121 Gregory St #7

Aurora, IL 60504

$179,999D

2 bd · 1.5 ba · 890 sqft · Built 1981 · Condo · Pending · 1 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,056/mo
• Mortgage (P&I): −$944
• Tax + insurance: −$297
• HOA: −$486
• Vac / Maint / Mgmt: −$432
• Net cashflow: $-102/mo
• Annual: $-1,229/yr
• Cap rate: 5.61%
• Cash-on-cash: -2.44%
• DSCR: 0.89
• 1% rule: 1.14%
• Cash to close: $50,400

Investor read

• This is a 2-bed/1.5-bath condo listed at $180k.
• At list price, monthly cash flow is $-102 ($-1k/yr) — negative.
• To cash-flow at today's rent, offer at most $162k (10.1% below list).
• Meets the 1% rule at list price ($2k rent vs $180k).
• Only 1 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $162k (10.1% below list) — sets the bar for cash-flow.
• 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 75/100 on livability (#232 in IL, #4,272 nationally) — a middle-class / working-renter tenant base. Strengths: commute A+, housing A+, employment A-; Watch: amenities F, health & safety F.
• Indian Prairie CUSD 204 (urban): math 47% / reading 47% proficiency, ranked #52 of 620 in IL (top 8%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; only 13% free/reduced lunch — higher-income household profile.
• Zoned schools: Mary Lou Cowlishaw Elementary (math 45% / reading 35%, grade F, #385 of 2,056 statewide, top 19%, 548 students, 0% FRL); Thayer J Hill Middle School (math 39% / reading 45%, grade D-, #116 of 665 statewide, top 19%, 777 students, 0% FRL); Metea Valley High School (math 53% / reading 55%, grade C-, #29 of 693 statewide, top 4%, 2,715 students, 0% FRL).
• Watch-outs: HOA is 24% of rent.
• Market conditions: Rents rising fast (+4.9%/yr); 60 active listings in the ZIP; 40 comparable units currently listed for rent nearby; rentals at typical pace (median 23d on market — plan ~3-4 weeks tenant-placement turnaround); solid renter incomes; 1,378 units permitted in DuPage County in 2024 (594 in 5+ unit buildings).
• 5 sale attempts since 11y 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.
• Current owner paid $130k; 38% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• Cap rate 5.6% vs local median 3.5% in Aurora — 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.

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?
• 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?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are F-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• 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.