21 Village West Ct #102

Washington, MO 63090

$95,000D

2 bd · 1.0 ba · 794 sqft · Built 1984 · Condo · Pending · 99 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $923/mo
• Mortgage (P&I): −$498
• Tax + insurance: −$82
• HOA: −$158
• Vac / Maint / Mgmt: −$194
• Net cashflow: $-8/mo
• Annual: $-99/yr
• Cap rate: 6.19%
• Cash-on-cash: -0.37%
• DSCR: 0.98
• 1% rule: 0.97%
• Cash to close: $26,600

Investor read

• This is a 2-bed/1.0-bath condo listed at $95k.
• At list price, monthly cash flow is $-8 ($-99/yr) — negative.
• To cash-flow at today's rent, offer at most $94k (1.5% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $92k (2.8% below list).
• It's been on market 99 days — a 9% lower offer ($86k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $86k (9.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $657 of loan paydown is wiped out by about $3k of value loss. Plan a longer hold.
• Location reads 81/100 on livability (#13 in MO, #1,373 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, cost of living A+, housing A+; Watch: commute F.
• Washington (town): math 41% / reading 55% proficiency, ranked #46 of 324 in MO (top 14%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Washington West Elementary (math 45% / reading 53%, grade D, #331 of 1,115 statewide, top 30%, 452 students, 40% FRL); Washington Middle (math 43% / reading 54%, grade C-, #81 of 391 statewide, top 21%, 551 students, 31% FRL); Washington High School (math 29% / reading 73%, grade D+, #109 of 521 statewide, top 21%, 1,322 students, 20% FRL) — zoned schools at 30% FRL track the district average.
• Market conditions: 202 active listings in the ZIP; 4 comparable units currently listed for rent nearby; rentals lingering (median 46d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 50% of comp listings sitting > 30 days — soft ceiling on asking rent; 614 units permitted in Franklin County in 2024 (100 in 5+ unit buildings).
• Franklin County population projected to shrink 9% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• Current owner paid $48k; list at $95k implies a 100% gain — meaningful room to come down on a strong offer.
• Climate carrying-cost: extreme-heat days projected 7→20/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 6.2% vs local median 2.4% in Washington — 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 99 days. Have you received any prior offers? Is the seller open to a 9% 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.
• Schools are B-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
• 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?