109 Kitty Hawk Loop

Enterprise, AL 36330

$224,990F

3 bd · 2.0 ba · 1,416 sqft · Built 2026 · SingleFamily · Active · 161 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,468/mo
• Mortgage (P&I): −$1,533
• Tax + insurance: −$487
• HOA: −$20
• Vac / Maint / Mgmt: −$308
• Net cashflow: $-881/mo
• Annual: $-10,571/yr
• Cap rate: 2.68%
• Cash-on-cash: -12.91%
• DSCR: 0.43
• 1% rule: 0.50%
• Cash to close: $81,870

Investor read

• This is a 3-bed/2.0-bath single-family listed at $225k. Condition is rated excellent.
• At list price, monthly cash flow is $-881 ($-11k/yr) — negative.
• To cash-flow at today's rent, offer at most $165k (26.7% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $147k (34.7% below list).
• It's been on market 161 days — a 12% lower offer ($198k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $147k (34.7% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $9k of value loss. Plan a longer hold.
• Location reads 65/100 on livability (#127 in AL) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: health & safety D, crime F, amenities F.
• Enterprise City (town): math 40% / reading 60% proficiency, ranked #12 of 129 in AL (top 9%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Holly Hill Elementary School (math 50% / reading 70%, grade B-, #61 of 627 statewide, top 10%, 708 students, 44% FRL); Coppinville School (math 22% / reading 61%, grade F, #53 of 257 statewide, top 20%, 597 students, 54% FRL); Enterprise High School (math 34% / reading 37%, grade F, #45 of 305 statewide, top 14%, 2,117 students, 44% FRL).
• Market conditions: Rents rising (+3.9%/yr); 681 active listings in the ZIP; solid renter incomes; 137 units permitted in Coffee County in 2024 (0 in 5+ unit buildings).
• 3 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.
• Climate carrying-cost: severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→19/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 2.7% vs local median 4.5% in Enterprise — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.

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 161 days. Have you received any prior offers? Is the seller open to a 35% 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?
• 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?
• 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.