6824 Kent Rd

Owings, MD 20689

$20,000F

2 bd · 1.0 ba · 1,008 sqft · Built 1962 · SingleFamily · Pending · 87 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,256/mo
• Mortgage (P&I): −$1,454
• Tax + insurance: −$462
• HOA: −$0
• Vac / Maint / Mgmt: −$264
• Net cashflow: $-923/mo
• Annual: $-11,078/yr
• Cap rate: 2.30%
• Cash-on-cash: -14.27%
• DSCR: 0.36
• 1% rule: 0.45%
• Cash to close: $77,616

Investor read

• This is a 2-bed/1.0-bath single-family listed at $20k.
• At list price, monthly cash flow is $-923 ($-11k/yr) — negative.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $20k).
• It's been on market 87 days — a 6% lower offer ($19k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $19k (6.0% below list) — sets the bar for market timing.
• In year one you build about $5k of equity ($2k loan paydown + $3k appreciation (1.0% local appreciation)).
• Location reads 72/100 on livability (#139 in MD) — a middle-class / working-renter tenant base. Strengths: crime A+, employment A+, housing A+; Watch: amenities F, cost of living F, health & safety F.
• Calvert County Public Schools (rural): math 23% / reading 44% proficiency, ranked #5 of 24 in MD (top 21%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; only 19% free/reduced lunch — higher-income household profile.
• Zoned schools: Northern High (math 65% / reading 77%, grade B+, #37 of 222 statewide, top 17%, 1,493 students, 17% FRL) — zoned schools at 17% FRL track the district average.
• Zoned-school proficiency averages 71% at this address vs 34% district-wide (+38 pts) — the actual schools serving this property are materially stronger than the Calvert County Public Schools average implies; a family-tenant draw the district grade alone would hide.
• Watch-outs: property tax is 20.8% of price.
• Market conditions: 10 active listings in the ZIP; 101 units permitted in Calvert County in 2024 (0 in 5+ unit buildings).
• 2 sale attempts; this cycle's ask has dropped $110k (85%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• By year 7, paydown + projected appreciation supports a ~$31k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wind risk, 64% chance of damaging wind over 30y; extreme-heat days projected 7→16/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

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 87 days. Have you received any prior offers? Is the seller open to a 6% concession, seller financing, or rate buy-down credit?
• Built in 1962 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
• 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?