555 E Patriot Blvd Unit M266

Reno, NV 89511

$220,000F

1 bd · 1.0 ba · 665 sqft · Built 1986 · Condo · Active · 109 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,576/mo
• Mortgage (P&I): −$1,154
• Tax + insurance: −$367
• HOA: −$445
• Vac / Maint / Mgmt: −$331
• Net cashflow: $-721/mo
• Annual: $-8,648/yr
• Cap rate: 2.36%
• Cash-on-cash: -14.04%
• DSCR: 0.38
• 1% rule: 0.72%
• Cash to close: $61,600

Investor read

• This is a 1-bed/1.0-bath condo listed at $220k. Condition is rated good.
• At list price, monthly cash flow is $-721 ($-9k/yr) — negative.
• To cash-flow at today's rent, offer at most $116k (47.4% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $158k (28.4% below list).
• It's been on market 109 days — a 9% lower offer ($200k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $116k (47.4% below list) — sets the bar for cash-flow.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $7k of value loss. Plan a longer hold.
• Location reads 78/100 on livability (#4 in NV, #2,370 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, commute A+, health & safety A+; Watch: cost of living D, crime F.
• Washoe County School District (urban): math 30% / reading 44% proficiency, ranked #6 of 17 in NV (top 35%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Donner Springs Elementary (math 28% / reading 33%, grade F, #184 of 402 statewide, top 46%, 448 students, 100% FRL); Edward L. Pine Middle School (math 19% / reading 35%, grade F, #55 of 109 statewide, top 54%, 835 students, 100% FRL); Damonte Ranch High School (math 35% / reading 59%, grade D-, #31 of 131 statewide, top 23%, 1,910 students, 30% FRL) — zoned schools average 77% FRL vs 42% district-wide (35 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: HOA is 28% of rent.
• Market conditions: Rents rising fast (+5.9%/yr); 209 active listings in the ZIP; 9 comparable units currently listed for rent nearby; rentals lingering (median 63d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 100% of comp listings sitting > 30 days — soft ceiling on asking rent; high-income renter base; 4,085 units permitted in Washoe County in 2024 (1,634 in 5+ unit buildings).
• Washoe County population projected at +19% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• This rent is only 15% of the median local income ($124k/yr) — well below the 30% rent-burden line; pricing power to push rent on renewal without tenant pushback.

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 109 days. Have you received any prior offers? Is the seller open to a 47% 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?
• Any open or pending special assessments — roof, HVAC, plumbing, elevator, façade? What's the per-unit balance and payoff schedule, and is the seller paying it off at close or rolling it to the buyer?
• 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.
• 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?