3625 Gorman Ave · Waco, TX 76710

$129,900

3 bd · 1.5 ba · 1,792 sqft · SingleFamily public records · 4 Days on market

Built 1935 7,492 sqft lot Est $249k · 48% under

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Why this score? — see what drove the B- grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Cash flow +25.8/30.0
• ARV discount +15.0/15.0
• DSCR +8.6/10.0
• 1% rule +7.9/10.0
• Livability +3.7/5.0
• Rent growth +3.1/5.0
• Condition / age +2.5/5.0
• Schools +1.8/10.0
• Appreciation +0.0/10.0

Listing remarks

CASH or OWNER FINANCE - DUEÑO A DUEÑO $40,000 Down Payment - 10% Interest Rate Investor special with great bones and tons of potential in an established Waco neighborhood. Bring your vision and make it your own. Conveniently located near shopping, restaurants, schools, and everything central Waco has to offer. Sold as-is.

Key facts

• 7,492 sq ft lot
• Garage
• Built 1935

Property features AI

Finance

• Other: Property is not in a municipal utility district; Possession is negotiable; Standard listing conditions; For sale (Active)
• Financial info: Listing terms include cash, owner will carry, private financing available, and other; Loan type treated as clear
• HOA & community: No association

Exterior

• Parking: Driveway; Covered parking (1 covered space); Attached garage (1 garage space, garage faces front)
• Security:
• Utilities: City sewer; City water; Electricity connected; Individual water meter; Sidewalk
• Home design: Single family residence; Residential property; Two levels; Built in 1935; Entry level information not provided
• Construction: Composition roof; Preowned construction (originally built 1935)
• Exterior features: Chain link fencing; Few trees; Interior lot; No easements listed

Interior

• Kitchen: Kitchen (no appliances included)
• Bedrooms: Three bedrooms (primary bedroom on level 2, two additional bedrooms — one on level 2)
• Flooring:
• Bathrooms: One full bathroom; One half bathroom (two total bathrooms)
• Heating & cooling: Electric heating; Fireplace(s) for supplemental heat (living room); Ceiling fan(s); Electric cooling
• Interior features: Open floorplan; One living area; One dining area; Five total rooms
• Laundry & utility: No appliances listed

What this means for you Summary

Snapshot

• This is a 3-bed/1.5-bath single-family listed at $130k.

Deal economics

• At list price, monthly cash flow is $315 ($4k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $130k).
• Cap rate 9.2% vs local median 3.9% in Waco — 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.

Location & tenants

• Location reads 74/100 on livability (#166 in TX, #4,378 nationally) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: crime D, commute F, employment D-.
• Waco ISD (urban): math 20% / reading 24% proficiency, ranked #773 of 826 in TX (top 94%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 81% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Crestview El (math 17% / reading 17%, grade F, #3,836 of 4,322 statewide, top 91%, 451 students, 94% FRL).
• Market conditions: Rents rising (+2.4%/yr); 188 active listings in the ZIP; 19 comparable units currently listed for rent nearby; rentals at typical pace (median 22d on market — plan ~3-4 weeks tenant-placement turnaround); 1,014 units permitted in McLennan County in 2024 (200 in 5+ unit buildings).
• This rent runs 34% of the median local income ($58k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $898 of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
• McLennan County population projected at +17% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.

Negotiation context

• Only 4 days on market — expect competitive offers; lowballing is unlikely to land.

Risks & watch-outs

• Watch-outs: built in 1935 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: major wind risk, 60% 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.

Recommended offer $129,900

Questions for the listing agent

1. Built in 1935 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
2. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
3. 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?
4. Crime grade is D 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?
5. 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.
6. 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.
7. 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.

Investment metrics

• 1% rule: 1.29% ✓
• Cap rate: 9.21%
• Cash-on-cash: 10.40%
• DSCR: 1.46
• GRM: 6.5

