436 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($956 rent vs $45k).
• It's been on market 33 days — a 3% lower offer ($44k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $44k (3.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $311 of loan paydown is wiped out by about $1k of value loss. Plan a longer hold.
• Location reads 64/100 on livability (#739 in TX) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: employment D, crime F, amenities F.
• Beaumont ISD (urban): math 14% / reading 22% proficiency, ranked #789 of 826 in TX (top 96%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 69% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Dr Mae E Jones-Clark El (math 8% / reading 9%, grade F, #4,298 of 4,322 statewide, top 99%, 569 students, 97% FRL, charter); Smith Middle (math 4% / reading 8%, grade F, #1,659 of 1,662 statewide, top 100%, 475 students, 90% FRL, charter) — zoned schools average 93% FRL vs 69% district-wide (24 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 130 active listings in the ZIP; 22 comparable units currently listed for rent nearby; rentals leasing fast (median 11d on market — plan ~1-2 weeks tenant-placement turnaround); 343 units permitted in Jefferson County in 2024 (0 in 5+ unit buildings).
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $13k cash investment doubles in ~3 years — after that, you're playing with house money.
• Climate carrying-cost: severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→23/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 17.9% vs local median 5.3% in Beaumont — 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.

Questions for listing agent

• It's been on market 33 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1962 — 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 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?
• 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.

Repairs flagged (vision-AI assessment)

• Major: roof — Signs of wear and discoloration suggest significant damage.
• Major: siding — Peeling paint and wear indicate the need for replacement.
• Major: flooring — Visible wear and tear suggest the need for replacement or repair.
• Major: interior walls — Peeling paint and discoloration indicate the need for repainting or replacement.
• Minor: landscaping — Overgrown vegetation can be trimmed and landscaped to improve curb appeal.