1171 Heart Lake Rd

Bridgewater, PA 18801

$320,000D

4 bd · 2.0 ba · 1,920 sqft · Built 1999 · Other · Active · 299 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,729/mo
• Mortgage (P&I): −$1,678
• Tax + insurance: −$393
• HOA: −$0
• Vac / Maint / Mgmt: −$363
• Net cashflow: $-705/mo
• Annual: $-8,462/yr
• Cap rate: 3.65%
• Cash-on-cash: -9.44%
• DSCR: 0.58
• 1% rule: 0.54%
• Cash to close: $89,600

Investor read

• This is a 4-bed/2.0-bath other listed at $320k.
• At list price, monthly cash flow is $-705 ($-8k/yr) — negative.
• To cash-flow at today's rent, offer at most $195k (38.9% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $173k (46.0% below list).
• It's been on market 299 days — a 12% lower offer ($282k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $173k (46.0% below list) — sets the bar for 1% rule.
• In year one you build about $12k of equity ($2k loan paydown + $10k appreciation (3.1% local appreciation)).
• Location reads 87/100 on livability (#46 in PA, #255 nationally) — a professional / high-income tenant draw. Strengths: crime A+, commute A+, cost of living A+; Watch: employment C-, amenities D.
• Montrose Area SD (rural): math 35% / reading 61% proficiency, ranked #214 of 539 in PA (top 40%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Lathrop Street El Sch (math 32% / reading 62%, grade D-, #737 of 1,518 statewide, top 52%, 397 students, 53% FRL); Montrose Area Jshs (math 36% / reading 52%, grade F, #209 of 437 statewide, top 48%, 562 students, 42% FRL) — zoned schools average 47% FRL vs 30% district-wide (18 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 41 active listings in the ZIP; 80 units permitted in Susquehanna County in 2024 (5 in 5+ unit buildings).
• Susquehanna County population projected at -30% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 2 sale attempts 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.
• By year 3, 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

• 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 299 days. Have you received any prior offers? Is the seller open to a 46% 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.
• 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?
• This sits on a lake — are riparian / water-frontage rights deeded with the parcel? Any dock permits, shoreline easements, or HOA water-use restrictions?
• What's the documented flood / surge / shoreline-erosion history here (FEMA AND non-FEMA — e.g., storm surge, creek backup, septic-field saturation)?
• Any water-quality or seasonal algae-bloom issues that affect tenant satisfaction or short-term-rental demand?