325 Hamilton St

Holly Springs, MS 38635

$190,000D

2 bd · 2.0 ba · 1,700 sqft · Built 1954 · SingleFamily · Active · 262 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,600/mo
• Mortgage (P&I): −$996
• Tax + insurance: −$317
• HOA: −$0
• Vac / Maint / Mgmt: −$336
• Net cashflow: $-49/mo
• Annual: $-589/yr
• Cap rate: 5.98%
• Cash-on-cash: -1.11%
• DSCR: 0.95
• 1% rule: 0.84%
• Cash to close: $53,200

Investor read

• This is a 2-bed/2.0-bath single-family listed at $190k.
• At list price, monthly cash flow is $-49 ($-589/yr) — negative.
• To cash-flow at today's rent, offer at most $183k (3.7% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $160k (15.8% below list).
• It's been on market 262 days — a 12% lower offer ($167k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $160k (15.8% below list) — sets the bar for 1% rule.
• In year one you build about $1k of equity ($1k loan paydown + $-19 appreciation (-0.0% local appreciation)).
• Location reads 62/100 on livability (#178 in MS) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, crime B; Watch: amenities F, commute F, employment F.
• Holly Springs School District (town): math 12% / reading 15% proficiency, ranked #111 of 130 in MS (top 85%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 92% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Holly Springs Primary School (math 12% / reading 12%, grade F, #308 of 375 statewide, top 83%, 358 students, 100% FRL); Holly Springs Intermediate School (math 11% / reading 14%, grade F, #143 of 179 statewide, top 81%, 228 students, 100% FRL); Holly Springs High School (math 12% / reading 12%, grade F, #164 of 197 statewide, top 84%, 301 students, 100% FRL).
• Watch-outs: built in 1954 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 147 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 310 units permitted in Marshall County in 2024 (0 in 5+ unit buildings).
• Marshall County population projected at -24% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 2 sale attempts since 5y ago; this cycle's ask has dropped $20k (10%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Climate carrying-cost: moderate wind risk, 24% chance of damaging wind over 30y; moderate wildfire risk; extreme-heat days projected 7→20/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
• It's been on market 262 days. Have you received any prior offers? Is the seller open to a 16% concession, seller financing, or rate buy-down credit?
• Built in 1954 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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?
• The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?
• 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.