AUSTIN Plan

Boyd, TX 76023

$262,990F

4 bd · 2.0 ba · 1,657 sqft · Built — · SingleFamily · Active · 222 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,184/mo
• Mortgage (P&I): −$1,531
• Tax + insurance: −$486
• HOA: −$0
• Vac / Maint / Mgmt: −$459
• Net cashflow: $-292/mo
• Annual: $-3,504/yr
• Cap rate: 5.09%
• Cash-on-cash: -4.29%
• DSCR: 0.81
• 1% rule: 0.75%
• Cash to close: $81,726

Investor read

• This is a 4-bed/2.0-bath single-family listed at $263k. Condition is rated good.
• At list price, monthly cash flow is $-292 ($-4k/yr) — negative.
• To cash-flow at today's rent, offer at most $250k (5.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $218k (17.0% below list).
• It's been on market 222 days — a 12% lower offer ($231k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $218k (17.0% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $9k of value loss. Plan a longer hold.
• Location reads 74/100 on livability (#185 in TX, #4,775 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F.
• Boyd ISD (rural): math 36% / reading 38% proficiency, ranked #462 of 826 in TX (top 56%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Boyd El (math 47% / reading 37%, grade F, #1,335 of 4,322 statewide, top 33%, 478 students, 57% FRL); Boyd Middle (math 32% / reading 47%, grade F, #660 of 1,662 statewide, top 41%, 202 students, 48% FRL); Boyd H S (math 37% / reading 47%, grade F, #730 of 1,632 statewide, top 47%, 386 students, 39% FRL) — zoned schools at 48% FRL track the district average.
• Market conditions: 282 active listings in the ZIP; 16 comparable units currently listed for rent nearby; rentals lingering (median 75d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 81% of comp listings sitting > 30 days — soft ceiling on asking rent; solid renter incomes; 460 units permitted in Wise County in 2024 (243 in 5+ unit buildings).
• Wise County population projected at +27% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• Climate carrying-cost: major wind risk, 27% chance of damaging wind over 30y; major wildfire risk; extreme-heat days projected 7→22/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• This rent runs 32% of the median local income ($81k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Questions for listing agent

• 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?
• It's been on market 222 days. Have you received any prior offers? Is the seller open to a 17% concession, seller financing, or rate buy-down credit?
• 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.
• 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?
• 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.