6540 87th St · Lubbock, TX 79424

$195,000

3 bd · 2.0 ba · 1,360 sqft · SingleFamily public records · 2 Days on market

Built 2003 5,600 sqft lot

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Why this score? — see what drove the D grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Cash flow +11.6/30.0
• ARV discount +7.5/15.0
• Schools +4.4/10.0
• Livability +4.0/5.0
• 1% rule +3.7/10.0
• DSCR +3.4/10.0
• Rent growth +3.2/5.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks

Move right into this charming and meticulously maintained 3-bedroom, 2-bath home located in highly sought-after Frenship ISD! Nestled in a fantastic location, this home offers the perfect combination of comfort, functionality, and recent updates. Step inside to find a warm and inviting living area centered around a cozy fireplace, an adorable kitchen with plenty of character, spacious bedrooms, and a primary suite featuring dual sinks for added convenience. You'll also love the separate laundry room with extra storage space to help keep everything organized. Outside, enjoy a large backyard with beautiful growing trees, providing the perfect setting for relaxing evenings, entertaining guests

Key facts

• Primary suite
• Large backyard
• Cozy fireplace

Tags

• COZY FIREPLACE
• ADORABLE KITCHEN
• PRIMARY SUITE
• SEPARATE LAUNDRY ROOM
• LARGE BACKYARD
• NEW ROOF

Property features AI

Exterior

• Parking: Attached garage; 2-car garage
• Security: 24-hour security
• Home design: Single family residence; Residential property
• Construction: Brick construction; Composition roof; Slab foundation; Built area approximately 1,360 above grade
• Exterior features: Private yard; Paved road access

Interior

• Kitchen: Dishwasher; Oven
• Bathrooms: 2 full bathrooms
• Heating & cooling: Central heating; Central air conditioning
• Interior features: Entrance foyer; Pantry; Storage; Walk-in closet(s); Wired for data; Fireplace (living room)
• Laundry & utility: Laundry room

What this means for you Summary

Snapshot

• This is a 3-bed/2.0-bath single-family listed at $195k.

Deal economics

• At list price, monthly cash flow is $-61 ($-736/yr) — negative.
• To cash-flow at today's rent, offer at most $184k (5.6% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $170k (12.7% below list).
• Recommended offer: $170k (12.7% below list) — sets the bar for 1% rule.

Location & tenants

• Location reads 80/100 on livability (#37 in TX, #1,749 nationally) — a professional / high-income tenant draw. Strengths: commute A+, cost of living A+, housing A+; Watch: employment C-, schools D+, crime F.
• Frenship ISD (urban): math 47% / reading 54% proficiency, ranked #162 of 826 in TX (top 20%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Market conditions: Rents rising (+2.8%/yr); 705 active listings in the ZIP; 24 comparable units currently listed for rent nearby; rentals at typical pace (median 22d on market — plan ~3-4 weeks tenant-placement turnaround); solid renter incomes; 2,219 units permitted in Lubbock County in 2024 (252 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $6k of value loss. Plan a longer hold.
• Lubbock County population projected at +39% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.

Negotiation context

• Only 2 days on market — expect competitive offers; lowballing is unlikely to land.

Risks & watch-outs

• Climate carrying-cost: moderate wildfire risk; extreme-heat days projected 7→21/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $170,329 (12.7% below list)

Questions for the listing agent

1. 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?
2. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
3. Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
4. 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?
5. 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?
6. 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.
7. 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.
8. 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.

Investment metrics

• 1% rule: 0.87% ✗
• Cap rate: 5.92%
• Cash-on-cash: -1.35%
• DSCR: 0.94
• GRM: 9.5

CMA / ARV

No comps found within radius.

Projected returns pro-forma

-3.0% appreciation · 2.75% rent growth · sell at horizon

5-year hold

• IRR: -18.8%
• Equity multiple: 0.34×
• Total profit: $-35,868
• Equity at exit: $29,075

10-year hold

• IRR: -11.7%
• Equity multiple: 0.31×
• Total profit: $-37,753
• Equity at exit: $16,860

Cash invested: $54,600 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 87 Strongly Landlord-Friendly
• State Texas: 87 Strongly Landlord-Friendly · R+5
• County: — inherits STATE
• City: — inherits STATE

3-day notice; statewide preemption; one of the fastest eviction climates; Travis County (Austin) slightly slower.

