2139 Northwest Dr

White Oak, PA 15642

$126,000B

3 bd · 2.5 ba · 2,100 sqft · Built 1954 · Other · Pending · 16 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,871/mo
• Mortgage (P&I): −$661
• Tax + insurance: −$385
• HOA: −$0
• Vac / Maint / Mgmt: −$393
• Net cashflow: $432/mo
• Annual: $5,182/yr
• Cap rate: 10.41%
• Cash-on-cash: 14.69%
• DSCR: 1.65
• 1% rule: 1.48%
• Cash to close: $35,280

Investor read

• This is a 3-bed/2.5-bath other listed at $126k.
• At list price, monthly cash flow is $432 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $126k).
• It's been on market 16 days — a 2% lower offer ($124k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $124k (1.5% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $871 of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
• Location reads 77/100 on livability (#339 in PA, #2,982 nationally) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, crime B+; Watch: amenities D-, commute F.
• Norwin SD (suburban): math 60% / reading 76% proficiency, ranked #32 of 539 in PA (top 6%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease; only 18% free/reduced lunch — higher-income household profile.
• Zoned schools: Stewartsville El Sch (math 62% / reading 77%, grade A-, #151 of 1,518 statewide, top 12%, 428 students, 27% FRL); Norwin Ms (math 48% / reading 72%, grade B, #43 of 512 statewide, top 9%, 820 students, 30% FRL); Norwin Shs (math 78% / reading 24%, grade D+, #121 of 437 statewide, top 28%, 1,636 students, 25% FRL).
• Watch-outs: property tax is 3.2% of price; built in 1954 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents rising fast (+7.2%/yr); 137 active listings in the ZIP; 3 comparable units currently listed for rent nearby; rentals leasing fast (median 0d on market — plan ~1-2 weeks tenant-placement turnaround); solid renter incomes; 415 units permitted in Westmoreland County in 2024 (10 in 5+ unit buildings).
• Westmoreland County population projected at -19% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (-3.0% appreciation + 7.2% rent growth), your $35k cash investment doubles in ~6 years — after that, you're playing with house money.
• Cap rate 10.4% vs local median 4.1% in White Oak — 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 1954 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
• 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.