341 S Canon Dr

Beverly Hills, CA 90212

$3,199,000D-

3 bd · 1.0 ba · 5,900 sqft · Built 2025 · SingleFamily · Active · 34 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $5,674/mo
• Mortgage (P&I): −$16,776
• Tax + insurance: −$2,138
• HOA: −$0
• Vac / Maint / Mgmt: −$1,192
• Net cashflow: $-14,432/mo
• Annual: $-173,183/yr
• Cap rate: 0.88%
• Cash-on-cash: -19.33%
• DSCR: 0.14
• 1% rule: 0.18%
• Cash to close: $895,720

Investor read

• This is a 3-bed/1.0-bath single-family listed at $3.20M.
• At list price, monthly cash flow is $-14k ($-173k/yr) — negative.
• To cash-flow at today's rent, offer at most $650k (79.7% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $567k (82.3% below list).
• It's been on market 34 days — a 3% lower offer ($3.10M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $567k (82.3% below list) — sets the bar for 1% rule.
• In year one you build about $223k of equity ($22k loan paydown + $201k appreciation (6.3% local appreciation)).
• Location reads 74/100 on livability (#138 in CA, #4,810 nationally) — a middle-class / working-renter tenant base. Strengths: schools A+, amenities A+, commute A+; Watch: housing C-, health & safety C-, crime F.
• Beverly Hills Unified (suburban): math 57% / reading 73% proficiency, ranked #61 of 517 in CA (top 12%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease; only 7% free/reduced lunch — higher-income household profile.
• Market conditions: Rents soft (-1.0%/yr); 51 active listings in the ZIP; 9 comparable units currently listed for rent nearby; rentals at typical pace (median 21d on market — plan ~3-4 weeks tenant-placement turnaround); high-income renter base; 19,697 units permitted in Los Angeles County in 2024 (9,426 in 5+ unit buildings).
• Los Angeles County population projected at +9% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• 2 sale attempts 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 $660k; list at $3.20M implies a 385% gain — meaningful room to come down on a strong offer.
• By year 2, paydown + projected appreciation supports a ~$357k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: extreme-heat days projected 7→21/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• At $5,674/mo this rent would consume 58% of the median local household income ($118k/yr) (locally 1267% 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 34 days. Have you received any prior offers? Is the seller open to a 82% concession, seller financing, or rate buy-down credit?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are A-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
• 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.
• 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.