193 Mahan Dr

Center Ridge, AR 72027

$109,900C+

2 bd · 1.0 ba · 1,325 sqft · Built 1983 · SingleFamily · Under Contract · 9 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,083/mo
• Mortgage (P&I): −$576
• Tax + insurance: −$78
• HOA: −$0
• Vac / Maint / Mgmt: −$228
• Net cashflow: $202/mo
• Annual: $2,419/yr
• Cap rate: 8.49%
• Cash-on-cash: 7.86%
• DSCR: 1.35
• 1% rule: 0.99%
• Cash to close: $30,772

Investor read

• This is a 2-bed/1.0-bath single-family listed at $110k.
• At list price, monthly cash flow is $202 ($2k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $108k (1.4% below list).
• Only 9 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $108k (1.4% below list) — sets the bar for 1% rule.
• In year one you build about $4k of equity ($760 loan paydown + $3k appreciation (3.0% local appreciation)).
• Location reads 59/100 on livability (#291 in AR) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A+; Watch: employment C-, crime F, amenities F.
• Nemo Vista School District (rural): math 45% / reading 50% proficiency, ranked #27 of 238 in AR (top 11%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Nemo Vista Elementary School (math 47% / reading 42%, grade F, #143 of 454 statewide, top 36%, 303 students, 60% FRL); Nemo Vista Middle School (math 47% / reading 62%, grade B-, #22 of 201 statewide, top 12%, 99 students, 62% FRL); Nemo Vista High School (math 34% / reading 44%, grade F, #48 of 292 statewide, top 19%, 136 students, 52% FRL).
• Market conditions: 9 active listings in the ZIP; 15 units permitted in Conway County in 2024 (0 in 5+ unit buildings).
• Conway County population projected at -16% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 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.
• At projected returns (3.0% appreciation + 3.0% rent growth), your $31k cash investment doubles in ~5 years — after that, you're playing with house money.
• By year 8, paydown + projected appreciation supports a ~$30k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wildfire risk; extreme-heat days projected 7→19/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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.
• 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.