440 Raymond Ave · Santa Monica, CA 90405

$7,750,000

28 bd · 28.0 ba · 15,820 sqft · MultiFamily public records · 2 Days on market

Built 1969 0.32 ac lot

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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 +29.3/30.0
• DSCR +10.0/10.0
• ARV discount +7.5/15.0
• Appreciation +7.5/10.0
• 1% rule +7.0/10.0
• Schools +6.2/10.0
• Livability +3.6/5.0
• Rent growth +2.8/5.0
• Condition / age +2.5/5.0

Multi-family units

County records classify this as Multi-Family (5+ Unit). Listing-text estimate: 20 units. confirmed

5+ unit building — per-unit beds/baths from public records are typically unavailable; the breakdown below (if shown) is an estimate from the listing text.

Listing remarks MLS

L GREAT LOCATION.

Key facts

• 0.32 acre lot
• Garage
• Built 1969

Tags

• 20 UNIT MULTIFAMILY INVESTMENT
• COURTYARD STYLE LAYOUT
• COPPER PLUMBING REPIPE
• NEWER ABOVE GRADE SEWER PIPES
• SEISMIC RETROFIT WORK
• SECURITY ENHANCEMENTS

Property features AI

Finance

• Other: Unit mix: 2+2 and 1+1 configurations; Like units: eight 2-bed units and twelve 1-bed units; Some units report actual and projected rents (example: 2-bed actual $23,292 / projected $32,800; 1-bed actual $28,663 / projected $35,400)
• Financial info: Gross income: 631,196; Gross operating income: 612,260; Net operating income: 425,370; Total annual expenses: 186,890; Cap rate: 5.49%; Gross rent multiplier: 12.28; Vacancy rate: 1%; Rent control: yes; Listing terms include cash, cash to new loan, and exchange down; Possession subject to close of escrow and tenant rights
• HOA & community: Complex contains 20 units

Exterior

• Parking: Community garage with controlled entrance; Covered parking with door openers; 29 total parking spaces (all covered)
• Security: Controlled garage entrance; Automatic gate for the lot
• Utilities: Water paid by owner; Gas and electric paid by tenants; Property has water heaters
• Home design: Residential income property; Updated/remodeled condition; Two-level building (2 total floors)
• Construction: Single building (1 building total)
• Exterior features: Decks and balconies; Automatic gate; Sidewalks; No additional outbuildings

Interior

• Kitchen: Oven; Granite, stone, and tile counters; Refrigerator; Range/oven
• Bedrooms: Units include 2-bed and 1-bed layouts (some units: 2 beds in 8 units; 1 bed in 12 units)
• Flooring: Carpeted floors
• Bathrooms: Units include 2-bath and 1-bath layouts (2.00 baths in 2-bed units; 1.00 bath in 1-bed units)
• Heating & cooling: Wall heating; No cooling
• Interior features: Crown moldings; Ground-level entry with steps
• Laundry & utility: On-site laundry area; Owner-provided laundry equipment

What this means for you Summary

Snapshot

• This is a 20 × 28-bed/28.0-bath units multifamily listed at $7.75M.

Deal economics

• At list price, monthly cash flow is $27k ($327k/yr) — positive. Per door: $1k/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($93k rent vs $7.75M).
• Cap rate 10.5% vs local median 1.2% in Santa Monica — 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 72/100 on livability (#178 in CA) — a middle-class / working-renter tenant base. Strengths: schools A+, amenities A+, commute A+; Watch: health & safety C-, crime F, cost of living F.
• Santa Monica-Malibu Unified (urban): math 61% / reading 74% proficiency, ranked #123 of 1,400 in CA (top 9%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Market conditions: Rents rising (+1.1%/yr); 100 active listings in the ZIP; high-income renter base; 19,697 units permitted in Los Angeles County in 2024 (9,426 in 5+ unit buildings).
• At $93,212/mo this rent would consume 923% of the median local household income ($121k/yr) (locally 2402% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Forward outlook

• In year one you build about $438k of equity ($54k loan paydown + $385k appreciation (5.0% local appreciation)).
• Los Angeles County population projected at +9% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At projected returns (5.0% appreciation + 1.1% rent growth), your $2.17M cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 2, paydown + projected appreciation supports a ~$703k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Negotiation context

• Only 2 days on market — expect competitive offers; lowballing is unlikely to land.
• 3 sale attempts since 29y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• Current owner paid $1.39M; list at $7.75M implies a 459% gain — meaningful room to come down on a strong offer.

Risks & watch-outs

• Climate carrying-cost: extreme-heat days projected 7→19/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $7,750,000

Questions for the listing agent

1. Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
2. What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
3. Built in 1969 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
4. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
5. Schools are A-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?
6. 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?
7. 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.
8. 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.
9. How much new apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.

Investment metrics

• 1% rule: 1.20% ✓
• Cap rate: 10.51%
• Cash-on-cash: 15.07%
• DSCR: 1.67
• GRM: 6.9

CMA / ARV

No comps found within radius.

Projected returns pro-forma

4.97% appreciation · 1.05% rent growth · sell at horizon

5-year hold

• IRR: 24.7%
• Equity multiple: 2.53×
• Total profit: $3,324,839
• Equity at exit: $4,375,681

10-year hold

• IRR: 23.1%
• Equity multiple: 4.79×
• Total profit: $8,231,224
• Equity at exit: $7,538,516

Cash invested: $2,170,000 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 18 Strongly Tenant-Friendly
• State California: 18 Strongly Tenant-Friendly · D+13
• County: — inherits STATE
• City: — inherits STATE

AB1482 statewide rent cap (10% + CPI). Cities (SF/LA/Berkeley) layer stricter rules. Just-cause statewide.

