102 4th St

Whitharral, TX 79380

$28,000D+

3 bd · 2.0 ba · 1,466 sqft · Built 1950 · SingleFamily · Pending · 66 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,198/mo
• Mortgage (P&I): −$147
• Tax + insurance: −$47
• HOA: −$0
• Vac / Maint / Mgmt: −$252
• Net cashflow: $753/mo
• Annual: $9,038/yr
• Cap rate: 38.57%
• Cash-on-cash: 115.29%
• DSCR: 6.13
• 1% rule: 4.28%
• Cash to close: $7,840

Investor read

• This is a 3-bed/2.0-bath single-family listed at $28k. Condition is rated fair.
• At list price, monthly cash flow is $753 ($9k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $28k).
• It's been on market 66 days — a 6% lower offer ($26k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $26k (6.0% below list) — sets the bar for market timing.
• In year one you build about $1k of equity ($194 loan paydown + $840 appreciation (3.0% local appreciation)).
• Location reads: area grade D — affects rentability + tenant quality, not the cash-flow math above.
• Whitharral ISD (rural): math 55% / reading 45% proficiency, ranked #355 of 1,141 in TX (top 31%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Watch-outs: built in 1950 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 4 active listings in the ZIP; 7 units permitted in Hockley County in 2024 (0 in 5+ unit buildings).
• Hockley County population projected at +21% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 2 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 (3.0% appreciation + 3.0% rent growth), your $8k cash investment doubles in ~1 year — after that, you're playing with house money.

Questions for listing agent

• It's been on market 66 days. Have you received any prior offers? Is the seller open to a 6% 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 1950 — 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.
• 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?
• 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.

Repairs flagged (vision-AI assessment)

• Major: roof — The satellite image suggests significant damage to the roof.
• Major: exterior walls — The exterior walls show signs of wear and discoloration.
• Major: landscaping — The landscaping appears sparse and overgrown, which may require significant work to improve curb appeal.
• Major: HVAC/mechanicals — No photos of the HVAC or mechanical systems are available to assess their condition, but they likely need significant work to function properly.
• Major: interior walls/paint — No interior photos are available to assess the condition of the walls and paint, but they likely need significant work to be in good condition.
• Major: foundation/structure — No photos of the foundation or structure are available to assess its condition, but it likely needs significant work to be in good condition.