Is 600 E Cavanaugh Rd in Lansing, MI a good investment?

CashFlowRE grades it C- with a 7.1% cap rate and $83/mo modeled cash flow at a $130,000 list price. See the full underwriting and recommended offer on the page.

What is the cap rate for 600 E Cavanaugh Rd?

The modeled cap rate is 7.1% — annual NOI divided by price, using CashFlowRE's rent and expense estimates.

What would this property rent for?

Estimated market rent is $1,242/month, from CashFlowRE's rent model.

C- Composite 54.11

Why this score? — see what drove the C- grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

Cash flow +16.8/30.0
ARV discount +13.0/15.0
DSCR +5.2/10.0
1% rule +4.6/10.0
Livability +4.0/5.0
Condition / age +4.0/5.0
Rent growth +3.7/5.0
Schools +3.0/10.0
Appreciation +0.0/10.0

$130,000

600 E Cavanaugh Rd · Lansing, MI 48910

1 bd · 1.0 ba · 1,724 sqft · SingleFamily · 217 Days on market

Built 1930 Good condition 5,662 sqft lot $75/sqft · 12% below area Est $148k · 12% under

🖨 Deal sheet (PDF) 📄 Offer letter ✓ Due diligence

Listing remarks MLS

Beautifully updated property with flexible zoning-currently residential, with the option for personal-use commercial space. R5 Zoned commercial or residential. ADA accessibility. This makes it ideal for a consulting office, nail salon, or small business. Situated on a desirable corner lot, the property has been fully renovated in 2024 and again in 2026, making it truly move-in ready. Updates include brand-new flooring throughout, fully renovated bathrooms, all-new plumbing, fresh neutral interior paint, a new central air unit, furnace, and water heater. With ample parking and versatile use options, this property is perfect whether you're lookin for a comfortable home, a professional workspace, or a combination of both. A rare opportunity to live and work in one convenient location.

Key facts

Fully renovated
Flexible zoning
Renovated bathrooms

What this means for you Summary

Snapshot

This is a 1-bed/1.0-bath single-family listed at $130k. Condition is rated good.

Deal economics

At list price, monthly cash flow is $83 ($993/yr) — positive.
The deal already cash-flows at list — no discount required.
To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $124k (4.5% below list).
Recommended offer: $114k (12.0% below list) — sets the bar for market timing.

Location & tenants

Location reads 79/100 on livability (#94 in MI, #2,182 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, commute A+, cost of living A+; Watch: employment D, crime F.
Lansing Public School District (urban): math 14% / reading 23% proficiency, ranked #650 of 760 in MI (top 86%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 68% free/reduced lunch — lower-income household profile, screen leases tightly.
Zoned schools: Cavanaugh School (315 students, 89% FRL); Attwood School (193 students, 88% FRL) — zoned schools average 88% FRL vs 68% district-wide (21 pts higher); higher-poverty schools than district average — tighter screening recommended.
Market conditions: Rents rising fast (+4.7%/yr); 379 active listings in the ZIP; 13 comparable units currently listed for rent nearby; rentals at typical pace (median 16d on market — plan ~3-4 weeks tenant-placement turnaround); 46% of comp listings sitting > 30 days — soft ceiling on asking rent; 350 units permitted in Ingham County in 2024 (186 in 5+ unit buildings).

Forward outlook

Local home prices are declining (-3.0%/yr); year-one equity from $899 of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
Ingham County population projected at +11% by 2050 — modest demand growth; plan on rents tracking national, not racing it.

Negotiation context

It's been on market 217 days — a 12% lower offer ($114k) is reasonable based on typical stale-listing flexibility.
4 sale attempts; this cycle's ask has dropped $25k (16%) from the opening price — seller is motivated, your offer sets the floor, not the list.

Risks & watch-outs

Watch-outs: built in 1930 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $114,400 (12.0% below list)

Questions for the listing agent

It's been on market 217 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
Built in 1930 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
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.
Schools are F-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
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?
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.

