870 Guntersville Rd · Arab, AL 35016

$49,950

1 bd · 1.0 ba · 1,282 sqft · SingleFamily public records · 10 Days on market

Built 1945 Est $54k · 7% under

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Why this score? — see what drove the B grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Cash flow +30.0/30.0
• ARV discount +10.8/15.0
• 1% rule +10.0/10.0
• DSCR +10.0/10.0
• Schools +4.7/10.0
• Livability +3.2/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks

Are you ready for a project? This frame home in Arab is in need of some help and is looking for the right person to tackle the job. The highly-visible, residential-zoned lot on Hwy 69 comes with a 36x30 (approx) shop building perfect for your hobbies. Buyer to conduct all due diligence prior to making an offer.

Key facts

• Frame home
• Shop building
• Built 1945

Tags

• FRAME HOME
• RESIDENTIAL ZONED LOT
• SHOP BUILDING

What this means for you Summary

Snapshot

• This is a 1-bed/1.0-bath single-family listed at $50k.

Deal economics

• At list price, monthly cash flow is $480 ($6k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $50k).
• Cap rate 17.8% vs local median 3.0% in Arab — 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.

Location & tenants

• Location reads 64/100 on livability (#149 in AL) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: employment C-, crime D, amenities F.
• Arab City (rural): math 47% / reading 64% proficiency, ranked #9 of 129 in AL (top 7%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Arab Elementary School (math 59% / reading 73%, grade B+, #36 of 627 statewide, top 6%, 580 students, 52% FRL); Arab High School (math 37% / reading 47%, grade F, #28 of 305 statewide, top 10%, 779 students, 40% FRL) — zoned schools average 46% FRL vs 29% district-wide (17 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 178 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 163 units permitted in Marshall County in 2024 (0 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $346 of loan paydown is wiped out by about $1k of value loss. Plan a longer hold.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $14k cash investment doubles in ~3 years — after that, you're playing with house money.

Negotiation context

• Only 10 days on market — expect competitive offers; lowballing is unlikely to land.

Risks & watch-outs

• Watch-outs: built in 1945 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $49,950

Questions for the listing agent

1. Built in 1945 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
2. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
3. Crime grade is D 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?
4. 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.
5. 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.
6. 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.

Investment metrics

• 1% rule: 2.10% ✓
• Cap rate: 17.81%
• Cash-on-cash: 41.14%
• DSCR: 2.83
• GRM: 4.0

CMA / ARV

• ARV (on-the-fly): $53,844
• Comps found: 1

Show comp detail 1 sale within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
870 Guntersville Rd	0.00mi	1/1.0	1,200 (-6%)	1mo	$50,000	$42	89

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

-3.0% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: 37.7%
• Equity multiple: 2.61×
• Total profit: $22,465
• Equity at exit: $7,448

10-year hold

• IRR: 44.2%
• Equity multiple: 5.22×
• Total profit: $58,964
• Equity at exit: $4,319

Cash invested: $13,986 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 90 Strongly Landlord-Friendly
• State Alabama: 90 Strongly Landlord-Friendly · R+15
• County: — inherits STATE
• City: — inherits STATE

Right-to-evict in 7 days for non-payment; no rent control; preempted statewide; courts move quickly.

Methodology + full state rankings →

ZIP-level market 35016

• Home prices YoY: -28.0%
• Active inventory: 178
• Price-to-rent: 4.0×

Monthly cashflow live

• Estimated rent: $1,050 medium
• Mortgage (P&I): −$262
• Tax from tax record: −$67 /mo · $807/yr
• Insurance: −$21
• HOA: −$0
• Vacancy / Maint / Mgmt: −$220
• Net cashflow: $480

Break-even live

Break-even rent $443

Max offer price $49,950

Occupancy floor 49%

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $12,488
• Closing costs: $1,498
• Reserves months: —
• Total cash needed: —

Rent comps 1 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
543 7th Ave NW Arab, AL	2.0	1.0	1126	$1,050	$0.93	21d	1	1.22mi

Listing history 2 events

1. 2026-04-22
   status Pending
2. 2026-04-12
   listed $49,950 Active

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Tax reassessment forecast AL · Resets to sale price

• Current annual tax: $807 · $67/mo
• Projected year-2 tax: $807 · $67/mo
• Expected delta: $0/yr ($0/mo · 0.0%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

• 🌊 Flood 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 3/10 Moderate
• 🌡 Heat 4/10 Moderate 7 d/yr ≥103°F today · 20 d/yr by 30 yrs out
• 💨 Wind 4/10 Moderate 21% chance of damaging wind over 30 yrs
• 🫁 Air quality 2/10 Low 1 unhealthy d/yr today · 3 by 30 yrs out

Taxation est. · year 1

• Rental income: $12,600
• − Mortgage interest: −$2,798
• − Property taxes: −$807
• − Insurance: −$250
• − Repairs & maintenance: −$1,008
• − Management: −$1,008
• − Depreciation: −$1,453
• Taxable income: $5,276
• Est. tax owed @ 24.0%: −$1,266
• After-tax cash flow: $4,488/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Schools (NCES district)

• District: Arab City
• NCES district ID: 0100100
• Math proficiency: 47% ▼ -25.00%
• Reading proficiency: 64% ▬ 0.00%
• Median HH income: $42,728
• Composite: 46.58/100
• National rank: #2422
• State rank: #9 of 129 in AL

Livability — Arab

• Score: 64/100
• State rank: #149
• US rank: #13733

Category grades

Amenities F Commute F Cost of living A+ Crime D Employment C- Housing A+ Health & safety F User ratings B+

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Arab, AL
• City population: 17,435
• Population (ZIP): 17,435

Population outlook (Marshall County) Hauer SSP2

• Today (2025): 97,402 people
• By 2030: 98,138 · +0.8%
• By 2040: 98,502 · +1.1%
• By 2050: 97,024 · -0.4%
• By 2075: 89,334 · -8.3%
• By 2100: 74,749 · -23.3%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (89%)
• Race & ethnicity: White 89% Hispanic / Latino 5% Two or more races 5% Asian 1%
• Hispanic origin (detail): Mexican 4%
• Common ancestry: Slovak 2% Italian 1% Serbian 1%
• Foreign-born: 2% · Canada, China
• Languages at home: 97% English-only · Spanish 2%

Political lean MEDSL · Marshall

• 2024 margin: Solid R (+71.7) · D 13.8% · R 85.5%
• 2008→2024 swing: -15.4pp toward R · 2008: -56.4pp · 2024: -71.7pp
• All cycles: 2024: R+71.7 2020: R+68.7 2016: R+69.5 2012: R+60.1 2008: R+56.4

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -70.17%
• Current HPI: 180.2225
• Rent YoY: —
• Metro: —
• State GDP YoY: ▲ 2.94%
• F500 in state: 4

Industry mix (Fortune 500 HQ in AL)

Industry	F500 HQs	Revenue
▸Financial Services	1	$8B
▸Healthcare	1	$5B

Price history

2 events — show timeline

• 2026-04-22 Pending — VMLS
• 2026-04-12 Listed $49,950 VMLS

Property tax history

+12.0%/yr

Latest (2025): $807 · +7.0% YoY. Source: county tax records.