595 Kesling St

Harrisburg, OR 97446

$175,000C-

3 bd · 2.0 ba · 1,568 sqft · Built 1995 · Other · Active · 25 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,710/mo
• Mortgage (P&I): −$918
• Tax + insurance: −$153
• HOA: −$0
• Vac / Maint / Mgmt: −$359
• Net cashflow: $280/mo
• Annual: $3,363/yr
• Cap rate: 8.21%
• Cash-on-cash: 6.86%
• DSCR: 1.31
• 1% rule: 0.98%
• Cash to close: $49,000

Investor read

• This is a 3-bed/2.0-bath other listed at $175k.
• At list price, monthly cash flow is $280 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $171k (2.3% below list).
• It's been on market 25 days — a 2% lower offer ($172k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $171k (2.3% below list) — sets the bar for 1% rule.
• 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 71/100 on livability (#124 in OR) — a middle-class / working-renter tenant base. Strengths: health & safety A+, housing A, cost of living A-; Watch: amenities C-, commute F, employment F.
• Harrisburg SD 7J (town): math 34% / reading 40% proficiency, ranked #123 of 183 in OR (top 67%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Harrisburg Elementary School (math 24% / reading 54%, grade F, #183 of 412 statewide, top 47%, 288 students, 66% FRL); Harrisburg Middle School (math 22% / reading 32%, grade F, #96 of 128 statewide, top 78%, 238 students, 66% FRL); Harrisburg High School (math 10% / reading 70%, grade F, #69 of 143 statewide, top 54%, 250 students, 33% FRL).
• Market conditions: 38 active listings in the ZIP; 311 units permitted in Linn County in 2024 (60 in 5+ unit buildings).
• Linn County population projected at +5% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• 2 sale attempts since 5y 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.

Questions for listing agent

• 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?
• 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.