144 Palmer Ln

Ama, LA 70031

$88,000B

3 bd · 2.0 ba · 1,740 sqft · Built 1964 · SingleFamily · Pending · 211 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,950/mo
• Mortgage (P&I): −$461
• Tax + insurance: −$228
• HOA: −$0
• Vac / Maint / Mgmt: −$410
• Net cashflow: $851/mo
• Annual: $10,211/yr
• Cap rate: 18.80%
• Cash-on-cash: 44.68%
• DSCR: 2.99
• 1% rule: 2.22%
• Cash to close: $24,640

Investor read

• This is a 3-bed/2.0-bath single-family listed at $88k.
• At list price, monthly cash flow is $851 ($10k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $88k).
• It's been on market 211 days — a 12% lower offer ($77k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $77k (12.0% below list) — sets the bar for market timing.
• In year one you build about $2k of equity ($608 loan paydown + $1k appreciation (1.2% local appreciation)).
• Location reads 56/100 on livability (#346 in LA) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, crime A-; Watch: amenities F, commute F, employment F.
• St. Charles Parish (suburban): math 40% / reading 51% proficiency, ranked #14 of 98 in LA (top 14%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Luling Elementary School (math 27% / reading 29%, grade F, #355 of 646 statewide, top 55%, 734 students, 68% FRL); R.K. Smith Middle School (math 24% / reading 51%, grade F, #75 of 218 statewide, top 35%, 342 students, 67% FRL); Hahnville High School (math 40% / reading 46%, grade F, #66 of 265 statewide, top 25%, 1,491 students, 44% FRL).
• Watch-outs: flood insurance adds $66/mo.
• Market conditions: 13 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 74 units permitted in St. Charles Parish in 2024 (0 in 5+ unit buildings).
• St. Charles County population projected to shrink 7% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• 2 sale attempts; this cycle's ask has dropped $81k (48%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• At projected returns (1.2% appreciation + 3.0% rent growth), your $25k cash investment doubles in ~3 years — after that, you're playing with house money.
• Climate carrying-cost: major flood risk; severe wind risk, 99% chance of damaging wind over 30y; 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

• It's been on market 211 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Built in 1964 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
• 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.
• Schools are F-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• 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.