6238 Willow Trace Dr

Bessemer, AL 35111

$334,900D-

5 bd · 3.0 ba · 2,511 sqft · Built 2026 · SingleFamily · Active · 35 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,570/mo
• Mortgage (P&I): −$1,756
• Tax + insurance: −$558
• HOA: −$42
• Vac / Maint / Mgmt: −$540
• Net cashflow: $-326/mo
• Annual: $-3,916/yr
• Cap rate: 5.12%
• Cash-on-cash: -4.18%
• DSCR: 0.81
• 1% rule: 0.77%
• Cash to close: $93,772

Investor read

• This is a 5-bed/3.0-bath single-family listed at $335k. Condition is rated good.
• At list price, monthly cash flow is $-326 ($-4k/yr) — negative.
• To cash-flow at today's rent, offer at most $288k (14.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $257k (23.3% below list).
• It's been on market 35 days — a 3% lower offer ($325k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $257k (23.3% 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 $10k of value loss. Plan a longer hold.
• Location reads 59/100 on livability (#331 in AL) — a working-class tenant base; expect higher turnover. Strengths: commute A+, cost of living A+, housing A; Watch: crime F, amenities F, employment F.
• Bessemer City (suburban): math 3% / reading 19% proficiency, ranked #120 of 129 in AL (top 93%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 87% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Mcadory Elementary School (math 14% / reading 40%, grade F, #392 of 627 statewide, top 65%, 667 students, 61% FRL); Mcadory Middle School (math 2% / reading 33%, grade F, #199 of 257 statewide, top 77%, 854 students, 74% FRL); Mcadory High School (math 8% / reading 17%, grade F, #237 of 305 statewide, top 78%, 1,162 students, 72% FRL) — zoned schools average 69% FRL vs 87% district-wide (17 pts lower); this property's tenant base skews higher-income than the district average.
• Market conditions: 427 active listings in the ZIP; 5 comparable units currently listed for rent nearby; rentals lingering (median 62d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 80% of comp listings sitting > 30 days — soft ceiling on asking rent; solid renter incomes; 2,114 units permitted in Jefferson County in 2024 (556 in 5+ unit buildings).
• Jefferson County population projected to shrink 4% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• This rent runs 36% of the median local income ($86k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

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 35 days. Have you received any prior offers? Is the seller open to a 23% 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?
• 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.