281 Polk Road 24

Cove, AR 71937

$90,000C+

3 bd · 2.0 ba · 1,200 sqft · Built 1975 · SingleFamily · Active · 23 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $995/mo
• Mortgage (P&I): −$472
• Tax + insurance: −$150
• HOA: −$0
• Vac / Maint / Mgmt: −$209
• Net cashflow: $164/mo
• Annual: $1,972/yr
• Cap rate: 8.48%
• Cash-on-cash: 7.83%
• DSCR: 1.35
• 1% rule: 1.11%
• Cash to close: $25,200

Investor read

• This is a 3-bed/2.0-bath single-family listed at $90k. Condition is rated fair.
• At list price, monthly cash flow is $164 ($2k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($995 rent vs $90k).
• It's been on market 23 days — a 2% lower offer ($89k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $89k (1.5% below list) — sets the bar for market timing.
• In year one you build about $1k of equity ($622 loan paydown + $732 appreciation (0.8% local appreciation)).
• Location reads 49/100 on livability (#493 in AR) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+; Watch: crime F, amenities F, commute F.
• Cossatot River School District (rural): math 42% / reading 39% proficiency, ranked #68 of 238 in AR (top 29%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 89% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Van Cove Elementary School (math 47% / reading 32%); Cossatot River High School (math 27% / reading 40%, grade F, #112 of 292 statewide, top 39%, 374 students, 99% FRL).
• Market conditions: 20 active listings in the ZIP; 4 units permitted in Polk County in 2024 (0 in 5+ unit buildings).
• Polk County population projected at -15% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 4 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.
• At projected returns (0.8% appreciation + 3.0% rent growth), your $25k cash investment doubles in ~7 years — after that, you're playing with house money.

Questions for listing agent

• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1975 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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?
• Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
• 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.

Repairs flagged (vision-AI assessment)

• Major: kitchen flooring — damaged and worn
• Major: bathroom tiles — worn and outdated
• Unknown: HVAC system — no visible equipment