337 N Missouri Ave · Mercedes, TX 78570

$159,999

2 bd · None ba · 2,028 sqft · Other public records · 122 Days on market

Built 2001 7,999 sqft lot $79/sqft · 35% below area Est $245k · 35% under ↓ 6% since listing

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Why this score? — see what drove the D- 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).

• ARV discount +15.0/15.0
• Appreciation +7.3/10.0
• Livability +3.4/5.0
• Cash flow +2.8/30.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Schools +1.3/10.0
• 1% rule +0.8/10.0
• DSCR +0.0/10.0

Listing remarks MLS

Duplex opportunity in a prime Mercedes location! Just down the street from Expressway 83 and around the corner from H-E-B on Texas Ave, with quick access to the outlets, shopping, and dining. Perfect for investors looking for strong rental demand in a high traffic area, or for first time buyers ready to house hack. Live in one unit and rent the other to offset your mortgage. Solid layout with upside potential for updates and rent growth. Whether you’re building your portfolio or stepping into your first property with built in income, this is a smart play in a location that consistently performs.

Key facts

• Strong rental demand
• Solid layout
• Duplex opportunity

Tags

• DUPLEX OPPORTUNITY
• PRIME MERCEDES LOCATION
• QUICK ACCESS TO OUTLETS
• STRONG RENTAL DEMAND
• HIGH TRAFFIC AREA
• SOLID LAYOUT

What this means for you Summary

Snapshot

• This is a 2-bed/?-bath other listed at $160k.

Deal economics

• At list price, monthly cash flow is $-603 ($-7k/yr) — negative.
• To cash-flow at today's rent, offer at most $87k (45.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $92k (42.2% below list).
• Recommended offer: $87k (45.8% below list) — sets the bar for cash-flow.
• Cap rate 2.3% vs local median 3.3% in Mercedes — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.

Location & tenants

• Location reads 67/100 on livability (#547 in TX) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: schools D+, crime F, amenities F.
• Mercedes ISD (suburban): math 12% / reading 21% proficiency, ranked #811 of 826 in TX (top 98%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 80% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: 390 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 7,378 units permitted in Hidalgo County in 2024 (641 in 5+ unit buildings).

Forward outlook

• In year one you build about $8k of equity ($1k loan paydown + $7k appreciation (4.5% local appreciation)).
• Hidalgo County population projected at +28% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• By year 5, paydown + projected appreciation supports a ~$36k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Negotiation context

• It's been on market 122 days — a 12% lower offer ($141k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Watch-outs: property tax is 2.7% of price; flood insurance adds $66/mo.
• Climate carrying-cost: major flood risk; severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→23/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $86,758 (45.8% below list)

Questions for the listing agent

1. 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?
2. It's been on market 122 days. Have you received any prior offers? Is the seller open to a 46% concession, seller financing, or rate buy-down credit?
3. Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
4. What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
5. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
6. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
7. 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?
8. 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?
9. 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?
10. 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.
11. 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.
12. 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: 0.58% ✗
• Cap rate: 2.27%
• Cash-on-cash: -14.37%
• DSCR: 0.36
• GRM: 14.4

CMA / ARV

• ARV (median comp): $244,559
• List price: $159,999
• Delta: -34.58%
• Verdict: UNDERPRICED
• Comps: 4 within 1.0 mi

Projected returns pro-forma

4.53% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: -2.0%
• Equity multiple: 0.87×
• Total profit: $-5,669
• Equity at exit: $86,095

10-year hold

• IRR: 2.2%
• Equity multiple: 1.41×
• Total profit: $18,536
• Equity at exit: $144,937

Cash invested: $44,800 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 87 Strongly Landlord-Friendly
• State Texas: 87 Strongly Landlord-Friendly · R+5
• County: — inherits STATE
• City: — inherits STATE

3-day notice; statewide preemption; one of the fastest eviction climates; Travis County (Austin) slightly slower.

Methodology + full state rankings →

ZIP-level market 78570

• Home prices YoY: 1.9%
• Active inventory: 390
• Price-to-rent: 14.4×

Monthly cashflow live

• Estimated rent: $925 medium
• Mortgage (P&I): −$839
• Tax from tax record: −$361 /mo · $4,338/yr
• Insurance: −$67
• Flood insurance flood zone: −$66 /mo · $798/yr
• HOA: −$0
• Vacancy / Maint / Mgmt: −$194
• Net cashflow: $-603

Break-even live

Break-even rent $1,688

Max offer price $86,758

Occupancy floor —

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: $40,000
• Closing costs: $4,800
• Reserves months: —
• Total cash needed: —

Rent comps 1 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
941 S Indiana Ave Unit A Mercedes, TX	2.0	2.0	1834	$925	$0.50	43d	1	0.93mi

Listing history 20 events

1. 2026-06-18
   days on market $159,999 Active 122 DOM
2. 2026-06-17
   days on market $159,999 Active 121 DOM
3. 2026-06-16
   days on market $159,999 Active 120 DOM
4. 2026-06-15
   days on market $159,999 Active 119 DOM
5. 2026-06-15
   days on market $159,999 Active 118 DOM
6. 2026-06-13
   days on market $159,999 Active 117 DOM
7. 2026-06-12
   days on market $159,999 Active 116 DOM
8. 2026-06-10
   days on market $159,999 Active 113 DOM
9. 2026-06-08
   days on market $159,999 Active 112 DOM
10. 2026-06-08
    days on market $159,999 Active 111 DOM
11. 2026-06-07
    days on market $159,999 Active 110 DOM
12. 2026-06-03
    days on market $159,999 Active 107 DOM
13. 2026-06-02
    days on market $159,999 Active 106 DOM
14. 2026-06-01
    days on market $159,999 Active 105 DOM
15. 2026-05-31
    days on market $159,999 Active 104 DOM
16. 2026-04-16
    price $159,999 616-char remark

    Show marketing remark (616 chars)

    Duplex opportunity in a prime Mercedes location! Just down the street from Expressway 83 and around the corner from H-E-B on Texas Ave, with quick access to the outlets, shopping, and dining. Perfect for investors looking for strong rental demand in a high traffic area, or for first time buyers ready to house hack. Live in one unit and rent the other to offset your mortgage. Solid layout with upside potential for updates and rent growth. Whether you’re building your portfolio or stepping into your first property with built in income, this is a smart play in a location that consistently performs.

