73 Larue St

Reeds Spring, MO 65737

$86,900B

3 bd · 2.0 ba · 1,440 sqft · Built 1970 · Manufactured · Pending · 91 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,950/mo
• Mortgage (P&I): −$456
• Tax + insurance: −$118
• HOA: −$0
• Vac / Maint / Mgmt: −$410
• Net cashflow: $967/mo
• Annual: $11,603/yr
• Cap rate: 20.56%
• Cash-on-cash: 50.96%
• DSCR: 3.27
• 1% rule: 2.24%
• Cash to close: $24,332

Investor read

• This is a 3-bed/2.0-bath manufactured listed at $87k.
• At list price, monthly cash flow is $967 ($12k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $87k).
• It's been on market 91 days — a 9% lower offer ($79k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $79k (9.0% below list) — sets the bar for market timing.
• Local home prices are declining (-2.2%/yr); year-one equity from $601 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Location reads 71/100 on livability (#114 in MO) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A-; Watch: health & safety C-, amenities F, commute F.
• Reeds Spring R-IV (rural): math 34% / reading 42% proficiency, ranked #182 of 324 in MO (top 56%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Reeds Spring Elem. (math 33% / reading 33%, grade F, #744 of 1,115 statewide, top 67%, 358 students, 62% FRL); Reeds Spring Middle (math 31% / reading 46%, grade F, #202 of 391 statewide, top 54%, 286 students, 56% FRL); Reeds Spring High (math 32% / reading 47%, grade F, #247 of 521 statewide, top 55%, 602 students, 47% FRL) — zoned schools at 55% FRL track the district average.
• Watch-outs: flood insurance adds $66/mo.
• Market conditions: 346 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 191 units permitted in Stone County in 2024 (0 in 5+ unit buildings).
• Stone County population projected at -30% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (-2.2% appreciation + 3.0% rent growth), your $24k cash investment doubles in ~3 years — after that, you're playing with house money.
• Climate carrying-cost: severe flood risk; extreme-heat days projected 7→21/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 20.6% vs local median 1.1% in Reeds Spring — 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.

Questions for listing agent

• It's been on market 91 days. Have you received any prior offers? Is the seller open to a 9% concession, seller financing, or rate buy-down credit?
• Built in 1970 — 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.
• 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.