6820 County Road 104

Salida, CO 81201

$166,000B

3 bd · 2.0 ba · 1,120 sqft · Built 1966 · Other · Active · 548 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,363/mo
• Mortgage (P&I): −$871
• Tax + insurance: −$312
• HOA: −$0
• Vac / Maint / Mgmt: −$496
• Net cashflow: $684/mo
• Annual: $8,206/yr
• Cap rate: 11.24%
• Cash-on-cash: 17.66%
• DSCR: 1.79
• 1% rule: 1.42%
• Cash to close: $46,480

Investor read

• This is a 3-bed/2.0-bath other listed at $166k.
• At list price, monthly cash flow is $684 ($8k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $166k).
• It's been on market 548 days — a 12% lower offer ($146k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $146k (12.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $5k of value loss. Plan a longer hold.
• Location reads 82/100 on livability (#5 in CO, #1,263 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, health & safety A+, crime A; Watch: cost of living F.
• Salida School District No. R-32 (town): math 44% / reading 60% proficiency, ranked #12 of 86 in CO (top 14%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Longfellow Elementary School (math 62% / reading 52%, grade C+, #115 of 966 statewide, top 14%, 455 students, 36% FRL); Salida Middle School (math 32% / reading 57%, grade D, #56 of 270 statewide, top 23%, 315 students, 34% FRL); Salida High School (math 42% / reading 67%, grade C-, #78 of 381 statewide, top 22%, 394 students, 24% FRL) — zoned schools at 31% FRL track the district average.
• Market conditions: 293 active listings in the ZIP; solid renter incomes; 289 units permitted in Chaffee County in 2024 (0 in 5+ unit buildings).
• Chaffee County population projected at +17% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 3 sale attempts since 21y ago; this cycle's ask has dropped $28k (14%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $35k; list at $166k implies a 374% gain — meaningful room to come down on a strong offer.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $46k cash investment doubles in ~7 years — after that, you're playing with house money.
• Climate carrying-cost: major wildfire risk — expect insurance premiums to compound above CPI over the hold.
• Cap rate 11.2% vs local median 1.9% in Salida — 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.
• This rent runs 35% of the median local income ($80k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Questions for listing agent

• It's been on market 548 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Built in 1966 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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 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?
• 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.