1290 E Avenue F Ave

Fort Sumner, NM 88119

$165,000D-

3 bd · 2.0 ba · 1,512 sqft · Built 2002 · SingleFamily · Active · 38 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,100/mo
• Mortgage (P&I): −$865
• Tax + insurance: −$119
• HOA: −$0
• Vac / Maint / Mgmt: −$231
• Net cashflow: $-116/mo
• Annual: $-1,387/yr
• Cap rate: 5.45%
• Cash-on-cash: -3.00%
• DSCR: 0.87
• 1% rule: 0.67%
• Cash to close: $46,200

Investor read

• This is a 3-bed/2.0-bath single-family listed at $165k.
• At list price, monthly cash flow is $-116 ($-1k/yr) — negative.
• To cash-flow at today's rent, offer at most $145k (12.4% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $110k (33.4% below list).
• It's been on market 38 days — a 3% lower offer ($160k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $110k (33.4% below list) — sets the bar for 1% rule.
• In year one you build about $5k of equity ($1k loan paydown + $4k appreciation (2.4% local appreciation)).
• Location reads 62/100 on livability (#86 in NM) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: health & safety C-, amenities F, commute F.
• Fort Sumner Municipal Schools (rural): math 25% / reading 50% proficiency, ranked #18 of 95 in NM (top 19%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Fort Sumner Elementary (math 24% / reading 64%, grade F, #30 of 68 statewide, top 43%, 116 students, 100% FRL); Fort Sumner Middle (math 27% / reading 62%, grade D, #4 of 27 statewide, top 12%, 82 students, 100% FRL); Fort Sumner High (math 75% / reading 75%, grade A-, #10 of 110 statewide, top 15%, 75 students, 100% FRL) — zoned schools average 100% FRL vs 53% district-wide (47 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Zoned-school proficiency averages 55% at this address vs 38% district-wide (+17 pts) — the actual schools serving this property are materially stronger than the Fort Sumner Municipal Schools average implies; a family-tenant draw the district grade alone would hide.
• Market conditions: 30 active listings in the ZIP.
• De Baca County population projected at -29% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• By year 7, paydown + projected appreciation supports a ~$32k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

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 38 days. Have you received any prior offers? Is the seller open to a 33% concession, seller financing, or rate buy-down credit?
• 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.
• 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.