2406 N Gathings Dr · West Memphis, AR 72364

$45,900

3 bd · 1.5 ba · 1,076 sqft · SingleFamily public records · 22 Days on market

Built 1961 0.35 ac lot $43/sqft · 52% below area

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Why this score? — see what drove the B- grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Cash flow +30.0/30.0
• 1% rule +10.0/10.0
• DSCR +10.0/10.0
• ARV discount +7.5/15.0
• Livability +2.8/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Schools +1.2/10.0
• Appreciation +0.0/10.0

Listing remarks

investor special --3 Bedroom 1.5 bath great investment property

Key facts

• 0.35 acre lot
• Garage
• Built 1961

Property features AI

Exterior

• Parking: 1 parking space total; 1 covered space; Attached carport; Has garage (1 garage space); Has carport (1 carport space)
• Utilities: Public water; Public sewer
• Home design: Residential property; One story; Fixer condition
• Construction: Brick construction; Slab foundation; Built with composition roofing
• Exterior features: Composition roof; No listed exterior amenities; No listed patio or porch features

Interior

• Flooring: Hardwood
• Bathrooms: 1 full bathroom; 1 half bathroom
• Heating & cooling: No heating; No cooling
• Interior features: Gas water heater; Hardwood floors; No basement

What this means for you Summary

Snapshot

• This is a 3-bed/1.5-bath single-family listed at $46k.

Deal economics

• At list price, monthly cash flow is $710 ($9k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $46k).
• Recommended offer: $45k (1.5% below list) — sets the bar for market timing.
• Cap rate 24.8% vs local median 7.0% in West Memphis — 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.

Location & tenants

• Location reads 55/100 on livability (#413 in AR) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A; Watch: schools D-, crime F, amenities F.
• West Memphis School District (suburban): math 16% / reading 15% proficiency, ranked #224 of 238 in AR (top 94%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 96% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: 108 active listings in the ZIP; 12 comparable units currently listed for rent nearby; rentals at typical pace (median 16d on market — plan ~3-4 weeks tenant-placement turnaround); 42% of comp listings sitting > 30 days — soft ceiling on asking rent; 69 units permitted in Crittenden County in 2024 (0 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $317 of loan paydown is wiped out by about $1k of value loss. Plan a longer hold.
• Crittenden County population projected at -26% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $13k cash investment doubles in ~2 years — after that, you're playing with house money.

Negotiation context

• It's been on market 22 days — a 2% lower offer ($45k) is reasonable based on typical stale-listing flexibility.

Recommended offer $45,211 (1.5% below list)

Questions for the listing agent

1. Built in 1961 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
2. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
3. 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?
4. Crime grade is F 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?
5. 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.
6. 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.
7. 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.

Investment metrics

• 1% rule: 2.73% ✓
• Cap rate: 24.84%
• Cash-on-cash: 66.25%
• DSCR: 3.95
• GRM: 3.1

CMA / ARV

• ARV (median comp): $94,790
• List price: $45,900
• Delta: -51.58%
• Verdict: UNDERPRICED
• Comps: 20 within 1.0 mi

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
2413 Gathings Dr	0.11mi	3/1.0	1,040 (-3%)	4mo	$27,000	$26	84
2692 Beatty St	0.23mi	3/1.0	1,053 (-2%)	3mo	$137,000	$130	82
2904 Beatty St	0.36mi	3/1.5	1,000 (-7%)	6mo	$136,000	$136	67
—	0.28mi	3/1.0	1,153 (+7%)	10mo	$8,000	$7	65
516 N 28th St	0.31mi	3/1.0	1,014 (-6%)	11mo	$39,000	$38	65
518 N 16th St	0.60mi	3/2.0	1,092 (+2%)	4mo	$55,000	$50	64
601 N 28th St	0.35mi	3/1.0	951 (-12%)	4mo	$125,000	$131	59
601 Ingram Blvd	0.20mi	3/2.0	1,215 (+13%)	14mo	$150,000	$123	55
1909 Sula Ln	0.42mi	3/1.0	1,200 (+12%)	9mo	$52,000	$43	52
2919 Beatty St	0.45mi	3/1.0	936 (-13%)	5mo	$16,000	$17	51
1823 Goodwin Ave	0.53mi	4/2.0 (+1)	1,187 (+10%)	4mo	$150,000	$126	48
3407 Beatty St	0.72mi	3/1.0	1,040 (-3%)	15mo	$80,000	$77	47

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

-3.0% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: 65.5%
• Equity multiple: 3.94×
• Total profit: $37,746
• Equity at exit: $6,844

10-year hold

• IRR: 69.8%
• Equity multiple: 8.08×
• Total profit: $91,037
• Equity at exit: $3,969

Cash invested: $12,852 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 92 Strongly Landlord-Friendly
• State Arkansas: 92 Strongly Landlord-Friendly · R+14
• County: — inherits STATE
• City: — inherits STATE

Only US state where non-payment is criminal. Strongly landlord-favorable; very few tenant protections.

