USS 3625 Lot 5 Portion Chilkat Lk

Covenant Life, AK 99827

$110,000C+

3 bd · 1.0 ba · 896 sqft · Built 2000 · SingleFamily · Active · 319 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,237/mo
• Mortgage (P&I): −$577
• Tax + insurance: −$183
• HOA: −$0
• Vac / Maint / Mgmt: −$260
• Net cashflow: $217/mo
• Annual: $2,603/yr
• Cap rate: 8.66%
• Cash-on-cash: 8.45%
• DSCR: 1.38
• 1% rule: 1.12%
• Cash to close: $30,800

Investor read

• This is a 3-bed/1.0-bath single-family listed at $110k. Condition is rated poor.
• At list price, monthly cash flow is $217 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $110k).
• It's been on market 319 days — a 12% lower offer ($97k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $97k (12.0% below list) — sets the bar for market timing.
• In year one you build about $4k of equity ($761 loan paydown + $3k appreciation (3.0% local appreciation)).
• Location reads 44/100 on livability (#292 in AK) — a working-class tenant base; expect higher turnover. Strengths: crime A, cost of living B; Watch: health & safety C-, amenities F, commute F.
• Haines Borough School District (rural): math 40% / reading 65% proficiency, ranked #5 of 53 in AK (top 9%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Market conditions: 57 active listings in the ZIP; 8 units permitted in Haines Borough in 2024 (0 in 5+ unit buildings).
• Haines County population projected at +9% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At projected returns (3.0% appreciation + 3.0% rent growth), your $31k cash investment doubles in ~5 years — after that, you're playing with house money.
• By year 8, paydown + projected appreciation supports a ~$30k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Questions for listing agent

• It's been on market 319 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• 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.
• 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.

Repairs flagged (vision-AI assessment)

• Major: kitchen cabinets — severely worn and outdated
• Major: bathroom fixtures — outdated and non-functional
• Major: exterior siding — dilapidated and in need of replacement
• Major: flooring — worn and outdated
• Major: paint — peeling and outdated
• Major: roof — visible damage and potential leaks