631 Millard St

Mason, TX 76856

$99,000F

2 bd · 1.0 ba · 888 sqft · Built 1930 · SingleFamily · Active · 134 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $590/mo
• Mortgage (P&I): −$519
• Tax + insurance: −$182
• HOA: −$0
• Vac / Maint / Mgmt: −$124
• Net cashflow: $-235/mo
• Annual: $-2,822/yr
• Cap rate: 3.44%
• Cash-on-cash: -10.18%
• DSCR: 0.55
• 1% rule: 0.60%
• Cash to close: $27,720

Investor read

• This is a 2-bed/1.0-bath single-family listed at $99k.
• At list price, monthly cash flow is $-235 ($-3k/yr) — negative.
• To cash-flow at today's rent, offer at most $57k (42.0% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $59k (40.4% below list).
• It's been on market 134 days — a 12% lower offer ($87k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $57k (42.0% below list) — sets the bar for cash-flow.
• In year one you build about $5k of equity ($684 loan paydown + $5k appreciation (4.6% local appreciation)).
• Location reads 65/100 on livability (#662 in TX) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F, employment F.
• Mason ISD (rural): math 57% / reading 63% proficiency, ranked #76 of 826 in TX (top 9%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Mason El (math 57% / reading 57%, grade C+, #505 of 4,322 statewide, top 13%, 291 students, 50% FRL); Mason J H (math 52% / reading 62%, grade B, #212 of 1,662 statewide, top 13%, 204 students, 48% FRL); Mason H S (math 72% / reading 64%, grade B, #147 of 1,632 statewide, top 9%, 214 students, 42% FRL) — zoned schools at 47% FRL track the district average.
• Watch-outs: built in 1930 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 99 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 4 units permitted in Mason County in 2024 (0 in 5+ unit buildings).
• Mason County population projected to shrink 4% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• By year 7, paydown + projected appreciation supports a ~$34k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: severe flood risk; major wind risk, 27% chance of damaging wind over 30y; major wildfire risk; extreme-heat days projected 6→20/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

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 134 days. Have you received any prior offers? Is the seller open to a 42% concession, seller financing, or rate buy-down credit?
• Built in 1930 — 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.
• 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.