19638 San Angelo Park Dr

Cypress, TX 77433

$305,000D-

3 bd · 2.5 ba · 1,813 sqft · Built 2021 · Townhouse · Active · 23 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,571/mo
• Mortgage (P&I): −$1,599
• Tax + insurance: −$949
• HOA: −$222
• Vac / Maint / Mgmt: −$540
• Net cashflow: $-739/mo
• Annual: $-8,866/yr
• Cap rate: 3.39%
• Cash-on-cash: -10.38%
• DSCR: 0.54
• 1% rule: 0.84%
• Cash to close: $85,400

Investor read

• This is a 3-bed/2.5-bath townhouse listed at $305k. Condition is rated good.
• At list price, monthly cash flow is $-739 ($-9k/yr) — negative.
• To cash-flow at today's rent, offer at most $197k (35.4% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $257k (15.7% below list).
• It's been on market 23 days — a 2% lower offer ($300k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $197k (35.4% below list) — sets the bar for cash-flow.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $9k of value loss. Plan a longer hold.
• Location reads: area grade D — affects rentability + tenant quality, not the cash-flow math above.
• Cypress-Fairbanks ISD (suburban): math 45% / reading 52% proficiency, ranked #161 of 826 in TX (top 20%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Pope El (math 81% / reading 78%, grade A, #35 of 4,322 statewide, top 1%, 1,001 students, 12% FRL); Smith Middle (math 79% / reading 78%, grade A+, #19 of 1,662 statewide, top 1%, 2,057 students, 14% FRL); Cypress-Fairbanks J J A E P (12 students, 0% FRL) — zoned schools average 8% FRL vs 43% district-wide (34 pts lower); this property's tenant base skews higher-income than the district average.
• Zoned-school proficiency averages 79% at this address vs 48% district-wide (+30 pts) — the actual schools serving this property are materially stronger than the Cypress-Fairbanks ISD average implies; a family-tenant draw the district grade alone would hide.
• Watch-outs: property tax is 3.2% of price.
• Market conditions: Rents soft (-1.3%/yr); 2594 active listings in the ZIP; 9 comparable units currently listed for rent nearby; rentals lingering (median 55d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 89% of comp listings sitting > 30 days — soft ceiling on asking rent; high-income renter base; 29,883 units permitted in Harris County in 2024 (8,621 in 5+ unit buildings).
• Harris County population projected at +47% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 3 sale attempts 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.
• Climate carrying-cost: severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→22/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 3.4% vs local median 2.8% in Cypress — meaningfully above typical; check what's discounted (condition, days-on-market, listing class) to confirm the premium yield is real.

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?
• Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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.
• 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.