1035 Palermo Dr · Beaumont, TX 77705

$135,000

4 bd · 2.0 ba · 1,771 sqft · SingleFamily public records · 21 Days on market

Built 1968 10,567 sqft lot $76/sqft · 14% above area Est $137k · at est.

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Why this score? — see what drove the C- 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 +21.3/30.0
• ARV discount +8.3/15.0
• DSCR +6.8/10.0
• 1% rule +6.0/10.0
• Livability +3.2/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Schools +1.5/10.0
• Appreciation +0.0/10.0

Listing remarks MLS

Come check out this 4-bed, 2-bath home in Beaumont ready for its next chapter! Inside, you’ll find a spacious den perfect for gathering or entertaining. The kitchen is conveniently situated near both a formal dining room and a breakfast area, offering flexible options for everyday meals or hosting guests. With four bedrooms, this home provides the space to suit a variety of needs - whether for guests, a home office, or hobbies. Out back, enjoy a spacious yard with a mature shade tree, creating an ideal setting for outdoor fun or relaxing evenings. A true canvas for customization - don’t miss the potential this home has to offer, schedule your showing today!

Key facts

• Spacious yard
• Formal dining room
• Mature shade tree

Tags

• SPACIOUS DEN
• FORMAL DINING ROOM
• BREAKFAST AREA
• SPACIOUS YARD
• MATURE SHADE TREE

Property features AI

Finance

• Other: Lease not considered

Exterior

• Parking: Attached garage with garage door opener; 2 garage spaces
• Utilities: Public water; Public sewer; Electric service
• Home design: Residential property; Built in 1968; Slab foundation
• Construction: Brick construction; Composition roof; Built in 1968
• Exterior features: Cleared lot; Concrete road surface

Interior

• Kitchen: Dishwasher; Garbage disposal
• Flooring: Carpet; Tile
• Bathrooms: 2 full bathrooms
• Heating & cooling: Central heating (electric); Central air; Gas cooling
• Interior features: Decorative fireplace (1); Washer hookup and electric dryer hookup; Dishwasher; Garbage disposal; Carpet and tile flooring; 8 total rooms
• Laundry & utility: Washer hookup; Electric dryer hookup

What this means for you Summary

Snapshot

• This is a 4-bed/2.0-bath single-family listed at $135k.

Deal economics

• At list price, monthly cash flow is $198 ($2k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $135k).
• Recommended offer: $133k (1.5% below list) — sets the bar for market timing.
• Cap rate 8.1% vs local median 5.3% in Beaumont — 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 64/100 on livability (#739 in TX) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: employment D, crime F, amenities F.
• Beaumont ISD (urban): math 14% / reading 22% proficiency, ranked #789 of 826 in TX (top 96%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 69% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Pietzsch/Mac Arthur El (math 5% / reading 7%, grade F, #4,315 of 4,322 statewide, top 100%, 1,083 students, 97% FRL); M L King Middle (math 6% / reading 12%, grade F, #1,653 of 1,662 statewide, top 99%, 480 students, 91% FRL); Beaumont United H S (math 8% / reading 16%, grade F, #1,554 of 1,632 statewide, top 95%, 2,131 students, 86% FRL) — zoned schools average 91% FRL vs 69% district-wide (22 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 207 active listings in the ZIP; 5 comparable units currently listed for rent nearby; rentals lingering (median 44d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 60% of comp listings sitting > 30 days — soft ceiling on asking rent; 343 units permitted in Jefferson County in 2024 (0 in 5+ unit buildings).
• This rent runs 33% of the median local income ($55k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $933 of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.

Negotiation context

• It's been on market 21 days — a 2% lower offer ($133k) is reasonable based on typical stale-listing flexibility.
• 2 sale attempts 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.

Risks & watch-outs

• Climate carrying-cost: severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→25/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $132,975 (1.5% below list)

Questions for the listing agent

1. Built in 1968 — 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: 1.10% ✓
• Cap rate: 8.05%
• Cash-on-cash: 6.29%
• DSCR: 1.28
• GRM: 7.6

CMA / ARV

• ARV (median comp): $137,436
• List price: $135,000
• Delta: -1.77%
• Verdict: FAIR
• Comps: 20 within 1.0 mi

Show comp detail 2 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
4840 Cornell Dr	0.65mi	4/2.5	1,674 (-6%)	5mo	$170,000	$102	54
4740 Cornell Dr	0.71mi	3/2.0 (-1)	1,686 (-5%)	6mo	$169,999	$101	49

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: -6.6%
• Equity multiple: 0.76×
• Total profit: $-9,218
• Equity at exit: $20,129

10-year hold

• IRR: 3.1%
• Equity multiple: 1.22×
• Total profit: $8,407
• Equity at exit: $11,672

Cash invested: $37,800 (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 77705

• Home prices YoY: -29.7%
• Active inventory: 207
• Price-to-rent: 7.6×

Monthly cashflow live

• Estimated rent: $1,485 high
• Mortgage (P&I): −$708
• Tax from tax record: −$211 /mo · $2,534/yr
• Insurance: −$56
• HOA: −$0
• Vacancy / Maint / Mgmt: −$312
• Net cashflow: $198

Break-even live

Break-even rent $1,235

Max offer price $135,000

Occupancy floor 82%

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: $33,750
• Closing costs: $4,050
• Reserves months: —
• Total cash needed: —

