501 Tabitha Ln

Holland, TX 76534

$198,990B

4 bd · 2.0 ba · 1,707 sqft · Built 2026 · Land · Active · 3 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,120/mo
• Mortgage (P&I): −$1,044
• Tax + insurance: −$385
• HOA: −$0
• Vac / Maint / Mgmt: −$655
• Net cashflow: $1,036/mo
• Annual: $12,428/yr
• Cap rate: 12.54%
• Cash-on-cash: 22.31%
• DSCR: 1.99
• 1% rule: 1.57%
• Cash to close: $55,717

Investor read

• This is a 4-bed/2.0-bath land listed at $199k.
• At list price, monthly cash flow is $1k ($12k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($3k rent vs $199k).
• Only 3 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $6k of value loss. Plan a longer hold.
• Location reads 70/100 on livability (#357 in TX) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F, health & safety F.
• Holland ISD (rural): math 53% / reading 50% proficiency, ranked #158 of 826 in TX (top 19%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Holland El (math 47% / reading 52%, grade D, #865 of 4,322 statewide, top 21%, 310 students, 41% FRL); Holland Middle (math 62% / reading 52%, grade B, #212 of 1,662 statewide, top 13%, 131 students, 38% FRL); Holland H S (math 54% / reading 44%, grade D, #509 of 1,632 statewide, top 34%, 193 students, 44% FRL).
• Market conditions: 50 active listings in the ZIP; 3,222 units permitted in Bell County in 2024 (246 in 5+ unit buildings).
• Bell County population projected at +21% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $56k cash investment doubles in ~6 years — after that, you're playing with house money.

Questions for listing agent

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