3411 Wilcox Rd Unit BV25

Lihue, HI 96766

$499,000F

2 bd · 1.5 ba · 920 sqft · Built 1978 · Condo · Active · 80 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,801/mo
• Mortgage (P&I): −$2,617
• Tax + insurance: −$832
• HOA: −$1,140
• Vac / Maint / Mgmt: −$798
• Net cashflow: $-1,585/mo
• Annual: $-19,024/yr
• Cap rate: 2.48%
• Cash-on-cash: -13.62%
• DSCR: 0.39
• 1% rule: 0.76%
• Cash to close: $139,720

Investor read

• This is a 2-bed/1.5-bath condo listed at $499k.
• At list price, monthly cash flow is $-2k ($-19k/yr) — negative.
• To cash-flow at today's rent, offer at most $270k (46.0% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $380k (23.8% below list).
• It's been on market 80 days — a 6% lower offer ($469k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $270k (46.0% below list) — sets the bar for cash-flow.
• In year one you build about $53k of equity ($3k loan paydown + $50k appreciation (10.0% local appreciation)).
• Location reads 65/100 on livability (#53 in HI) — a middle-class / working-renter tenant base. Strengths: employment A+, commute A, crime A-; Watch: health & safety C-, amenities F, cost of living F.
• Zoned schools: Elsie H Wilcox Elementary School (math 39% / reading 49%, grade F, #77 of 183 statewide, top 42%, 731 students, 48% FRL); Chiefess Kamakahelei Middle School (math 29% / reading 52%, grade F, #15 of 42 statewide, top 34%, 808 students, 48% FRL); Kauai High School (math 33% / reading 64%, grade D, #13 of 43 statewide, top 33%, 1,108 students, 40% FRL).
• Watch-outs: HOA is 30% of rent.
• Market conditions: 37 active listings in the ZIP; 141 units permitted in Kauai County in 2024 (0 in 5+ unit buildings).
• Kauai County population projected at +27% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• By year 2, paydown + projected appreciation supports a ~$86k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

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 80 days. Have you received any prior offers? Is the seller open to a 46% concession, seller financing, or rate buy-down credit?
• Built in 1978 — 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?