850 Laconia Rd Unit 4G

Laconia, NH 03276

$295,000D

1 bd · 1.0 ba · 523 sqft · Built 1960 · Condo · Active · 69 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,300/mo
• Mortgage (P&I): −$1,547
• Tax + insurance: −$410
• HOA: −$169
• Vac / Maint / Mgmt: −$483
• Net cashflow: $-309/mo
• Annual: $-3,706/yr
• Cap rate: 5.04%
• Cash-on-cash: -4.49%
• DSCR: 0.80
• 1% rule: 0.78%
• Cash to close: $82,600

Investor read

• This is a 1-bed/1.0-bath condo listed at $295k.
• At list price, monthly cash flow is $-309 ($-4k/yr) — negative.
• To cash-flow at today's rent, offer at most $240k (18.5% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $230k (22.0% below list).
• It's been on market 69 days — a 6% lower offer ($277k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $230k (22.0% below list) — sets the bar for 1% rule.
• Local home prices are declining (-1.9%/yr); year-one equity from $2k of loan paydown is wiped out by about $6k of value loss. Plan a longer hold.
• Location reads 79/100 on livability (#20 in NH, #2,314 nationally) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: commute F.
• Winnisquam Regional School District (town): math 32% / reading 46% proficiency, ranked #64 of 98 in NH (top 65%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Winnisquam Regional Middle School (math 27% / reading 44%, grade F, #56 of 96 statewide, top 59%, 398 students, 37% FRL); Winnisquam Regional High School (math 27% / reading 52%, grade F, #63 of 90 statewide, top 74%, 421 students, 30% FRL).
• Market conditions: 43 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 301 units permitted in Belknap County in 2024 (32 in 5+ unit buildings).
• Belknap County population projected at -10% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 2 sale attempts since 7y ago; this cycle's ask has dropped $25k (8%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $92k; list at $295k implies a 222% gain — meaningful room to come down on a strong offer.
• Cap rate 5.0% vs local median 1.8% in Laconia — 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

• What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
• It's been on market 69 days. Have you received any prior offers? Is the seller open to a 22% concession, seller financing, or rate buy-down credit?
• Built in 1960 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• Any open or pending special assessments — roof, HVAC, plumbing, elevator, façade? What's the per-unit balance and payoff schedule, and is the seller paying it off at close or rolling it to the buyer?
• 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 D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?