CMA / ARV

• ARV (on-the-fly): $249,088
• Comps found: 12

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
4109 Sanger Ave	0.33mi	3/2.0	1,731 (-3%)	2mo	$255,000	$147	75
1325 Sunset St	0.44mi	3/2.0	1,782 (-1%)	4mo	$229,900	$129	74
3929 Huaco Ln	0.44mi	3/2.0	1,810 (+1%)	4mo	$235,000	$130	72
3808 Morrow Ave	0.19mi	3/2.0	1,969 (+10%)	1mo	$179,900	$91	72
709 N 43rd St	0.44mi	2/2.0 (-1)	1,873 (+4%)	2mo	$190,000	$101	63
3100 Ethel Ave	0.65mi	2/2.0 (-1)	1,816 (+1%)	2mo	$229,900	$127	59
308 N 39th St	0.57mi	3/2.0	1,934 (+8%)	5mo	$386,000	$200	54
2814 Sanger Ave	0.58mi	4/2.5 (+1)	1,670 (-7%)	0mo	$269,900	$162	53
3112 Homan Ave	0.57mi	3/2.0	1,586 (-12%)	1mo	$220,000	$139	52
1029 N New Rd	0.58mi	4/2.0 (+1)	1,634 (-9%)	4mo	$199,500	$122	48
419 Oriental Rd	0.49mi	4/2.0 (+1)	2,016 (+12%)	5mo	$425,000	$211	45
3836 Austin Ave	0.72mi	2/2.0 (-1)	2,003 (+12%)	1mo	$324,900	$162	39

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

-3.0% appreciation · 2.41% rent growth · sell at horizon

5-year hold

• IRR: -1.4%
• Equity multiple: 0.95×
• Total profit: $-1,862
• Equity at exit: $19,369

10-year hold

• IRR: 7.7%
• Equity multiple: 1.57×
• Total profit: $20,609
• Equity at exit: $11,231

Cash invested: $36,372 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 87 Strongly Landlord-Friendly
• State Texas: 87 Strongly Landlord-Friendly · R+5
• County: — inherits STATE
• City: — inherits STATE

3-day notice; statewide preemption; one of the fastest eviction climates; Travis County (Austin) slightly slower.

Methodology + full state rankings →

ZIP-level market 76710

• Rents YoY: 2.4%
• Active inventory: 188
• Price-to-rent: 6.5×

Monthly cashflow live

• Estimated rent: $1,671 high
• Mortgage (P&I): −$681
• Tax from tax record: −$270 /mo · $3,235/yr
• Insurance: −$54
• HOA: −$0
• Vacancy / Maint / Mgmt: −$351
• Net cashflow: $315

Break-even live

Break-even rent $1,272

Max offer price $129,900

Occupancy floor 76%

Sensitivity live

Price	-10% $389	-5% $352	+0% $315	+5% $279	+10% $242
Rent	-10% $183	-5% $249	+0% $315	+5% $381	+10% $447
Rate	-1.0pp $381	-0.5pp $348	base $315	+0.5pp $282	+1.0pp $247

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $32,475
• Closing costs: $3,897
• Reserves months: —
• Total cash needed: —

Rent comps 19 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
1113 N New Rd Waco, TX	3.0	2.0	1326	$1,620	$1.22	22d	1	0.57mi
2714 Morrow Ave Waco, TX	2.0	1.0	1484	$1,375	$0.93	22d	1	0.64mi
3125 Ethel Ave Waco, TX	3.0	2.0	1760	$1,900	$1.08	22d	1	0.64mi
3007 Parrott Ave Unit 1 Waco, TX	3.0	2.0	1458	$1,650	$1.13	22d	1	0.85mi
608 N 23rd St Waco, TX	3.0	1.0	1361	$1,695	$1.25	22d	1	0.99mi
415 N 23rd St Waco, TX	3.0	2.0	1680	$2,000	$1.19	22d	1	1.06mi
2511 Parrott Ave Waco, TX	3.0	2.0	1463	$1,695	$1.16	44d	1	1.06mi
1901 N 28th St Waco, TX	3.0	2.0	1794	$1,950	$1.09	22d	1	1.08mi
2116 Morrow Ave Waco, TX	4.0	2.0	1703	$1,650	$0.97	22d	1	1.08mi
1400 N 23rd St Waco, TX	4.0	2.0	1650	$1,575	$0.95	14d	1	1.10mi
2300 Washington Ave Waco, TX	3.0	1.0	1232	$1,650	$1.34	14d	1	1.13mi
2100 N 33rd St Waco, TX	3.0	3.0	1858	$2,200	$1.18	44d	1	1.15mi
2001 Bosque Blvd Waco, TX	3.0	1.0	1628	$1,100	$0.68	44d	1	1.24mi
1000 N 19th St Waco, TX	3.0	1.5	1800	$2,050	$1.14	22d	1	1.29mi
3825 Kimberly Dr Waco, TX	2.0	2.0	1233	$1,250	$1.01	22d	1	1.30mi
2213 N 41st St Waco, TX	3.0	1.5	1299	$1,550	$1.19	14d	1	1.31mi
1923 Austin Ave Unit 5202 Waco, TX	2.0	2.5	1265	$1,395	$1.10	22d	1	1.37mi
5025 Loch Lomond Dr Waco, TX	3.0	2.0	1611	$1,850	$1.15	22d	1	1.49mi
1815 Seneca Ave Waco, TX	3.0	2.0	1471	$1,650	$1.12	22d	1	1.50mi