Methodology + full state rankings →

ZIP-level market 79424

• Rents YoY: 2.8%
• Active inventory: 705
• Price-to-rent: 9.5×

Monthly cashflow live

• Estimated rent: $1,703 high
• Mortgage (P&I): −$1,023
• Tax from tax record: −$303 /mo · $3,637/yr
• Insurance: −$81
• HOA: −$0
• Vacancy / Maint / Mgmt: −$358
• Net cashflow: $-61

Break-even live

Break-even rent $1,781

Max offer price $184,171

Occupancy floor 99%

Sensitivity live

Price	-10% $49	-5% $-6	+0% $-61	+5% $-116	+10% $-172
Rent	-10% $-196	-5% $-129	+0% $-61	+5% $6	+10% $73
Rate	-1.0pp $37	-0.5pp $-12	base $-61	+0.5pp $-112	+1.0pp $-163

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $48,750
• Closing costs: $5,850
• Reserves months: —
• Total cash needed: —

Rent comps 24 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
6550 85th St Lubbock, TX	3.0	2.0	1711	$1,700	$0.99	21d	1	0.12mi
6553 89th St Lubbock, TX	3.0	2.0	1564	$1,575	$1.01	21d	1	0.14mi
9104 Quincy Ave Lubbock, TX	3.0	2.0	1562	$1,750	$1.12	21d	1	0.43mi
9106 Quincy Ave Lubbock, TX	3.0	2.0	1593	$1,750	$1.10	14d	1	0.43mi
9305 Quitman Ave Lubbock, TX	3.0	2.0	1560	$1,650	$1.06	21d	1	0.52mi
9309 Quitman Ave Lubbock, TX	3.0	2.0	1577	$1,575	$1.00	21d	1	0.53mi
9304 Remington Ave Lubbock, TX	3.0	2.0	1649	$1,850	$1.12	44d	1	0.57mi
9706 Ross Ave Lubbock, TX	3.0	2.0	1760	$1,895	$1.08	44d	1	0.87mi
9707 Saratoga Ave Unit A Lubbock, TX	3.0	2.0	1350	$1,499	$1.11	21d	1	0.88mi
7051 96th St Unit A Lubbock, TX	3.0	2.0	1500	$1,450	$0.97	14d	1	0.89mi
9705 Trenton Ave Lubbock, TX	3.0	2.0	1350	$1,499	$1.11	21d	1	0.91mi
9710 Saratoga Ave Unit B Lubbock, TX	3.0	2.0	1350	$1,450	$1.07	21d	1	0.91mi
9702 Trenton Ave Lubbock, TX	3.0	2.0	1350	$1,499	$1.11	44d	1	0.92mi
9709 Trenton Ave Lubbock, TX	3.0	2.0	1350	$1,499	$1.11	44d	1	0.92mi
9711 Trenton Ave Lubbock, TX	3.0	2.0	1267	$1,499	$1.18	44d	1	0.93mi
9712 Trenton Ave Lubbock, TX	3.0	2.0	1350	$1,499	$1.11	21d	1	0.95mi
9716 Trenton Ave Lubbock, TX	3.0	2.0	1300	$1,499	$1.15	44d	1	0.96mi
6140 71st St Lubbock, TX	3.0	2.5	1350	$1,550	$1.15	14d	1	1.21mi
6111 71st St Lubbock, TX	1.0–2.0	1.0–2.0	839	$1,270	$1.51	14d	7	1.23mi
9806 Genoa Ave Lubbock, TX	4.0	2.0	1763	$2,050	$1.16	44d	1	1.23mi
10903 Norwich Ave Lubbock, TX	3.0–4.0	2.0–3.0	1613	$2,099	$1.30	14d	2	1.26mi
5731 90th St Lubbock, TX	3.0	2.0	1504	$1,650	$1.10	21d	1	1.28mi
7350 100th St Lubbock, TX	3.0	2.0	1400	$1,650	$1.18	44d	1	1.34mi
5706 87th Pl Lubbock, TX	3.0	2.0	1544	$1,550	$1.00	14d	1	1.37mi