17. 2026-03-12
    price $164,500 616-char remark

    Show marketing remark (616 chars)

    Duplex opportunity in a prime Mercedes location! Just down the street from Expressway 83 and around the corner from H-E-B on Texas Ave, with quick access to the outlets, shopping, and dining. Perfect for investors looking for strong rental demand in a high traffic area, or for first time buyers ready to house hack. Live in one unit and rent the other to offset your mortgage. Solid layout with upside potential for updates and rent growth. Whether you’re building your portfolio or stepping into your first property with built in income, this is a smart play in a location that consistently performs.

18. 2026-02-16
    listed $169,500 Active 616-char remark

    Show marketing remark (616 chars)

    Duplex opportunity in a prime Mercedes location! Just down the street from Expressway 83 and around the corner from H-E-B on Texas Ave, with quick access to the outlets, shopping, and dining. Perfect for investors looking for strong rental demand in a high traffic area, or for first time buyers ready to house hack. Live in one unit and rent the other to offset your mortgage. Solid layout with upside potential for updates and rent growth. Whether you’re building your portfolio or stepping into your first property with built in income, this is a smart play in a location that consistently performs.

19. 2010-07-12
    soldstatus
20. 1993-06-10
    soldstatus

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

Tax reassessment forecast TX · Resets to sale price

• Current annual tax: $4,338 · $361/mo
• Projected year-2 tax: $4,338 · $361/mo
• Expected delta: $0/yr ($0/mo · 0.0%)

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

Climate risk First Street

• 🌊 Flood 7/10 Severe FEMA zone X (shaded) · 77% chance over 30 yrs
• 🔥 Wildfire 4/10 Moderate
• 🌡 Heat 9/10 Extreme 7 d/yr ≥111°F today · 23 d/yr by 30 yrs out
• 💨 Wind 8/10 Severe 99% chance of damaging wind over 30 yrs
• 🫁 Air quality 1/10 Low 0 unhealthy d/yr today · 0 by 30 yrs out

Taxation est. · year 1

• Rental income: $11,100
• − Mortgage interest: −$8,962
• − Property taxes: −$4,338
• − Insurance: −$1,597
• − Repairs & maintenance: −$888
• − Management: −$888
• − Depreciation: −$4,655
• Taxable loss: −$10,228
• Est. tax savings @ 24.0%: +$2,455
• After-tax cash flow: $-4,780/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: Mercedes ISD
• NCES district ID: 4830250
• Math proficiency: 12% ▼ -26.00%
• Reading proficiency: 21% ▼ -10.00%
• Median HH income: $27,606
• Composite: 12.84/100
• National rank: #9596
• State rank: #811 of 826 in TX

Livability — Mercedes

• Score: 67/100
• State rank: #547
• US rank: #10619

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Mercedes, TX
• City population: 33,596
• Population (ZIP): 33,596

Population outlook (Hidalgo County) Hauer SSP2

• Today (2025): 955,232 people
• By 2030: 1,009,774 · +5.7%
• By 2040: 1,120,332 · +17.3%
• By 2050: 1,225,036 · +28.2%
• By 2075: 1,439,189 · +50.7%
• By 2100: 1,533,429 · +60.5%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly Hispanic (96%)
• Race & ethnicity: Hispanic / Latino 96% Two or more races 44% White 4%
• Hispanic origin (detail): Mexican 91%
• Foreign-born: 20% · Canada
• Languages at home: 18% English-only · Spanish 82%

Political lean MEDSL · Hidalgo

• 2024 margin: Toss-up / Even · D 48.1% · R 51.0%
• 2008→2024 swing: -41.6pp toward R · 2008: 38.7pp · 2024: -2.9pp
• All cycles: 2024: R+2.9 2020: D+17.1 2016: D+40.5 2012: D+41.8 2008: D+38.7

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▲ 4.53%
• Current HPI: 238.8386
• Rent YoY: —
• Metro: —
• State GDP YoY: ▲ 3.95%
• F500 in state: 110

Industry mix (Fortune 500 HQ in TX)

Industry	F500 HQs	Revenue
▸Energy	16	$1,198B
▸Technology	5	$198B
▸Engineering / Construction	4	$72B
▸Energy Services	3	$60B
▸Utilities	3	$41B
▸Healthcare	2	$330B

Price history

-5.6% since first listed

5 events — show timeline

• 2026-04-16 Price Changed $159,999 MCALLENMLS
• 2026-03-12 Price Changed $164,500 MCALLENMLS
• 2026-02-16 Listed $169,500 MCALLENMLS
• 2010-07-12 Sold (Public Records) — Public Records
• 1993-06-10 Sold (Public Records) — Public Records

Property tax history

+5.8%/yr

Latest (2025): $4,338 · +18.7% YoY. Source: county tax records.