Powell Plan

Fayetteville, GA 30215

$554,990F

4 bd · 2.0 ba · 2,492 sqft · Built — · SingleFamily · Active · 177 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $4,535/mo
• Mortgage (P&I): −$3,365
• Tax + insurance: −$1,070
• HOA: −$0
• Vac / Maint / Mgmt: −$952
• Net cashflow: $-852/mo
• Annual: $-10,224/yr
• Cap rate: 4.70%
• Cash-on-cash: -5.69%
• DSCR: 0.75
• 1% rule: 0.71%
• Cash to close: $179,691

Investor read

• This is a 4-bed/2.0-bath single-family listed at $555k. Condition is rated good.
• At list price, monthly cash flow is $-852 ($-10k/yr) — negative.
• To cash-flow at today's rent, offer at most $518k (6.6% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $454k (18.3% below list).
• It's been on market 177 days — a 12% lower offer ($488k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $454k (18.3% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $4k of loan paydown is wiped out by about $19k of value loss. Plan a longer hold.
• Location reads 71/100 on livability (#86 in GA) — a middle-class / working-renter tenant base. Strengths: housing A+, health & safety B+, employment B; Watch: amenities F, commute F.
• Fayette County (suburban): math 52% / reading 60% proficiency, ranked #7 of 174 in GA (top 4%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Sara Harp Minter Elementary School (math 61% / reading 62%, grade B, #114 of 1,228 statewide, top 9%, 783 students, 18% FRL); Whitewater Middle School (math 55% / reading 65%, grade B, #41 of 470 statewide, top 9%, 864 students, 20% FRL); Whitewater High School (math 32% / reading 62%, grade D-, #37 of 424 statewide, top 9%, 1,387 students, 18% FRL) — zoned schools at 19% FRL track the district average.
• Market conditions: Rents rising (+3.2%/yr); 389 active listings in the ZIP; 2 comparable units currently listed for rent nearby; high-income renter base; 323 units permitted in Fayette County in 2024 (0 in 5+ unit buildings).
• Fayette County population projected at +13% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At $4,535/mo this rent would consume 46% of the median local household income ($118k/yr) — 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 177 days. Have you received any prior offers? Is the seller open to a 18% concession, seller financing, or rate buy-down credit?
• 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?
• The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?
• 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.