Investment metrics

1% rule: 0.96% ✗
Cap rate: 7.06%
Cash-on-cash: 2.73%
DSCR: 1.12
GRM: 8.7

CMA / ARV

ARV (median comp): $147,934
List price: $130,000
Delta: -12.12%
Verdict: UNDERPRICED
Comps: 20 within 1.0 mi

Show comp detail 9 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
713 E Cavanaugh Rd	0.14mi	2/1.0 (+1)	1,736 (+1%)	11mo	$90,000	$52	78
3521 Wildwood Ave	0.40mi	2/1.0 (+1)	1,625 (-6%)	2mo	$164,000	$101	65
738 Samantha Ave	0.23mi	2/1.0 (+1)	1,676 (-3%)	19mo	$160,000	$95	64
4407 Burchfield Ave	0.91mi	2/1.5 (+1)	1,804 (+5%)	9mo	$125,000	$69	42
536 Hunter Blvd	0.28mi	2/2.0 (+1)	1,413 (-18%)	15mo	$148,000	$105	41
926 S Dexter Dr	0.62mi	2/1.0 (+1)	1,571 (-9%)	15mo	$172,000	$109	39
3430 Palmer St	0.91mi	2/1.0 (+1)	1,560 (-10%)	8mo	$170,000	$109	38
3437 Harold St	0.84mi	2/1.5 (+1)	1,504 (-13%)	10mo	$153,500	$102	28
604 W Holmes Rd	0.95mi	2/2.0 (+1)	1,401 (-19%)	18mo	$115,000	$82	16

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

-3.0% appreciation · 4.71% rent growth · sell at horizon

5-year hold

IRR: -10.1%
Equity multiple: 0.63×
Total profit: $-13,605
Equity at exit: $19,383

10-year hold

IRR: 1.5%
Equity multiple: 1.12×
Total profit: $4,248
Equity at exit: $11,240

Cash invested: $36,400 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

Overall (STATE): 62 Landlord-Friendly
State Michigan: 62 Landlord-Friendly · EVEN
County: — inherits STATE
City: — inherits STATE

7-day pay-or-quit; mixed climate; Detroit/AA have some protections.

Methodology + full state rankings →

Buyer's market Market conditions within 1.0 mi — comparable homes for sale

Active competition Active MLS

For sale now: 2 active · 1 under contract
Months of supply: 12.0 mo (8%/mo absorbed)
Median asking: $124,950 ($76/sqft)
Median days on market: 38 d
This list price: 50% of active listings are priced below it
ARV vs active asking: +12.9% above current asking $/sqft

Closed sales set the value; these active listings set current market conditions and a practical price ceiling.

ZIP-level market 48910

Rents YoY: 4.7%
Active inventory: 379
Price-to-rent: 8.7×

Monthly cashflow live

Estimated rent: $1,242 high interval (Pro) →
Mortgage (P&I): −$682
Tax est. 1.5%: −$162 /mo · $1,950/yr
Insurance: −$54
HOA: −$0
Lot rent: −$0
Vacancy / Maint / Mgmt: −$261
Net cashflow: $83

Break-even live

Break-even rent $1,137

Max offer price $130,000

Occupancy floor 88%

Sensitivity live

Price	-10% $173	-5% $128	+0% $83	+5% $38	+10% $-7
Rent	-10% $-15	-5% $34	+0% $83	+5% $132	+10% $181
Rate	-1.0pp $148	-0.5pp $116	base $83	+0.5pp $49	+1.0pp $15

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

Down payment: $32,500
Closing costs: $3,900
Club membership (one-time): —
Reserves months: —
Total cash needed: —

Loan-product check · same deal, 3 products live

Conventional

25% down · 7.5% · 30yr

Cash invested: —
Monthly P&I: —
Monthly cashflow: —
DSCR: —
Eligible?: —

Personal DTI + credit; lowest rate.

