107 Oak St

Perryville, AR 72126

$32,500B+

2 bd · 1.0 ba · 844 sqft · Built 1938 · SingleFamily · Under Contract · 48 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $844/mo
• Mortgage (P&I): −$170
• Tax + insurance: −$28
• HOA: −$0
• Vac / Maint / Mgmt: −$177
• Net cashflow: $469/mo
• Annual: $5,626/yr
• Cap rate: 23.60%
• Cash-on-cash: 61.82%
• DSCR: 3.75
• 1% rule: 2.60%
• Cash to close: $9,100

Investor read

• This is a 2-bed/1.0-bath single-family listed at $32k.
• At list price, monthly cash flow is $469 ($6k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($844 rent vs $32k).
• It's been on market 48 days — a 3% lower offer ($32k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $32k (3.0% below list) — sets the bar for market timing.
• In year one you build about $3k of equity ($225 loan paydown + $2k appreciation (7.2% local appreciation)).
• Location reads 62/100 on livability (#211 in AR) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A+, housing A-; Watch: schools D+, amenities F, commute F.
• Perryville School District (rural): math 36% / reading 36% proficiency, ranked #112 of 238 in AR (top 47%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Watch-outs: built in 1938 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 33 active listings in the ZIP.
• Perry County population projected at -18% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 4 sale attempts since 5y ago; this cycle's ask has dropped $8k (19%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $14k; list at $32k implies a 132% gain — meaningful room to come down on a strong offer.
• At projected returns (7.2% appreciation + 3.0% rent growth), your $9k cash investment doubles in ~2 years — after that, you're playing with house money.
• Climate carrying-cost: moderate wildfire risk; extreme-heat days projected 7→20/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• It's been on market 48 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
• Built in 1938 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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?
• 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.