Listing history 3 events

1. 2026-06-07
   statusdays on market $195,000 Pending 2 DOM
2. 2026-06-05
   remarks 699-char remark
3. 2026-06-05
   listed $195,000 Active 1 DOM

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Tax reassessment forecast TX · Resets to sale price

• Current annual tax: $3,637 · $303/mo
• Projected year-2 tax: $3,637 · $303/mo
• Expected delta: $0/yr ($0/mo · 0.0%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

• 🌊 Flood 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 5/10 Major
• 🌡 Heat 5/10 Major 7 d/yr ≥99°F today · 21 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 2/10 Low 1 unhealthy d/yr today · 1 by 30 yrs out

Taxation est. · year 1

• Rental income: $20,439
• − Mortgage interest: −$10,923
• − Property taxes: −$3,637
• − Insurance: −$975
• − Repairs & maintenance: −$1,635
• − Management: −$1,635
• − Depreciation: −$5,673
• Taxable loss: −$4,038
• Est. tax savings @ 24.0%: +$969
• After-tax cash flow: $234/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Schools (NCES district)

• District: Frenship ISD
• NCES district ID: 4819830
• Math proficiency: 47% ▼ -8.00%
• Reading proficiency: 54% ▬ 0.00%
• Median HH income: $54,376
• Composite: 43.59/100
• National rank: #2976
• State rank: #162 of 826 in TX

Livability — Lubbock

• Score: 80/100
• State rank: #37
• US rank: #1749

Category grades

Amenities A Commute A+ Cost of living A+ Crime F Employment C- Housing A+ Health & safety A+ User ratings D+

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Lubbock, TX
• County: Lubbock County · 293,542 people
• City population: 283,030
• Metro: Lubbock, TX
• Population (ZIP): 53,478
• Household income: $97,231
• Rent vs Own: 31.0% rent · 69.0% own
• Severe rent burden: 1958.0

Population outlook (Lubbock County) Hauer SSP2

• Today (2025): 345,960 people
• By 2030: 371,449 · +7.4%
• By 2040: 424,539 · +22.7%
• By 2050: 481,150 · +39.1%
• By 2075: 633,467 · +83.1%
• By 2100: 746,853 · +115.9%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (71%)
• Race & ethnicity: White 71% Hispanic / Latino 21% Two or more races 12% Asian 3% Black 2%
• Hispanic origin (detail): Mexican 17%
• Common ancestry: Slovak 2% Italian 2% Lithuanian 1%
• Foreign-born: 6% · Canada, China
• Languages at home: 88% English-only · Spanish 8% Chinese 1% Tagalog/Filipino 1%

Political lean MEDSL · Lubbock

• 2024 margin: Solid R (+39.5) · D 29.7% · R 69.2% · Other 1.0%
• 2008→2024 swing: -2.8pp toward R · 2008: -36.7pp · 2024: -39.5pp
• All cycles: 2024: R+39.5 2020: R+32.2 2016: R+38.4 2012: R+40.9 2008: R+36.7

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -146.64%
• Current HPI: 213.2155
• Rent YoY: ▲ 2.75%
• Metro: Lubbock, TX
• State GDP YoY: ▲ 3.95%
• F500 in state: 110

Industry mix (Fortune 500 HQ in TX)

Industry	F500 HQs	Revenue
▸Energy	16	$1,198B
▸Technology	5	$198B
▸Engineering / Construction	4	$72B
▸Energy Services	3	$60B
▸Utilities	3	$41B
▸Healthcare	2	$330B

Price history

1 event — show timeline

• 2026-06-03 Listed $195,000 LARMLS

Property tax history

+3.1%/yr

Latest (2025): $3,637 · +0.9% YoY. Source: county tax records.