1002 Ridgecrest St

Sweetwater, TX 79556

$159,000C-

3 bd · 2.0 ba · 1,745 sqft · Built 1990 · SingleFamily · Active · 17 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,543/mo
• Mortgage (P&I): −$834
• Tax + insurance: −$333
• HOA: −$0
• Vac / Maint / Mgmt: −$324
• Net cashflow: $52/mo
• Annual: $623/yr
• Cap rate: 6.69%
• Cash-on-cash: 1.40%
• DSCR: 1.06
• 1% rule: 0.97%
• Cash to close: $44,520

Investor read

• This is a 3-bed/2.0-bath single-family listed at $159k.
• At list price, monthly cash flow is $52 ($623/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $154k (2.9% below list).
• It's been on market 17 days — a 2% lower offer ($157k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $154k (2.9% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $5k of value loss. Plan a longer hold.
• Location reads 66/100 on livability (#640 in TX) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: crime D+, amenities F, commute F.
• Sweetwater ISD (town): math 27% / reading 29% proficiency, ranked #681 of 826 in TX (top 82%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: East Ridge El (math 27% / reading 22%, grade F, #3,052 of 4,322 statewide, top 74%, 238 students, 77% FRL); Sweetwater Middle (math 19% / reading 27%, grade F, #1,327 of 1,662 statewide, top 81%, 431 students, 67% FRL); Sweetwater H S (math 22% / reading 32%, grade F, #1,204 of 1,632 statewide, top 75%, 545 students, 64% FRL).
• Market conditions: 109 active listings in the ZIP; 15 units permitted in Nolan County in 2024 (0 in 5+ unit buildings).
• Nolan County population projected at +4% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• Climate carrying-cost: severe wildfire risk; extreme-heat days projected 7→23/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• 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 D 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.