55 E 8th Ave

Bay Springs, MS 39422

$124,990D

3 bd · 2.0 ba · 1,294 sqft · Built 1984 · SingleFamily · Active · 14 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,038/mo
• Mortgage (P&I): −$655
• Tax + insurance: −$208
• HOA: −$0
• Vac / Maint / Mgmt: −$218
• Net cashflow: $-44/mo
• Annual: $-527/yr
• Cap rate: 5.87%
• Cash-on-cash: -1.51%
• DSCR: 0.93
• 1% rule: 0.83%
• Cash to close: $34,997

Investor read

• This is a 3-bed/2.0-bath single-family listed at $125k. Condition is rated fair.
• At list price, monthly cash flow is $-44 ($-527/yr) — negative.
• To cash-flow at today's rent, offer at most $119k (5.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $104k (17.0% below list).
• Only 14 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $104k (17.0% below list) — sets the bar for 1% rule.
• In year one you build about $1k of equity ($864 loan paydown + $427 appreciation (0.3% local appreciation)).
• Location reads 65/100 on livability (#113 in MS) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: amenities F, commute F, employment D-.
• West Jasper Consolidated Schools (rural): math 38% / reading 34% proficiency, ranked #53 of 130 in MS (top 41%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 71% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Bay Springs Elem Sch (math 47% / reading 37%, grade F, #108 of 375 statewide, top 30%, 405 students, 99% FRL); Bay Springs Middle Sch (math 27% / reading 22%, grade F, #100 of 179 statewide, top 57%, 197 students, 98% FRL); Bay Springs High School (math 5% / reading 15%, grade F, #168 of 197 statewide, top 86%, 225 students, 99% FRL) — zoned schools average 99% FRL vs 71% district-wide (28 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 15 active listings in the ZIP; 3 units permitted in Jasper County in 2024 (0 in 5+ unit buildings).
• Jasper County population projected at -24% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 2 sale attempts since 2y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• Climate carrying-cost: 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?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• 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.
• 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.

Repairs flagged (vision-AI assessment)

• Major: Exterior siding — Significant wear and tear
• Major: Roof — Weathered and exposed
• Major: Flooring — Worn and in need of replacement
• Major: Interior walls and paint — Worn and in need of repainting