1241 W McNeil

Show Low, AZ 85901

$32,500C+

1 bd · 1.0 ba · 432 sqft · Built 1987 · Manufactured · Active · 29 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,016/mo
• Mortgage (P&I): −$170
• Tax + insurance: −$54
• HOA: −$0
• Vac / Maint / Mgmt: −$213
• Net cashflow: $578/mo
• Annual: $6,938/yr
• Cap rate: 27.64%
• Cash-on-cash: 76.25%
• DSCR: 4.39
• 1% rule: 3.13%
• Cash to close: $9,100

Investor read

• This is a 1-bed/1.0-bath manufactured listed at $32k. Condition is rated poor.
• At list price, monthly cash flow is $578 ($7k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $32k).
• It's been on market 29 days — a 2% lower offer ($32k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $32k (1.5% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $225 of loan paydown is wiped out by about $975 of value loss. Plan a longer hold.
• Location reads 65/100 on livability (#90 in AZ) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: employment D, crime F, amenities F.
• Show Low Unified District (4393) (rural): math 32% / reading 39% proficiency, ranked #89 of 249 in AZ (top 36%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Whipple Ranch Elementary School (404 students, 50% FRL); Show Low Junior High School (math 29% / reading 34%, grade F, #78 of 218 statewide, top 36%, 587 students, 45% FRL); Show Low High School (math 22% / reading 37%, grade F, #120 of 381 statewide, top 34%, 877 students, 31% FRL).
• Market conditions: 1067 active listings in the ZIP; 485 units permitted in Navajo County in 2024 (11 in 5+ unit buildings).
• Navajo County population projected at -16% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $9k cash investment doubles in ~2 years — after that, you're playing with house money.
• Climate carrying-cost: severe wildfire risk — expect insurance premiums to compound above CPI over the hold.
• Cap rate 27.6% vs local median 3.2% in Show Low — 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

• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are B-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
• 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.

Repairs flagged (vision-AI assessment)

• Major: kitchen — No photos of the kitchen
• Major: bathroom — No photos of the bathroom
• Major: roof — No photos of the roof
• Major: exterior — No photos of the exterior
• Major: flooring — No photos of the flooring
• Major: interior walls/paint — No photos of the interior walls/paint