DSCR

20% down · 8.5% · 30yr

Cash invested: —
Monthly P&I: —
Monthly cashflow: —
DSCR: —
Eligible?: —

No personal income docs; deal must DSCR.

Hard money

10% down · 12.0% · 12mo

Cash invested: —
Monthly P&I: —
Monthly cashflow: —
DSCR: —
Eligible?: —

Short-term bridge; refi at stabilization.

Rent comps 13 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
400 E Everettdale Ave Lansing, MI	2.0	1.0	1066	$1,200	$1.13	47d	1	0.23mi
4107 Burchfield Dr Lansing, MI	2.0	1.0	1450	$1,050	$0.72	15d	1	0.91mi
4107 Burchfield Dr Lansing, MI	2.0	1.0	1450	$1,050	$0.72	0d	1	0.91mi
2305 E Jolly Rd Unit 2319-04 Lansing, MI	2.0	1.5	1300	$1,420	$1.09	184d	1	1.44mi
2305 E Jolly Rd Unit 2313-07 Lansing, MI	2.0	1.5	1300	$1,485	$1.14	51d	1	1.44mi
2305 E Jolly Rd Unit 2311-6 Lansing, MI	2.0	1.5	1300	$1,485	$1.14	8d	1	1.44mi
2305 E Jolly Rd Unit 2407-05 Lansing, MI	2.0	1.5	1300	$1,455	$1.12	37d	1	1.44mi
2305 E Jolly Rd Unit 2317-4 Lansing, MI	2.0	1.5	1300	$1,415	$1.09	10d	1	1.44mi
2305 E Jolly Rd Unit 2407-5 Lansing, MI	2.0	1.5	1300	$1,455	$1.12	10d	1	1.44mi
2305 E Jolly Rd Unit 2311-2 Lansing, MI	2.0	1.5	1300	$1,370	$1.05	10d	1	1.44mi
2305 E Jolly Rd Unit 2309-07 Lansing, MI	2.0	1.5	1300	$1,440	$1.11	162d	1	1.44mi
2305 E Jolly Rd Unit 2319-14 Lansing, MI	2.0	1.5	1300	$1,345	$1.03	162d	1	1.44mi
2301 E Jolly Rd Lansing, MI	2.0	1.5	1065	$1,332	$1.25	0d	17	1.44mi

Property features AI

Finance

Other: Green/energy-efficient features for HVAC, lighting and water heaterMultiple accessibility features including accessible entrance, ramped approach, accessible bedroom, doors and hallways, and enhanced accessibility with visitor bathroom
Financial info: Currently used as an investment property
HOA & community: No association amenities

Exterior

Parking: Circular drivewayOff-street paved parkingParking lot; no garage
Utilities: Public waterPublic sewer200+ amp electric serviceNatural gas available and connectedWater heater connectedElectricity connected
Home design: Single-family residenceUpdated/remodeled conditionOne levelFront entry
Construction: Stucco exteriorShingle roofBlock foundationBasement: full, finished, daylight walk-out with apartment and bath stubbed
Exterior features: Outdoor lightingPrivate entranceFront, rear and wrap-around porchesCity lot with front and back yardLevel, private corner lotPaved roads and paved drivewayHas a view

Interior

Bathrooms: Two half bathrooms
Heating & cooling: Forced air heating (natural gas)Central air conditioning
Interior features: Entrance foyerHigh ceilingsWindow screens
Laundry & utility: Upper-level laundry room with sinkHumidifierWater heater

