290 Collamer Cir

Shelburne, VT 05482

$589,900C

3 bd · 2.5 ba · 1,972 sqft · Built 1968 · SingleFamily · Pending · 11 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $5,400/mo
• Mortgage (P&I): −$3,093
• Tax + insurance: −$662
• HOA: −$0
• Vac / Maint / Mgmt: −$1,134
• Net cashflow: $510/mo
• Annual: $6,123/yr
• Cap rate: 7.33%
• Cash-on-cash: 3.71%
• DSCR: 1.16
• 1% rule: 0.92%
• Cash to close: $165,172

Investor read

• This is a 3-bed/2.5-bath single-family listed at $590k.
• At list price, monthly cash flow is $510 ($6k/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 $540k (8.5% below list).
• Only 11 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $540k (8.5% 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 $18k of value loss. Plan a longer hold.
• Location reads 76/100 on livability (#14 in VT, #3,526 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, employment A+, housing A+; Watch: amenities F, commute F, cost of living F.
• Zoned schools: Shelburne Community School (math 47% / reading 65%, grade C+, #29 of 192 statewide, top 15%, 736 students, 14% FRL); Champlain Valley Union High School (math 47% / reading 80%, grade B-, #2 of 48 statewide, top 2%, 1,325 students, 14% FRL).
• Market conditions: 44 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 898 units permitted in Chittenden County in 2024 (554 in 5+ unit buildings).
• Chittenden County population projected at +8% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• 2 sale attempts since 6y 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 $331k; list at $590k implies a 78% gain — meaningful room to come down on a strong offer.
• Cap rate 7.3% vs local median 2.2% in Shelburne — 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

• Built in 1968 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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.