7352 Nc Highway 18

Wilkesboro, NC 28606

$315,000D

4 bd · 2.5 ba · 2,357 sqft · Built 1993 · Manufactured · Pending · 61 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,048/mo
• Mortgage (P&I): −$1,652
• Tax + insurance: −$198
• HOA: −$0
• Vac / Maint / Mgmt: −$430
• Net cashflow: $-232/mo
• Annual: $-2,787/yr
• Cap rate: 5.41%
• Cash-on-cash: -3.16%
• DSCR: 0.86
• 1% rule: 0.65%
• Cash to close: $88,200

Investor read

• This is a 4-bed/2.5-bath manufactured listed at $315k.
• At list price, monthly cash flow is $-232 ($-3k/yr) — negative.
• To cash-flow at today's rent, offer at most $274k (13.0% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $205k (35.0% below list).
• It's been on market 61 days — a 6% lower offer ($296k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $205k (35.0% below list) — sets the bar for 1% rule.
• In year one you build about $19k of equity ($2k loan paydown + $17k appreciation (5.3% local appreciation)).
• Location reads 69/100 on livability (#166 in NC) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A+; Watch: employment D, crime F, amenities F.
• Wilkes County Schools (rural): math 55% / reading 50% proficiency, ranked #59 of 178 in NC (top 33%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Boomer-Ferguson Elementary School (math 44% / reading 44%, grade F, #574 of 1,410 statewide, top 43%, 128 students, 98% FRL); Central Wilkes Middle School (math 42% / reading 44%, grade D-, #191 of 475 statewide, top 41%, 576 students, 99% FRL); Wilkes Central High School (math 42% / reading 57%, grade D, #311 of 535 statewide, top 60%, 752 students, 54% FRL) — zoned schools average 84% FRL vs 56% district-wide (27 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 29 active listings in the ZIP; 134 units permitted in Wilkes County in 2024 (0 in 5+ unit buildings).
• Wilkes County population projected at -18% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• By year 2, paydown + projected appreciation supports a ~$30k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: extreme-heat days projected 7→19/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 5.4% vs local median 2.2% in Wilkesboro — 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

• 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 61 days. Have you received any prior offers? Is the seller open to a 35% concession, seller financing, or rate buy-down credit?
• 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.
• 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?
• 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.