1020 - 1020 1/2 Georgia St

Vallejo, CA 94590

$899,000F

24 bd · 20.0 ba · 2,324 sqft · Built 1905 · MultiFamily · Active · 71 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $6,802/mo
• Mortgage (P&I): −$4,714
• Tax + insurance: −$1,498
• HOA: −$0
• Vac / Maint / Mgmt: −$1,428
• Net cashflow: $-839/mo
• Annual: $-10,070/yr
• Cap rate: 5.17%
• Cash-on-cash: -4.00%
• DSCR: 0.82
• 1% rule: 0.76%
• Cash to close: $251,720

Investor read

• This is a 2×2bd/1ba + 2×1bd/1ba units multifamily listed at $899k. Condition is rated fair.
• At list price, monthly cash flow is $-839 ($-10k/yr) — negative. Per door: $-210/mo.
• To cash-flow at today's rent, offer at most $778k (13.5% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $680k (24.3% below list).
• It's been on market 71 days — a 6% lower offer ($845k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $680k (24.3% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $6k of loan paydown is wiped out by about $27k of value loss. Plan a longer hold.
• Location reads 67/100 on livability (#304 in CA) — a middle-class / working-renter tenant base. Strengths: commute A+, housing A+, health & safety A+; Watch: crime F, cost of living F.
• Vallejo City Unified (urban): math 20% / reading 30% proficiency, ranked #1,124 of 1,400 in CA (top 80%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 62% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Highland Elementary (496 students, 76% FRL); Hogan Middle (867 students, 85% FRL); Vallejo High (math 10% / reading 50%, grade F, #723 of 1,170 statewide, top 64%, 1,335 students, 80% FRL) — zoned schools average 80% FRL vs 62% district-wide (19 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: built in 1905 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents flat; 179 active listings in the ZIP; 1,472 units permitted in Solano County in 2024 (131 in 5+ unit buildings).
• Solano County population projected at +15% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• Cap rate 5.2% vs local median 3.1% in Vallejo — 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.
• At $6,802/mo this rent would consume 125% of the median local household income ($65k/yr) (locally 2972% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

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 71 days. Have you received any prior offers? Is the seller open to a 24% concession, seller financing, or rate buy-down credit?
• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1905 — 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.

Repairs flagged (vision-AI assessment)

• Moderate: Exterior siding — Weathered and in need of replacement
• Moderate: Roof — Aged and likely in need of repair or replacement