4404 Monarch St

Amarillo, TX 79118

$272,500D-

3 bd · 2.0 ba · — sqft · Built 2026 · SingleFamily · Active · 3 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,259/mo
• Mortgage (P&I): −$1,429
• Tax + insurance: −$454
• HOA: −$3
• Vac / Maint / Mgmt: −$474
• Net cashflow: $-102/mo
• Annual: $-1,219/yr
• Cap rate: 5.85%
• Cash-on-cash: -1.60%
• DSCR: 0.93
• 1% rule: 0.83%
• Cash to close: $76,300

Investor read

• This is a 3-bed/2.0-bath single-family listed at $272k. Condition is rated poor.
• At list price, monthly cash flow is $-102 ($-1k/yr) — negative.
• To cash-flow at today's rent, offer at most $258k (5.4% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $226k (17.1% below list).
• Only 3 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $226k (17.1% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $8k of value loss. Plan a longer hold.
• Location reads 66/100 on livability (#624 in TX) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: amenities C-, crime F, commute F.
• Canyon ISD (town): math 60% / reading 54% proficiency, ranked #78 of 826 in TX (top 9%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Sundown Lane El (math 52% / reading 47%, grade D, #865 of 4,322 statewide, top 21%, 341 students, 52% FRL); Pinnacle Int (math 53% / reading 41%, grade D+, #424 of 1,662 statewide, top 27%, 539 students, 42% FRL); Randall H S (math 43% / reading 64%, grade C-, #428 of 1,632 statewide, top 27%, 1,148 students, 35% FRL).
• Market conditions: Rents rising fast (+5.5%/yr); 278 active listings in the ZIP; 2 comparable units currently listed for rent nearby; solid renter incomes; 45 units permitted in Randall County in 2024 (0 in 5+ unit buildings).
• Randall County population projected at +36% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 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.
• This rent runs 31% of the median local income ($88k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

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?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
• 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.

Repairs flagged (vision-AI assessment)

• Major: Flooring — Severe wear and staining
• Major: Siding — Significant damage and missing shingles
• Major: Landscaping — Neglected and overgrown
• Major: Fencing — Missing