104 Peace Lily Way

Tolar, TX 76476

$266,990D

4 bd · 2.0 ba · 1,804 sqft · Built 2026 · Land · Active · 48 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,965/mo
• Mortgage (P&I): −$1,400
• Tax + insurance: −$445
• HOA: −$0
• Vac / Maint / Mgmt: −$413
• Net cashflow: $-293/mo
• Annual: $-3,512/yr
• Cap rate: 4.98%
• Cash-on-cash: -4.70%
• DSCR: 0.79
• 1% rule: 0.74%
• Cash to close: $74,757

Investor read

• This is a 4-bed/2.0-bath land listed at $267k.
• At list price, monthly cash flow is $-293 ($-4k/yr) — negative.
• To cash-flow at today's rent, offer at most $225k (15.9% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $197k (26.4% below list).
• It's been on market 48 days — a 3% lower offer ($259k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $197k (26.4% below list) — sets the bar for 1% rule.
• In year one you build about $2k of equity ($2k loan paydown + $177 appreciation (0.1% local appreciation)).
• Location reads 75/100 on livability (#146 in TX, #4,139 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: health & safety D+, amenities F, commute F.
• Tolar ISD (rural): math 55% / reading 50% proficiency, ranked #131 of 826 in TX (top 16%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Tolar El (math 42% / reading 42%, grade F, #1,335 of 4,322 statewide, top 33%, 393 students, 39% FRL); Tolar J H (math 62% / reading 57%, grade B, #166 of 1,662 statewide, top 11%, 201 students, 36% FRL); Tolar H S (math 67% / reading 52%, grade C+, #275 of 1,632 statewide, top 19%, 284 students, 30% FRL).
• Market conditions: 137 active listings in the ZIP; 3 comparable units currently listed for rent nearby; rentals at typical pace (median 27d on market — plan ~3-4 weeks tenant-placement turnaround); 125 units permitted in Hood County in 2024 (0 in 5+ unit buildings).
• Hood County population projected at +29% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 2 sale attempts since 3y 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.
• Cap rate 5.0% vs local median 3.1% in Tolar — 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

• 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 48 days. Have you received any prior offers? Is the seller open to a 26% concession, seller financing, or rate buy-down credit?
• 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?
• 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?
• 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.