Rent comps 5 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
4210 Sullivan St Beaumont, TX	3.0	1.0	1540	$1,300	$0.84	43d	1	0.93mi
365 E Irby St Beaumont, TX	3.0	2.0	1281	$1,495	$1.17	23d	1	0.94mi
4404 Raven St Beaumont, TX	4.0	2.0	1628	$1,600	$0.98	23d	1	1.03mi
4020 Howard St Beaumont, TX	3.0	2.0	1300	$975	$0.75	43d	1	1.08mi
4090 Lou St Beaumont, TX	3.0	2.0	1281	$1,675	$1.31	43d	1	1.42mi

Listing history 16 events

1. 2026-06-18
   days on market $135,000 Active 21 DOM
2. 2026-06-17
   days on market $135,000 Active 20 DOM
3. 2026-06-16
   days on market $135,000 Active 19 DOM
4. 2026-06-15
   days on market $135,000 Active 18 DOM
5. 2026-06-14
   days on market $135,000 Active 16 DOM
6. 2026-06-13
   days on market $135,000 Active 15 DOM
7. 2026-06-10
   days on market $135,000 Active 13 DOM
8. 2026-06-09
   days on market $135,000 Active 12 DOM
9. 2026-06-08
   days on market $135,000 Active 11 DOM
10. 2026-06-07
    days on market $135,000 Active 10 DOM
11. 2026-06-03
    days on market $135,000 Active 6 DOM
12. 2026-06-02
    days on market $135,000 Active 5 DOM
13. 2026-06-01
    days on market $135,000 Active 4 DOM
14. 2026-05-31
    days on market $135,000 Active 3 DOM
15. 2026-05-30
    days on market $135,000 Active 2 DOM
16. 2026-02-26
    listed $135,000 Active 677-char remark

    Show marketing remark (677 chars)

    Come check out this 4-bed, 2-bath home in Beaumont ready for its next chapter! Inside, you’ll find a spacious den perfect for gathering or entertaining. The kitchen is conveniently situated near both a formal dining room and a breakfast area, offering flexible options for everyday meals or hosting guests. With four bedrooms, this home provides the space to suit a variety of needs - whether for guests, a home office, or hobbies. Out back, enjoy a spacious yard with a mature shade tree, creating an ideal setting for outdoor fun or relaxing evenings. A true canvas for customization - don’t miss the potential this home has to offer, schedule your showing today!

ⓘ 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: $2,534 · $211/mo
• Projected year-2 tax: $2,534 · $211/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 1/10 Low FEMA zone X · 0% chance over 30 yrs
• 🔥 Wildfire 4/10 Moderate
• 🌡 Heat 9/10 Extreme 7 d/yr ≥109°F today · 25 d/yr by 30 yrs out
• 💨 Wind 9/10 Extreme 99% chance of damaging wind over 30 yrs
• 🫁 Air quality 2/10 Low 1 unhealthy d/yr today · 1 by 30 yrs out

Taxation est. · year 1

• Rental income: $17,823
• − Mortgage interest: −$7,562
• − Property taxes: −$2,534
• − Insurance: −$675
• − Repairs & maintenance: −$1,426
• − Management: −$1,426
• − Depreciation: −$3,927
• Taxable income: $273
• Est. tax owed @ 24.0%: −$66
• After-tax cash flow: $2,310/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: Beaumont ISD
• NCES district ID: 4809670
• Math proficiency: 14% ▼ -13.00%
• Reading proficiency: 22% ▼ -7.00%
• Median HH income: $41,683
• Composite: 15.43/100
• National rank: #9316
• State rank: #789 of 826 in TX

Livability — Beaumont

• Score: 64/100
• State rank: #739
• US rank: #13710

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Beaumont, TX
• County: Jefferson County · 203,592 people
• City population: 125,901
• Metro: Beaumont-Port Arthur, TX
• Population (ZIP): 38,259
• Household income: $54,633
• Rent vs Own: 41.4% rent · 58.6% own
• Severe rent burden: 776.0

Population outlook (Jefferson County) Hauer SSP2

• Today (2025): 259,015 people
• By 2030: 260,685 · +0.6%
• By 2040: 263,309 · +1.7%
• By 2050: 265,237 · +2.4%
• By 2075: 270,193 · +4.3%
• By 2100: 255,628 · -1.3%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Diverse neighborhood (Simpson 0.66)
• Race & ethnicity: Black 46% White 29% Hispanic / Latino 21% Two or more races 6% Asian 2%
• Hispanic origin (detail): Mexican 13%
• Common ancestry: Lithuanian 5% Italian 1%
• Foreign-born: 8% · Canada, Vietnam
• Languages at home: 80% English-only · Spanish 18% Other Indo-European 1%

Political lean MEDSL · Jefferson

• 2024 margin: Lean R (+8.9) · D 45.1% · R 54.0%
• 2008→2024 swing: -11.1pp toward R · 2008: 2.2pp · 2024: -8.9pp
• All cycles: 2024: R+8.9 2020: R+1.6 2016: R+0.5 2012: D+1.6 2008: D+2.2

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -54.76%
• Current HPI: 129.3696
• Rent YoY: —
• Metro: Beaumont-Port Arthur, TX
• 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

+0.0% since first listed

2 events — show timeline

• 2026-05-28 Listed $135,000 HARMLS
• 2026-02-26 Listed $135,000 BBOR

Property tax history

+3.5%/yr

Latest (2025): $2,534 · +9.1% YoY. Source: county tax records.