7720 Royal St Unit Cgt-7

Park City, UT 84060

$108,000C+

2 bd · 2.0 ba · 1,700 sqft · Built 1992 · Timeshare · Active · 86 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,071/mo
• Mortgage (P&I): −$566
• Tax + insurance: −$180
• HOA: −$1,600
• Vac / Maint / Mgmt: −$645
• Net cashflow: $79/mo
• Annual: $952/yr
• Cap rate: 7.17%
• Cash-on-cash: 3.15%
• DSCR: 1.14
• 1% rule: 2.84%
• Cash to close: $30,240

Investor read

• This is a 2-bed/2.0-bath timeshare listed at $108k.
• At list price, monthly cash flow is $79 ($952/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($3k rent vs $108k).
• It's been on market 86 days — a 6% lower offer ($102k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $102k (6.0% below list) — sets the bar for market timing.
• In year one you build about $8k of equity ($747 loan paydown + $7k appreciation (6.7% local appreciation)).
• Location reads 72/100 on livability (#78 in UT) — a middle-class / working-renter tenant base. Strengths: amenities A+, commute A+, employment A+; Watch: crime D, cost of living F, health & safety F.
• Park City District (town): math 46% / reading 53% proficiency, ranked #9 of 80 in UT (top 11%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; only 20% free/reduced lunch — higher-income household profile.
• Watch-outs: HOA is 52% of rent.
• Market conditions: 705 active listings in the ZIP; 2 comparable units currently listed for rent nearby; high-income renter base; 917 units permitted in Summit County in 2024 (529 in 5+ unit buildings).
• Summit County population projected at +42% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 2 sale attempts since 2y 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.
• At projected returns (6.7% appreciation + 3.0% rent growth), your $30k cash investment doubles in ~4 years — after that, you're playing with house money.
• By year 5, paydown + projected appreciation supports a ~$35k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wildfire risk — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• It's been on market 86 days. Have you received any prior offers? Is the seller open to a 6% concession, seller financing, or rate buy-down credit?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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.
• Crime grade is D in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
• 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.