902 Banks St

Hammon, OK 73650

$137,900D+

4 bd · 2.0 ba · 1,404 sqft · Built 2013 · SingleFamily · Pending · 2 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,222/mo
• Mortgage (P&I): −$723
• Tax + insurance: −$230
• HOA: −$0
• Vac / Maint / Mgmt: −$257
• Net cashflow: $12/mo
• Annual: $148/yr
• Cap rate: 6.40%
• Cash-on-cash: 0.38%
• DSCR: 1.02
• 1% rule: 0.89%
• Cash to close: $38,612

Investor read

• This is a 4-bed/2.0-bath single-family listed at $138k. Condition is rated good.
• At list price, monthly cash flow is $12 ($148/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $122k (11.4% below list).
• Only 2 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $122k (11.4% below list) — sets the bar for 1% rule.
• In year one you build about $4k of equity ($953 loan paydown + $3k appreciation (2.0% local appreciation)).
• Location reads 64/100 on livability (#192 in OK) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: crime F, amenities F, commute F.
• Hammon (rural): math 45% / reading 45% proficiency, ranked #54 of 513 in OK (top 10%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Hammon Es (math 37% / reading 32%, grade F, #168 of 845 statewide, top 24%, 201 students, 0% FRL); Hammon Hs (math 24% / reading 24%, grade F, #150 of 447 statewide, top 48%, 81 students, 0% FRL) — zoned schools average 0% FRL vs 54% district-wide (54 pts lower); this property's tenant base skews higher-income than the district average.
• Zoned-school proficiency averages 30% at this address vs 45% district-wide (-16 pts) — the specific schools serving this property underperform the Hammon average; the district grade overstates school quality for this exact location.
• Market conditions: 5 active listings in the ZIP.
• Roger Mills County population projected at +12% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At projected returns (2.0% appreciation + 3.0% rent growth), your $39k cash investment doubles in ~8 years — after that, you're playing with house money.
• By year 9, paydown + projected appreciation supports a ~$32k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wildfire risk; extreme-heat days projected 7→19/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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.
• 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.