1910 Railroad Ave

Tuskegee, AL 36083

$50,000C+

4 bd · 3.0 ba · 2,063 sqft · Built 1986 · SingleFamily · Active · 123 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $600/mo
• Mortgage (P&I): −$262
• Tax + insurance: −$83
• HOA: −$0
• Vac / Maint / Mgmt: −$126
• Net cashflow: $128/mo
• Annual: $1,542/yr
• Cap rate: 9.38%
• Cash-on-cash: 11.01%
• DSCR: 1.49
• 1% rule: 1.20%
• Cash to close: $14,000

Investor read

• This is a 4-bed/3.0-bath single-family listed at $50k. Condition is rated poor.
• At list price, monthly cash flow is $128 ($2k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($600 rent vs $50k).
• It's been on market 123 days — a 12% lower offer ($44k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $44k (12.0% below list) — sets the bar for market timing.
• In year one you build about $1k of equity ($346 loan paydown + $986 appreciation (2.0% local appreciation)).
• Location reads 57/100 on livability (#375 in AL) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A; Watch: schools F, crime F, amenities F.
• Macon County (town): math 2% / reading 17% proficiency, ranked #123 of 129 in AL (top 95%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 97% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: 47 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 5 units permitted in Macon County in 2024 (0 in 5+ unit buildings).
• Macon County population projected at -42% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 4 sale attempts since 10y 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.
• Current owner paid $37k; 35% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• At projected returns (2.0% appreciation + 3.0% rent growth), your $14k cash investment doubles in ~5 years — after that, you're playing with house money.
• Cap rate 9.4% vs local median 7.3% in Tuskegee — meaningfully above typical; check what's discounted (condition, days-on-market, listing class) to confirm the premium yield is real.

Questions for listing agent

• It's been on market 123 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are F-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• 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?
• 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.

Repairs flagged (vision-AI assessment)

• Major: Kitchen cabinets — Severe wear and tear
• Major: Kitchen countertops — Severe wear and tear
• Major: Kitchen flooring — Severe wear and tear
• Major: Bath fixtures — Severe wear and tear
• Major: Bath flooring — Severe wear and tear
• Major: Roof — Rusty metal roof