219 Windmill Dr

Rhome, TX 76078

$334,990D-

4 bd · 2.0 ba · 1,662 sqft · Built 2025 · SingleFamily · Pending · 57 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,329/mo
• Mortgage (P&I): −$1,757
• Tax + insurance: −$558
• HOA: −$80
• Vac / Maint / Mgmt: −$489
• Net cashflow: $-555/mo
• Annual: $-6,660/yr
• Cap rate: 4.30%
• Cash-on-cash: -7.10%
• DSCR: 0.68
• 1% rule: 0.70%
• Cash to close: $93,797

Investor read

• This is a 4-bed/2.0-bath single-family listed at $335k.
• At list price, monthly cash flow is $-555 ($-7k/yr) — negative.
• To cash-flow at today's rent, offer at most $255k (24.0% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $233k (30.5% below list).
• It's been on market 57 days — a 3% lower offer ($325k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $233k (30.5% below list) — sets the bar for 1% rule.
• In year one you build about $36k of equity ($2k loan paydown + $33k appreciation (10.0% local appreciation)).
• Location reads 74/100 on livability (#165 in TX, #4,376 nationally) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, crime A-; Watch: amenities F, commute F.
• Northwest ISD (rural): math 48% / reading 52% proficiency, ranked #120 of 826 in TX (top 14%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Seven Hills El (math 28% / reading 33%, grade F, #2,464 of 4,322 statewide, top 58%, 667 students, 48% FRL); Chisholm Trail Middle (math 39% / reading 35%, grade F, #756 of 1,662 statewide, top 47%, 684 students, 51% FRL); Northwest H S (math 55% / reading 64%, grade C+, #275 of 1,632 statewide, top 19%, 2,264 students, 0% FRL).
• Market conditions: 264 active listings in the ZIP; 4 comparable units currently listed for rent nearby; rentals at typical pace (median 24d on market — plan ~3-4 weeks tenant-placement turnaround); 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.
• By year 2, paydown + projected appreciation supports a ~$58k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wind risk, 27% chance of damaging wind over 30y; major 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

• 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 57 days. Have you received any prior offers? Is the seller open to a 30% concession, seller financing, or rate buy-down credit?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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.