29 Lowell Rd #43

Methuen Town, MA 03079

$369,900F

2 bd · 2.0 ba · 944 sqft · Built 2026 · Manufactured · Active · 1 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,541/mo
• Mortgage (P&I): −$1,940
• Tax + insurance: −$322
• HOA: −$470
• Vac / Maint / Mgmt: −$534
• Net cashflow: $-724/mo
• Annual: $-8,689/yr
• Cap rate: 3.94%
• Cash-on-cash: -8.39%
• DSCR: 0.63
• 1% rule: 0.69%
• Cash to close: $103,572

Investor read

• This is a 2-bed/2.0-bath manufactured listed at $370k.
• At list price, monthly cash flow is $-724 ($-9k/yr) — negative.
• To cash-flow at today's rent, offer at most $242k (34.6% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $254k (31.3% below list).
• Only 1 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $242k (34.6% below list) — sets the bar for cash-flow.
• Local home prices are declining (-3.0%/yr); year-one equity from $3k of loan paydown is wiped out by about $11k of value loss. Plan a longer hold.
• Location reads 73/100 on livability (#108 in MA) — a middle-class / working-renter tenant base. Strengths: housing A+, crime A, employment A; Watch: schools D+, commute D+, amenities F.
• Salem School District (suburban): math 47% / reading 56% proficiency, ranked #28 of 98 in NH (top 29%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease; only 14% free/reduced lunch — higher-income household profile.
• Market conditions: Rents rising (+2.6%/yr); 19 comparable units currently listed for rent nearby; rentals leasing fast (median 6d on market — plan ~1-2 weeks tenant-placement turnaround); high-income renter base; 1,276 units permitted in Rockingham County in 2024 (593 in 5+ unit buildings).
• 2 sale attempts since 11y 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 $139k; list at $370k implies a 166% gain — meaningful room to come down on a strong offer.
• Climate carrying-cost: major flood risk; major wind risk, 27% chance of damaging wind over 30y — expect insurance premiums to compound above CPI over the hold.
• Cap rate 3.9% vs local median 2.9% in Methuen Town — 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

• 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?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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?
• 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.
• 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.