600 S Rachal St

Sinton, TX 78387

$48,000B+

1 bd · 1.0 ba · 440 sqft · Built 2012 · SingleFamily · Active · 347 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $903/mo
• Mortgage (P&I): −$252
• Tax + insurance: −$181
• HOA: −$0
• Vac / Maint / Mgmt: −$190
• Net cashflow: $281/mo
• Annual: $3,370/yr
• Cap rate: 13.31%
• Cash-on-cash: 25.07%
• DSCR: 2.12
• 1% rule: 1.88%
• Cash to close: $13,440

Investor read

• This is a 1-bed/1.0-bath single-family listed at $48k. Condition is rated fair.
• At list price, monthly cash flow is $281 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($903 rent vs $48k).
• It's been on market 347 days — a 12% lower offer ($42k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $42k (12.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $332 of loan paydown is wiped out by about $1k of value loss. Plan a longer hold.
• Location reads 65/100 on livability (#667 in TX) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A+, housing A-; Watch: amenities F, commute F, employment F.
• Sinton ISD (town): math 27% / reading 35% proficiency, ranked #601 of 826 in TX (top 73%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 67% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Welder El (574 students, 74% FRL); E Merle Smith Middle (math 26% / reading 33%, grade F, #1,077 of 1,662 statewide, top 66%, 428 students, 72% FRL); Sinton H S (math 17% / reading 47%, grade F, #1,044 of 1,632 statewide, top 66%, 610 students, 67% FRL) — zoned schools at 71% FRL track the district average.
• Watch-outs: property tax is 4.0% of price.
• Market conditions: 190 active listings in the ZIP; 344 units permitted in San Patricio County in 2024 (0 in 5+ unit buildings).
• San Patricio County population projected at +27% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 6 sale attempts since 2y ago; this cycle's ask has dropped $7k (13%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $13k cash investment doubles in ~5 years — after that, you're playing with house money.
• Climate carrying-cost: moderate flood risk; severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→24/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 13.3% vs local median 3.6% in Sinton — 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.

Questions for listing agent

• It's been on market 347 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?
• Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
• 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?
• 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)

• Minor: roof — The roof appears to be in fair condition, but may need minor repairs or touch-ups.
• Major: siding — The siding is in poor condition and may need replacement or major repairs.
• Major: paint — The paint on the exterior is peeling and chipping, indicating major damage and the need for repainting.
• Major: landscaping — The landscaping and fencing are overgrown and in need of maintenance, which could detract from the home's curb appeal.