1549 Husbands Rd

Farley, KY 42003

$155,000D

2 bd · 2.0 ba · 1,731 sqft · Built 1974 · Other · Active · 116 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,132/mo
• Mortgage (P&I): −$813
• Tax + insurance: −$134
• HOA: −$0
• Vac / Maint / Mgmt: −$238
• Net cashflow: $-53/mo
• Annual: $-633/yr
• Cap rate: 5.88%
• Cash-on-cash: -1.46%
• DSCR: 0.94
• 1% rule: 0.73%
• Cash to close: $43,400

Investor read

• This is a 2-bed/2.0-bath other listed at $155k.
• At list price, monthly cash flow is $-53 ($-633/yr) — negative.
• To cash-flow at today's rent, offer at most $146k (6.0% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $113k (27.0% below list).
• It's been on market 116 days — a 9% lower offer ($141k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $113k (27.0% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $5k of value loss. Plan a longer hold.
• Location reads 62/100 on livability (#359 in KY) — a middle-class / working-renter tenant base. Strengths: cost of living A+, crime A-, housing A-; Watch: employment D, amenities F, commute F.
• Mccracken County (town): math 41% / reading 52% proficiency, ranked #16 of 165 in KY (top 10%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Reidland Elementary School (math 22% / reading 32%, grade F, #434 of 676 statewide, top 69%, 587 students, 70% FRL); Reidland Middle School (math 36% / reading 47%, grade F, #51 of 217 statewide, top 24%, 330 students, 64% FRL); Mccracken County High School (math 30% / reading 44%, grade F, #58 of 254 statewide, top 27%, 1,999 students, 43% FRL) — zoned schools average 59% FRL vs 41% district-wide (18 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 269 active listings in the ZIP; 187 units permitted in McCracken County in 2024 (104 in 5+ unit buildings).
• McCracken County population projected to shrink 9% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• Current owner paid $73k; list at $155k implies a 112% gain — meaningful room to come down on a strong offer.
• Climate carrying-cost: 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

• 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 116 days. Have you received any prior offers? Is the seller open to a 27% concession, seller financing, or rate buy-down credit?
• Built in 1974 — 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.
• 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?
• 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.