0 Kentucky 15

Stanton, KY 40380

$75,000C

2 bd · None ba · 640 sqft · Built — · SingleFamily · Active · 49 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $869/mo
• Mortgage (P&I): −$393
• Tax + insurance: −$125
• HOA: −$0
• Vac / Maint / Mgmt: −$183
• Net cashflow: $168/mo
• Annual: $2,021/yr
• Cap rate: 8.99%
• Cash-on-cash: 9.62%
• DSCR: 1.43
• 1% rule: 1.16%
• Cash to close: $21,000

Investor read

• This is a 2-bed/?-bath single-family listed at $75k. Condition is rated poor.
• At list price, monthly cash flow is $168 ($2k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($869 rent vs $75k).
• It's been on market 49 days — a 3% lower offer ($73k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $73k (3.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $519 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Location reads 71/100 on livability (#143 in KY) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F, employment F.
• Powell County (rural): math 14% / reading 31% proficiency, ranked #156 of 165 in KY (top 94%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 64% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Bowen Elementary School (math 12% / reading 32%, grade F, #525 of 676 statewide, top 82%, 225 students, 61% FRL); Powell County Middle School (math 14% / reading 35%, grade F, #189 of 217 statewide, top 89%, 462 students, 68% FRL); Powell County Academy (11 students, 73% FRL) — zoned schools at 67% FRL track the district average.
• Market conditions: 100 active listings in the ZIP; 5 units permitted in Powell County in 2024 (0 in 5+ unit buildings).
• Powell County population projected at -19% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• Climate carrying-cost: major wildfire risk — expect insurance premiums to compound above CPI over the hold.
• Cap rate 9.0% vs local median 1.7% in Stanton — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.

Questions for listing agent

• It's been on market 49 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• 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.

Repairs flagged (vision-AI assessment)

• Major: roof — The roof appears to be in poor condition, with visible damage and potential leaks.
• Major: exterior siding — The exterior siding is in poor condition, with visible damage and peeling paint.
• Major: flooring — The flooring appears to be in poor condition, with visible damage and wear.
• Major: interior walls — The interior walls appear to be in poor condition, with visible damage and peeling paint.
• Major: HVAC system — The HVAC system appears to be in poor condition, with visible damage and potential leaks.