602 Chauncey

San Antonio, TX 78216

$749,000F

66 bd · 66.0 ba · 2,232 sqft · Built 1982 · MultiFamily · Active · 44 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $6,158/mo
• Mortgage (P&I): −$3,928
• Tax + insurance: −$1,446
• HOA: −$0
• Vac / Maint / Mgmt: −$1,293
• Net cashflow: $-509/mo
• Annual: $-6,106/yr
• Cap rate: 5.48%
• Cash-on-cash: -2.91%
• DSCR: 0.87
• 1% rule: 0.82%
• Cash to close: $209,720

Investor read

• This is a 5×2bd/2ba + 1×1bd/1ba units multifamily listed at $749k.
• At list price, monthly cash flow is $-509 ($-6k/yr) — negative. Per door: $-85/mo.
• To cash-flow at today's rent, offer at most $659k (12.0% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $616k (17.8% below list).
• It's been on market 44 days — a 3% lower offer ($727k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $616k (17.8% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $5k of loan paydown is wiped out by about $22k of value loss. Plan a longer hold.
• Location reads 80/100 on livability (#31 in TX, #1,616 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, commute A+, cost of living A+; Watch: crime F.
• North East ISD (urban): math 38% / reading 49% proficiency, ranked #276 of 826 in TX (top 33%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Harmony Hills El (math 22% / reading 27%, grade F, #3,052 of 4,322 statewide, top 74%, 400 students, 81% FRL); Eisenhower Middle (math 19% / reading 36%, grade F, #1,156 of 1,662 statewide, top 71%, 880 students, 67% FRL); Churchill H S (math 35% / reading 56%, grade D-, #634 of 1,632 statewide, top 39%, 2,510 students, 43% FRL) — zoned schools average 64% FRL vs 41% district-wide (22 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: Rents falling (-3.8%/yr); 116 active listings in the ZIP; 8,308 units permitted in Bexar County in 2024 (2,506 in 5+ unit buildings).
• Bexar County population projected at +50% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• Climate carrying-cost: major wind risk, 71% chance of damaging wind over 30y; extreme-heat days projected 7→21/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 5.5% vs local median 3.8% in San Antonio — 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.
• At $6,158/mo this rent would consume 125% of the median local household income ($59k/yr) (locally 2909% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

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 44 days. Have you received any prior offers? Is the seller open to a 18% concession, seller financing, or rate buy-down credit?
• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Crime grade is F 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?
• 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?
• 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.