4650 Koval Ln

Paradise, NV 89109

$426,000B

9 bd · 3.9 ba · 5,171 sqft · Built 1978 · MultiFamily · Pending · 1 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $9,846/mo
• Mortgage (P&I): −$2,234
• Tax + insurance: −$710
• HOA: −$0
• Vac / Maint / Mgmt: −$2,068
• Net cashflow: $4,834/mo
• Annual: $58,012/yr
• Cap rate: 19.91%
• Cash-on-cash: 48.64%
• DSCR: 3.16
• 1% rule: 2.31%
• Cash to close: $119,280

Investor read

• This is a 3 × 3-bed/?-bath units multifamily listed at $426k.
• At list price, monthly cash flow is $5k ($58k/yr) — positive. Per door: $2k/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($10k rent vs $426k).
• Only 1 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-2.2%/yr); year-one equity from $3k of loan paydown is wiped out by about $9k of value loss. Plan a longer hold.
• Location reads 76/100 on livability (#10 in NV, #3,494 nationally) — a middle-class / working-renter tenant base. Strengths: commute A+, housing A-, cost of living B; Watch: employment D+, crime D-.
• Clark County School District (urban): math 21% / reading 39% proficiency, ranked #11 of 17 in NV (top 65%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Paradise Prof Dev Es (math 12% / reading 22%, grade F, #311 of 402 statewide, top 82%, 476 students, 100% FRL); Orr William E Ms (math 5% / reading 18%, grade F, #103 of 109 statewide, top 95%, 815 students, 100% FRL); Del Sol Academy of Performing Arts Hs (math 10% / reading 33%, grade F, #91 of 131 statewide, top 70%, 2,511 students, 100% FRL) — zoned schools average 100% FRL vs 52% district-wide (48 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Zoned-school proficiency averages 17% at this address vs 30% district-wide (-13 pts) — the specific schools serving this property underperform the Clark County School District average; the district grade overstates school quality for this exact location.
• Market conditions: Rents falling (-3.2%/yr); 351 active listings in the ZIP; 14,754 units permitted in Clark County in 2024 (2,301 in 5+ unit buildings).
• Clark County population projected at +36% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 21 sale attempts since 16y ago; this cycle's ask is 25718% above the opening price — seller raised mid-cycle; expect resistance to lowballs.
• At projected returns (-2.2% appreciation + 0.0% rent growth), your $119k cash investment doubles in ~3 years — after that, you're playing with house money.
• Climate carrying-cost: extreme-heat days projected 7→18/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• At $9,846/mo this rent would consume 220% of the median local household income ($54k/yr) (locally 836% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• Built in 1978 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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 D 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.