805 Mesquite Ave

Sonora, TX 76950

$64,000A-

3 bd · 2.0 ba · 1,156 sqft · Built 1950 · SingleFamily · Active · 93 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $900/mo
• Mortgage (P&I): −$336
• Tax + insurance: −$93
• HOA: −$0
• Vac / Maint / Mgmt: −$189
• Net cashflow: $282/mo
• Annual: $3,390/yr
• Cap rate: 11.59%
• Cash-on-cash: 18.92%
• DSCR: 1.84
• 1% rule: 1.41%
• Cash to close: $17,920

Investor read

• This is a 3-bed/2.0-bath single-family listed at $64k.
• At list price, monthly cash flow is $282 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($900 rent vs $64k).
• It's been on market 93 days — a 9% lower offer ($58k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $58k (9.0% below list) — sets the bar for market timing.
• In year one you build about $3k of equity ($442 loan paydown + $2k appreciation (3.7% local appreciation)).
• Location reads 77/100 on livability (#83 in TX, #2,963 nationally) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: schools C-, employment C-, amenities F.
• Sonora ISD (town): math 52% / reading 46% proficiency, ranked #189 of 826 in TX (top 23%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Watch-outs: built in 1950 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 50 active listings in the ZIP; 1 comparable units currently listed for rent nearby.
• Sutton County population projected at -23% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 3 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 (3.7% appreciation + 3.0% rent growth), your $18k cash investment doubles in ~3 years — after that, you're playing with house money.
• Climate carrying-cost: major flood risk; moderate wildfire risk; extreme-heat days projected 7→24/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• It's been on market 93 days. Have you received any prior offers? Is the seller open to a 9% concession, seller financing, or rate buy-down credit?
• Built in 1950 — 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.
• 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.