Abbey Plan

Plainfield, IL 60544

$300,990F

2 bd · 2.0 ba · 1,462 sqft · Built — · Townhouse · Active · 707 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,670/mo
• Mortgage (P&I): −$2,032
• Tax + insurance: −$646
• HOA: −$298
• Vac / Maint / Mgmt: −$561
• Net cashflow: $-867/mo
• Annual: $-10,404/yr
• Cap rate: 3.61%
• Cash-on-cash: -9.59%
• DSCR: 0.57
• 1% rule: 0.69%
• Cash to close: $108,505

Investor read

• This is a 2-bed/2.0-bath townhouse listed at $301k. Condition is rated good.
• At list price, monthly cash flow is $-867 ($-10k/yr) — negative.
• To cash-flow at today's rent, offer at most $262k (12.9% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $267k (11.3% below list).
• It's been on market 707 days — a 12% lower offer ($265k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $262k (12.9% below list) — sets the bar for cash-flow.
• Local home prices are declining (-3.0%/yr); year-one equity from $3k of loan paydown is wiped out by about $12k of value loss. Plan a longer hold.
• Location reads 67/100 on livability (#496 in IL) — a middle-class / working-renter tenant base. Strengths: crime A+, employment A+, housing A+; Watch: amenities F, commute F, cost of living F.
• Plainfield SD 202 (suburban): math 25% / reading 32% proficiency, ranked #213 of 620 in IL (top 34%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; only 17% free/reduced lunch — higher-income household profile.
• Zoned schools: Lincoln Elementary (math 32% / reading 40%, grade F, #503 of 2,056 statewide, top 25%, 532 students, 0% FRL); Richard Ira Jones Middle School (math 30% / reading 42%, grade F, #182 of 665 statewide, top 28%, 837 students, 0% FRL); Plainfield North High School (math 40% / reading 40%, grade F, #85 of 693 statewide, top 12%, 2,377 students, 0% FRL) — zoned schools average 0% FRL vs 17% district-wide (17 pts lower); this property's tenant base skews higher-income than the district average.
• Market conditions: 329 active listings in the ZIP; 30 comparable units currently listed for rent nearby; rentals lingering (median 51d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 60% of comp listings sitting > 30 days — soft ceiling on asking rent; solid renter incomes; 2,028 units permitted in Will County in 2024 (530 in 5+ unit buildings).
• Will County population projected to shrink 4% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.

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 707 days. Have you received any prior offers? Is the seller open to a 13% 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.
• 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.
• 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.