112 Oak St

Stamps, AR 71860

$40,000B

2 bd · 1.0 ba · 852 sqft · Built 1939 · SingleFamily · Under Contract · 1 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $843/mo
• Mortgage (P&I): −$210
• Tax + insurance: −$33
• HOA: −$0
• Vac / Maint / Mgmt: −$177
• Net cashflow: $424/mo
• Annual: $5,087/yr
• Cap rate: 19.01%
• Cash-on-cash: 45.42%
• DSCR: 3.02
• 1% rule: 2.11%
• Cash to close: $11,200

Investor read

• This is a 2-bed/1.0-bath single-family listed at $40k.
• At list price, monthly cash flow is $424 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($843 rent vs $40k).
• Only 1 days on market — expect competitive offers; lowballing is unlikely to land.
• In year one you build about $2k of equity ($277 loan paydown + $1k appreciation (3.1% local appreciation)).
• Location reads 60/100 on livability (#263 in AR) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A-, crime B; Watch: amenities F, commute F, employment F.
• Lafayette County School District (rural): math 9% / reading 16% proficiency, ranked #227 of 238 in AR (top 95%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 74% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Lafayette County Elementary (math 12% / reading 12%, grade F, #419 of 454 statewide, top 93%, 264 students, 100% FRL); Lafayette County High School (math 8% / reading 17%, grade F, #269 of 292 statewide, top 92%, 252 students, 82% FRL) — zoned schools average 91% FRL vs 74% district-wide (17 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: built in 1939 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 2 active listings in the ZIP.
• Lafayette County population projected at -40% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (3.1% appreciation + 3.0% rent growth), your $11k cash investment doubles in ~2 years — after that, you're playing with house money.
• Climate carrying-cost: moderate flood risk; major wind risk, 27% chance of damaging wind over 30y; moderate wildfire risk; extreme-heat days projected 7→22/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• Built in 1939 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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?
• 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.