7819 Summit View Dr

McCloud, CA 96057

$299,000C

2 bd · 2.0 ba · 1,092 sqft · Built 1997 · SingleFamily · Pending · 60 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,466/mo
• Mortgage (P&I): −$1,568
• Tax + insurance: −$313
• HOA: −$0
• Vac / Maint / Mgmt: −$518
• Net cashflow: $67/mo
• Annual: $806/yr
• Cap rate: 6.56%
• Cash-on-cash: 0.96%
• DSCR: 1.04
• 1% rule: 0.82%
• Cash to close: $83,720

Investor read

• This is a 2-bed/2.0-bath single-family listed at $299k.
• At list price, monthly cash flow is $67 ($806/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 $247k (17.5% below list).
• It's been on market 60 days — a 3% lower offer ($290k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $247k (17.5% below list) — sets the bar for 1% rule.
• In year one you build about $32k of equity ($2k loan paydown + $30k appreciation (10.0% local appreciation)).
• Location reads 59/100 on livability (#636 in CA) — a working-class tenant base; expect higher turnover. Strengths: health & safety A+, housing B+; Watch: crime F, amenities F, commute F.
• Siskiyou Union High (rural): math 25% / reading 55% proficiency, ranked #763 of 1,400 in CA (top 54%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; only 12% free/reduced lunch — higher-income household profile.
• Zoned schools: Mccloud Elementary (math 24% / reading 34%, grade F, #856 of 1,571 statewide, top 57%, 48 students, 79% FRL); Mccloud High (10 students, 50% FRL) — zoned schools average 65% FRL vs 12% district-wide (53 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 135 active listings in the ZIP; 50 units permitted in Siskiyou County in 2024 (0 in 5+ unit buildings).
• Siskiyou County population projected at -26% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• Current owner paid $260k; 15% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• At projected returns (10.0% appreciation + 3.0% rent growth), your $84k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 2, paydown + projected appreciation supports a ~$51k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wildfire risk — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• It's been on market 60 days. Have you received any prior offers? Is the seller open to a 18% concession, seller financing, or rate buy-down credit?
• 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?
• 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.