785 Percival St

North Salt Lake, UT 84054

$111,000D

4 bd · 2.0 ba · 1,325 sqft · Built 1980 · Manufactured · Active · 220 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,278/mo
• Mortgage (P&I): −$582
• Tax + insurance: −$185
• HOA: −$1,114
• Vac / Maint / Mgmt: −$478
• Net cashflow: $-81/mo
• Annual: $-975/yr
• Cap rate: 5.41%
• Cash-on-cash: -3.14%
• DSCR: 0.86
• 1% rule: 2.05%
• Cash to close: $31,080

Investor read

• This is a 4-bed/2.0-bath manufactured listed at $111k.
• At list price, monthly cash flow is $-81 ($-975/yr) — negative.
• To cash-flow at today's rent, offer at most $99k (10.6% below list).
• Meets the 1% rule at list price ($2k rent vs $111k).
• It's been on market 220 days — a 12% lower offer ($98k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $98k (12.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $767 of loan paydown is wiped out by about $3k of value loss. Plan a longer hold.
• Location reads 76/100 on livability (#57 in UT, #3,560 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, commute A+, employment A+; Watch: cost of living D, amenities F, health & safety F.
• Davis District (suburban): math 43% / reading 47% proficiency, ranked #28 of 80 in UT (top 35%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; only 19% free/reduced lunch — higher-income household profile.
• Zoned schools: Adelaide School (math 35% / reading 30%, grade F, #416 of 585 statewide, top 71%, 419 students, 50% FRL); South Davis Jr High (math 31% / reading 37%, grade F, #97 of 138 statewide, top 70%, 1,095 students, 25% FRL); Woods Cross High (math 36% / reading 47%, grade F, #57 of 171 statewide, top 34%, 1,567 students, 16% FRL).
• Watch-outs: HOA is 49% of rent.
• Market conditions: Rents rising fast (+6.5%/yr); 148 active listings in the ZIP; 12 comparable units currently listed for rent nearby; rentals at typical pace (median 21d on market — plan ~3-4 weeks tenant-placement turnaround); solid renter incomes; 1,461 units permitted in Davis County in 2024 (508 in 5+ unit buildings).
• Davis County population projected at +39% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 4 sale attempts since 24y ago; this cycle's ask has dropped $29k (21%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Climate carrying-cost: major flood risk — expect insurance premiums to compound above CPI over the hold.

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 220 days. Have you received any prior offers? Is the seller open to a 12% 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.
• 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.