Methodology + full state rankings →

ZIP-level market 90405

• Home prices YoY: 1.2%
• Rents YoY: 1.1%
• Active inventory: 100
• Price-to-rent: 138.6×

Monthly cashflow live

• Estimated rent: $93,212 medium
• Mortgage (P&I): −$40,642
• Tax from tax record: −$2,507 /mo · $30,086/yr
• Insurance: −$3,229
• HOA: −$0
• Vacancy / Maint / Mgmt: −$19,575
• Net cashflow: $27,259

Break-even live

Break-even rent $58,707

Max offer price $7,750,000

Occupancy floor 66%

20-unit breakdown (identical units grouped — click to expand)

Units	Beds	Baths	Est. rent
▸ 20× units	28	28	$93,220
Total (20 units)			$93,212

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: $1,937,500
• Closing costs: $232,500
• Reserves months: —
• Total cash needed: —

Listing history 3 events

1. 2026-06-18
   days on market $7,750,000 Active 2 DOM
2. 2026-06-17
   remarks 699-char remark
3. 2026-06-17
   listed $7,750,000 Active 1 DOM

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

Tax reassessment forecast CA · Resets to sale price

• Current annual tax: $30,086 · $2,507/mo
• Projected year-2 tax: $58,900 · $4,908/mo
• Expected delta: +$28,814/yr (+$2,401/mo · 95.8%)

ⓘ 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 1/10 Low
• 🌡 Heat 7/10 Severe 7 d/yr ≥80°F today · 19 d/yr by 30 yrs out
• 💨 Wind 1/10 Low
• 🫁 Air quality 4/10 Moderate 5 unhealthy d/yr today · 6 by 30 yrs out

Taxation est. · year 1

• Rental income: $1,118,544
• − Mortgage interest: −$434,120
• − Property taxes: −$30,086
• − Insurance: −$38,750
• − Repairs & maintenance: −$89,484
• − Management: −$89,484
• − Depreciation: −$225,455
• Taxable income: $211,166
• Est. tax owed @ 24.0%: −$50,680
• After-tax cash flow: $276,432/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: Santa Monica-Malibu Unified
• NCES district ID: 0635700
• Math proficiency: 61% ▬ 0.00%
• Reading proficiency: 74% ▬ 0.00%
• Median HH income: $81,489
• Composite: 61.58/100
• National rank: #1535
• State rank: #123 of 1400 in CA

Livability — Santa Monica

• Score: 72/100
• State rank: #178
• US rank: #5878

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Santa Monica, CA
• County: Los Angeles County · 9,444,647 people
• City population: 93,581
• Metro: Los Angeles-Long Beach-Anaheim, CA
• Population (ZIP): 27,298
• Household income: $121,241
• Rent vs Own: 68.6% rent · 31.4% own
• Severe rent burden: 2402.0

Population outlook (Los Angeles County) Hauer SSP2

• Today (2025): 10,940,515 people
• By 2030: 11,256,481 · +2.9%
• By 2040: 11,729,929 · +7.2%
• By 2050: 11,948,407 · +9.2%
• By 2075: 11,818,114 · +8.0%
• By 2100: 10,842,928 · -0.9%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (66%)
• Race & ethnicity: White 66% Hispanic / Latino 15% Two or more races 12% Asian 8% Black 4%
• Hispanic origin (detail): Mexican 9%
• Common ancestry: Romanian 5% Italian 4% Scotch-Irish 4%
• Foreign-born: 22% · Canada, China, Dominican Republic
• Languages at home: 73% English-only · Spanish 10% Other Indo-European 5% Other Asian/Pacific 3%

Political lean MEDSL · Los Angeles

• 2024 margin: Solid D (+32.9) · D 64.8% · R 31.9% · Other 3.3%
• 2008→2024 swing: -7.4pp toward R · 2008: 40.4pp · 2024: 32.9pp
• All cycles: 2024: D+32.9 2020: D+44.2 2016: D+48.0 2012: D+40.0 2008: D+40.4

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▲ 4.97%
• Current HPI: 434.8689
• Rent YoY: ▲ 1.05%
• Metro: Los Angeles-Long Beach-Anaheim, CA
• State GDP YoY: ▲ 3.21%
• F500 in state: 116

Industry mix (Fortune 500 HQ in CA)

Industry	F500 HQs	Revenue
▸Technology	27	$1,492B
▸Financial Services	3	$174B
▸Retail	3	$44B
▸Insurance	3	$26B
▸Media / Entertainment	2	$115B
▸Pharmaceuticals / Biotech	2	$62B

Price history

+604.5% since first listed

8 events — show timeline

• 2026-06-16 Listed $7,750,000 TheMLS
• 2026-04-09 Rental Removed $2,620 SHOWMOJO
• 2026-03-14 Listed for Rent $2,620 SHOWMOJO
• 1997-07-19 Sold (MLS) $1,387,500 TheMLS
• 1997-07-16 Sold (Public Records) $1,387,500 Public Records
• 1997-03-06 Delisted — TheMLS
• 1997-02-13 Listed $1,595,000 TheMLS
• 1994-03-15 Sold (Public Records) $1,100,000 Public Records

Property tax history

+2.2%/yr

Latest (2025): $30,086 · +6.9% YoY. Source: county tax records.