2719 Fm 524

Sweeny, TX 77480

$137,900B-

3 bd · 2.0 ba · 1,992 sqft · Built 1973 · SingleFamily · Active · 121 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,537/mo
• Mortgage (P&I): −$723
• Tax + insurance: −$230
• HOA: −$0
• Vac / Maint / Mgmt: −$323
• Net cashflow: $262/mo
• Annual: $3,139/yr
• Cap rate: 8.57%
• Cash-on-cash: 8.13%
• DSCR: 1.36
• 1% rule: 1.11%
• Cash to close: $38,612

Investor read

• This is a 3-bed/2.0-bath single-family listed at $138k. Condition is rated poor.
• At list price, monthly cash flow is $262 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $138k).
• It's been on market 121 days — a 12% lower offer ($121k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $121k (12.0% below list) — sets the bar for market timing.
• In year one you build about $15k of equity ($953 loan paydown + $14k appreciation (10.0% local appreciation)).
• Location reads 71/100 on livability (#306 in TX) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, crime A; Watch: amenities F, commute F.
• Columbia-Brazoria ISD (town): math 35% / reading 33% proficiency, ranked #513 of 826 in TX (top 62%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: West Columbia El (math 47% / reading 39%, grade F, #1,283 of 4,322 statewide, top 30%, 709 students, 60% FRL); West Brazos J H (math 34% / reading 32%, grade F, #930 of 1,662 statewide, top 57%, 676 students, 65% FRL); Columbia H S (math 13% / reading 28%, grade F, #1,389 of 1,632 statewide, top 86%, 889 students, 60% FRL).
• Market conditions: 146 active listings in the ZIP; 3,960 units permitted in Brazoria County in 2024 (593 in 5+ unit buildings).
• Brazoria County population projected at +44% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• At projected returns (10.0% appreciation + 3.0% rent growth), your $39k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 3, paydown + projected appreciation supports a ~$37k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→24/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 8.6% vs local median 4.0% in Sweeny — 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 121 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1973 — 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.
• 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: roof — The roof is visibly damaged with missing shingles and requires full replacement.
• Major: exterior walls — The exterior walls are in poor condition with peeling paint and visible damage.
• Major: flooring — The flooring is in poor condition with visible damage and wear.
• Major: interior walls — The interior walls are in poor condition with visible damage and peeling paint.
• Major: HVAC system — The HVAC system is in poor condition with visible damage and missing components.