Listing history 50 events

2026-11-08

days on market $130,000 Active 217 DOM
2026-11-07

days on market $130,000 Active 216 DOM
2026-11-06

days on market $130,000 Active 215 DOM
2026-11-05

days on market $130,000 Active 214 DOM
2026-11-04

days on market $130,000 Active 213 DOM
2026-11-02

days on market $130,000 Active 211 DOM
2026-11-01

days on market $130,000 Active 210 DOM
2026-10-31

days on market $130,000 Active 209 DOM
2026-10-30

days on market $130,000 Active 208 DOM
2026-10-29

days on market $130,000 Active 207 DOM
2026-10-28

days on market $130,000 Active 206 DOM
2026-10-27

days on market $130,000 Active 205 DOM
2026-10-26

days on market $130,000 Active 204 DOM
2026-10-25

days on market $130,000 Active 203 DOM
2026-10-24

days on market $130,000 Active 202 DOM
2026-10-23

days on market $130,000 Active 201 DOM
2026-10-22

days on market $130,000 Active 200 DOM
2026-10-21

days on market $130,000 Active 199 DOM
2026-10-20

days on market $130,000 Active 198 DOM
2026-10-19

days on market $130,000 Active 197 DOM
2026-10-18

days on market $130,000 Active 196 DOM
2026-10-17

days on market $130,000 Active 195 DOM
2026-10-16

days on market $130,000 Active 194 DOM
2026-10-15

days on market $130,000 Active 193 DOM
2026-10-14

days on market $130,000 Active 192 DOM
2026-10-13

days on market $130,000 Active 191 DOM
2026-10-12

days on market $130,000 Active 190 DOM
2026-10-11

days on market $130,000 Active 189 DOM
2026-10-10

days on market $130,000 Active 188 DOM
2026-10-09

days on market $130,000 Active 187 DOM
2026-10-08

days on market $130,000 Active 186 DOM
2026-10-07

days on market $130,000 Active 185 DOM
2026-10-06

days on market $130,000 Active 184 DOM
2026-10-05

days on market $130,000 Active 183 DOM
2026-10-04

days on market $130,000 Active 182 DOM
2026-10-03

days on market $130,000 Active 181 DOM
2026-10-02

days on market $130,000 Active 180 DOM
2026-10-01

days on market $130,000 Active 179 DOM
2026-09-30

days on market $130,000 Active 178 DOM
2026-09-29

days on market $130,000 Active 177 DOM
2026-09-28

days on market $130,000 Active 176 DOM
2026-09-27

days on market $130,000 Active 175 DOM
2026-09-26

days on market $130,000 Active 174 DOM
2026-09-25

days on market $130,000 Active 173 DOM
2026-09-24

price $130,000 Active 172 DOM
2026-09-24

days on market $144,900 Active 172 DOM
2026-09-24

days on market $144,900 Active 171 DOM
2026-09-22

days on market $144,900 Active 170 DOM
2026-09-21

days on market $144,900 Active 169 DOM
2026-09-20

days on market $144,900 Active 168 DOM

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Nearby sold comps map

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Walkable amenities ~0.75 mi

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Taxation est. · year 1

Rental income: $14,903
− Mortgage interest: −$7,282
− Property taxes: −$1,950
− Insurance: −$650
− Repairs & maintenance: −$1,192
− Management: −$1,192
− Depreciation: −$3,782
Taxable loss: −$1,145

Your marginal tax rate % combined federal + state — saved on this device

Est. tax savings @ 24.0%: +$275
After-tax cash flow: $1,268/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Condition & rehab AI · 12 photos

Good 80/100 Cosmetic rehab Est. rehab $8,620–$25,860 screening

This property is move-in ready with recent renovations and ADA accessibility, making it ideal for both residential and commercial use.

Value-add opportunities

Both ADA accessibility features — Enhances the property's appeal for both residential and commercial use. ↑
Both Landscaping and curb appeal improvements — Enhances the property's curb appeal and can attract more potential buyers or tenants. ↑
Both Upgrading the lighting fixtures — Modernizes the property and improves energy efficiency. ↑

ⓘ Rehab cost is a screening estimate — Cosmetic scope × the home's square footage at US $/sqft rules of thumb (the same model as the Flip Finder). Get contractor quotes + a written scope before underwriting.