Listing history 3 events

1. 2026-06-21
   days on market $129,900 Active 4 DOM
2. 2026-06-17
   remarks 325-char remark
3. 2026-06-17
   listed $129,900 Active 1 DOM

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Tax reassessment forecast TX · Resets to sale price

• Current annual tax: $3,235 · $270/mo
• Projected year-2 tax: $3,235 · $270/mo
• Expected delta: $0/yr ($0/mo · 0.0%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

• 🌊 Flood 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 2/10 Low
• 🌡 Heat 7/10 Severe 7 d/yr ≥109°F today · 24 d/yr by 30 yrs out
• 💨 Wind 6/10 Major 60% chance of damaging wind over 30 yrs
• 🫁 Air quality 2/10 Low 0 unhealthy d/yr today · 1 by 30 yrs out

Taxation est. · year 1

• Rental income: $20,054
• − Mortgage interest: −$7,276
• − Property taxes: −$3,235
• − Insurance: −$650
• − Repairs & maintenance: −$1,604
• − Management: −$1,604
• − Depreciation: −$3,779
• Taxable income: $1,906
• Est. tax owed @ 24.0%: −$457
• After-tax cash flow: $3,326/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Schools (NCES district)

• District: Waco ISD
• NCES district ID: 4844280
• Math proficiency: 20% ▼ -14.00%
• Reading proficiency: 24% ▼ -6.00%
• Median HH income: $29,208
• Composite: 17.57/100
• National rank: #9043
• State rank: #773 of 826 in TX

Livability — Waco

• Score: 74/100
• State rank: #166
• US rank: #4378

Category grades

Amenities C Commute F Cost of living A+ Crime D Employment D- Housing A+ Health & safety A+ User ratings B-

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Waco, TX
• County: McLennan County · 213,088 people
• City population: 125,319
• Metro: Waco, TX
• Population (ZIP): 23,329
• Household income: $58,186
• Rent vs Own: 52.7% rent · 47.3% own
• Severe rent burden: 1202.0

Population outlook (McLennan County) Hauer SSP2

• Today (2025): 264,191 people
• By 2030: 273,578 · +3.6%
• By 2040: 291,506 · +10.3%
• By 2050: 308,044 · +16.6%
• By 2075: 349,648 · +32.3%
• By 2100: 364,779 · +38.1%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Diverse neighborhood (Simpson 0.60)
• Race & ethnicity: White 55% Hispanic / Latino 26% Two or more races 19% Black 15%
• Hispanic origin (detail): Mexican 21% Puerto Rican 2%
• Common ancestry: Slovak 3% Lithuanian 2% Romanian 2%
• Foreign-born: 5% · Canada, China
• Languages at home: 84% English-only · Spanish 14% German/W. Germanic 1%

Political lean MEDSL · McLennan

• 2024 margin: Solid R (+30.9) · D 34.0% · R 64.9% · Other 1.0%
• 2008→2024 swing: -7.0pp toward R · 2008: -23.9pp · 2024: -30.9pp
• All cycles: 2024: R+30.9 2020: R+23.4 2016: R+27.1 2012: R+29.8 2008: R+23.9

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -147.65%
• Current HPI: 227.2988
• Rent YoY: ▲ 2.41%
• Metro: Waco, TX
• State GDP YoY: ▲ 3.95%
• F500 in state: 110

Industry mix (Fortune 500 HQ in TX)

Industry	F500 HQs	Revenue
▸Energy	16	$1,198B
▸Technology	5	$198B
▸Engineering / Construction	4	$72B
▸Energy Services	3	$60B
▸Utilities	3	$41B
▸Healthcare	2	$330B

Price history

3 events — show timeline

• 2026-06-17 Listed $129,900 NTREIS
• 2026-04-10 Sold (Public Records) — Public Records
• 2014-01-15 Sold (Public Records) — Public Records

Property tax history

+8.9%/yr

Latest (2025): $3,235 · +9.6% YoY. Source: county tax records.