Methodology + full state rankings →

ZIP-level market 72364

• Home prices YoY: -13.3%
• Active inventory: 108
• Price-to-rent: 3.1×

Monthly cashflow live

• Estimated rent: $1,251 high
• Mortgage (P&I): −$241
• Tax from tax record: −$19 /mo · $228/yr
• Insurance: −$19
• HOA: −$0
• Vacancy / Maint / Mgmt: −$263
• Net cashflow: $710

Break-even live

Break-even rent $353

Max offer price $45,900

Occupancy floor 38%

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $11,475
• Closing costs: $1,377
• Reserves months: —
• Total cash needed: —

Rent comps 12 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
2400 Goodwin Ave West Memphis, AR	2.0	1.5	1100	$775	$0.70	43d	1	0.25mi
2401 Wheeler Ave West Memphis, AR	2.0	1.0	1000	$750	$0.75	43d	1	0.31mi
2504 Tyler Cir West Memphis, AR	3.0	2.0	1250	$1,450	$1.16	1d	1	0.47mi
741 N 18th St West Memphis, AR	2.0	1.0	814	$940	$1.15	4d	1	0.52mi
2502 E Tyler Ave West Memphis, AR	3.0	2.0	1250	$1,550	$1.24	43d	1	0.53mi
2506 E Tyler Ave West Memphis, AR	3.0	2.0	1250	$1,450	$1.16	16d	1	0.53mi
307 Westree St West Memphis, AR	3.0	2.0	1220	$1,550	$1.27	10d	1	0.56mi
2501 E Tyler Ave West Memphis, AR	3.0	2.0	1220	$1,500	$1.23	43d	1	0.56mi
309 Westree St West Memphis, AR	3.0	2.0	1220	$1,550	$1.27	1d	1	0.56mi
310 Chestnut St West Memphis, AR	3.0	2.0	1250	$1,350	$1.08	1d	1	0.60mi
316 Chestnut St West Memphis, AR	3.0	2.0	1250	$1,450	$1.16	43d	1	0.63mi
1398 E Barton Ave West Memphis, AR	3.0	2.0	1250	$1,550	$1.24	10d	1	0.75mi

Listing history 3 events

1. 2026-05-15
   status Pending 64-char remark
2. 2026-04-24
   price $45,900 64-char remark
3. 2026-04-24
   listed $459,000 Active 64-char remark

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Tax reassessment forecast AR · Resets to sale price

• Current annual tax: $228 · $19/mo
• Projected year-2 tax: $294 · $24/mo
• Expected delta: +$66/yr (+$6/mo · 29.1%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Taxation est. · year 1

• Rental income: $15,012
• − Mortgage interest: −$2,571
• − Property taxes: −$228
• − Insurance: −$230
• − Repairs & maintenance: −$1,201
• − Management: −$1,201
• − Depreciation: −$1,335
• Taxable income: $8,247
• Est. tax owed @ 24.0%: −$1,979
• After-tax cash flow: $6,535/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Schools (NCES district)

• District: West Memphis School District
• NCES district ID: 0508040
• Math proficiency: 16% ▼ -14.00%
• Reading proficiency: 15% ▼ -14.00%
• Median HH income: $29,382
• Composite: 12.22/100
• National rank: #9647
• State rank: #224 of 238 in AR

Livability — West Memphis

• Score: 55/100
• State rank: #413
• US rank: #23638

Category grades

Amenities F Commute F Cost of living A+ Crime F Employment F Housing A Health & safety C+ User ratings F

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: West Memphis, AR
• County: Crittenden County · 16,034 people
• City population: 24,182
• Metro: Memphis, TN-MS-AR
• Population (ZIP): 16,034
• Household income: $74,462
• Rent vs Own: 31.1% rent · 68.9% own
• Severe rent burden: 319.0

Population outlook (Crittenden County) Hauer SSP2

• Today (2025): 45,254 people
• By 2030: 42,953 · -5.1%
• By 2040: 38,235 · -15.5%
• By 2050: 33,670 · -25.6%
• By 2075: 24,315 · -46.3%
• By 2100: 17,173 · -62.1%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Diverse neighborhood (Simpson 0.61)
• Race & ethnicity: White 51% Black 35% Two or more races 10% Hispanic / Latino 5% Asian 1%
• Common ancestry: Italian 2% Romanian 1% Lithuanian 1%
• Foreign-born: 3% · Canada, Dominican Republic
• Languages at home: 96% English-only · Spanish 3% Korean 1%

Political lean MEDSL · Crittenden

• 2024 margin: Toss-up / Even · D 50.1% · R 47.9% · Other 2.0%
• 2008→2024 swing: -12.4pp toward R · 2008: 14.7pp · 2024: 2.3pp
• All cycles: 2024: D+2.3 2020: D+7.2 2016: D+9.0 2012: D+18.7 2008: D+14.7

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -31.64%
• Current HPI: 205.4807
• Rent YoY: —
• Metro: Memphis, TN-MS-AR
• State GDP YoY: ▲ 3.80%
• F500 in state: 10

Industry mix (Fortune 500 HQ in AR)

Industry	F500 HQs	Revenue
▸Retail	1	$681B
▸Food / Agriculture	1	$53B
▸Retail / Energy	1	$22B
▸Transportation / Logistics	1	$12B
▸Energy	1	$4B

Price history

-90.0% since first listed

3 events — show timeline

• 2026-05-15 Pending — EARA
• 2026-04-24 Price Changed $45,900 EARA
• 2026-04-24 Listed $459,000 EARA

Property tax history

-7.4%/yr

Latest (2025): $228 · +9.7% YoY. Source: county tax records.