F Composite school gradezoned avg 30/100

Zoned Schools

Elementary Cavanaugh School Middle Attwood School High Everett High School F MI #428/713 Nat'l #11,077/17,239

Schools (NCES district)

District: Lansing Public School District
NCES district ID: 2621150
Math proficiency: 14% ▲ 1.00%
Reading proficiency: 23% ▲ 3.00%
Median HH income: $37,453
Composite: 18.76/100
National rank: #14002
State rank: #650 of 760 in MI

B Composite livability gradescore 79/100

Livability — Lansing

Score: 79/100
State rank: #94
US rank: #2182

Category grades

Amenities A+ Commute A+ Cost of living A+ Crime F Employment D Housing A+ Health & safety A+ User ratings B-

Schools grade is shown separately in the Schools card above.

Census & demographics

Census place: Lansing, MI
County: Ingham County · 300,362 people
City population: 161,269
Metro: Lansing-East Lansing, MI
Population (ZIP): 32,800
Household income: $54,712
Rent vs Own: 41.6% rent · 58.4% own
Severe rent burden: 10% of renters

Population outlook (Ingham County) Hauer SSP2

Today (2025): 300,362 people
By 2030: 307,808 · +2.5%
By 2040: 320,492 · +6.7%
By 2050: 333,223 · +10.9%
By 2075: 373,693 · +24.4%
By 2100: 392,021 · +30.5%

Race, ethnicity, and origin ACS 2023

Neighborhood character: Diverse neighborhood (Simpson 0.62)
Race & ethnicity: White 58% Black 16% Hispanic / Latino 12% Two or more races 12% Asian 4% Native American 1%
Hispanic origin (detail): Mexican 9% Cuban 2%
Languages at home: 87% English-only · Spanish 6% Chinese 1% Other Indo-European 1%

Political lean MEDSL · Ingham

2024 margin: Strong D (+29.7) · D 63.9% · R 34.2% · Other 2.0%
2008→2024 swing: -3.6pp toward R · 2008: 33.3pp · 2024: 29.7pp
All cycles: 2024: D+29.7 2020: D+32.2 2016: D+27.6 2012: D+27.9 2008: D+33.3

Not yet ingested

Civics: —

Market trends

HPI YoY: ▼ -211.82%
Current HPI: 196.8087
Rent YoY: ▲ 4.71%
Metro: Lansing-East Lansing, MI
State GDP YoY: ▲ 1.37%
F500 in state: 28

Industry mix (Fortune 500 HQ in MI)

Industry	F500 HQs	Revenue
Automotive Parts	3	$48B
#249 Lear Southfield $23.5B #250 BorgWarner Auburn Hills $14.2B #306 Autolivery Auburn Hills $10.4B
Automotive	2	$372B
#18 General Motors Detroit $187.4B #19 Ford Motor Dearborn $185.0B
Chemicals	1	$45B
#102 Dow Midland $44.6B
Automotive Retail	1	$29B
#225 Penske Automotive Group Bloomfield Hills $29.4B
Healthcare / Medical Devices	1	$23B
#156 Stryker Kalamazoo $22.6B
Automotive Technology	1	$20B
#341 Aptiv Dublin $19.8B

Price history

+0.0% since first listed

7 events — show timeline

2026-06-30 Relisted — Greater Lansing AoR
2026-06-30 Listing Removed — Greater Lansing AoR
2026-06-30 Listing Removed — Greater Lansing AoR
2026-04-06 Listed $155,000 Greater Lansing AoR
2026-04-06 Listed $155,000 REALCOMP
2026-04-05 Listing Removed — REALCOMP
2025-06-02 Listed $155,000 REALCOMP

Cash-flow waterfall

monthly

Sold comps — $/sqft

last 12 mo · ≤1 mi

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