2 bd · 1.0 ba ·
552 sqft ·
Built 1970
· Other
· Active
· 174 DOM
Cashflow @ list (25.0% down · 7.5%)
Estimated rent
$1,683/mo
Mortgage (P&I)
−$629
Tax + insurance
−$200
HOA
−$0
Vac / Maint / Mgmt
−$353
Net cashflow
$500/mo
Annual
$6,001/yr
Cap rate
11.29%
Cash-on-cash
17.86%
DSCR
1.79
1% rule
1.40%
Cash to close
$33,600
Investor read
This is a 2-bed/1.0-bath other listed at $120k.
At list price, monthly cash flow is $500 ($6k/yr) — positive.
The deal already cash-flows at list — no discount required.
Meets the 1% rule at list price ($2k rent vs $120k).
It's been on market 174 days — a 12% lower offer ($106k) is reasonable based on typical stale-listing flexibility.
Recommended offer: $106k (12.0% below list) — sets the bar for market timing.
In year one you build about $13k of equity ($830 loan paydown + $12k appreciation (10.0% local appreciation)).
Location reads 56/100 on livability (#1,306 in TX) — a working-class tenant base; expect higher turnover. Strengths: crime A+, cost of living A+, housing A+; Watch: employment D, amenities F, commute F.
Kingston (rural): math 27% / reading 32% proficiency, ranked #70 of 270 in OK (top 26%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 76% free/reduced lunch — lower-income household profile, screen leases tightly.
Zoned schools: Kingston Es (math 33% / reading 32%, grade F, #210 of 845 statewide, top 25%, 620 students, 0% FRL); Kingston Ms (math 23% / reading 34%, grade F, #57 of 345 statewide, top 18%, 286 students, 0% FRL); Kingston Hs (math 22% / reading 27%, grade F, #150 of 447 statewide, top 48%, 362 students, 0% FRL) — zoned schools average 0% FRL vs 76% district-wide (76 pts lower); this property's tenant base skews higher-income than the district average.
Market conditions: 42 units permitted in Marshall County in 2024 (0 in 5+ unit buildings).
Marshall County population projected at +22% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
At projected returns (10.0% appreciation + 3.0% rent growth), your $34k cash investment doubles in ~2 years — after that, you're playing with house money.
By year 3, paydown + projected appreciation supports a ~$32k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
Climate carrying-cost: extreme-heat days projected 7→21/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
Cap rate 11.3% vs local median 2.9% in Preston — 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 174 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
Built in 1970 — 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?
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.
CashFlowRE · CFR-ZHG0X61M7W39NB
· Data 2 weeks agocashflowre.app · 2026-05-29