222 N Lake St

Calipatria, CA 92233

$215,000D

3 bd · 2.0 ba · 958 sqft · Built 1970 · SingleFamily · Pending · 92 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,450/mo
• Mortgage (P&I): −$1,127
• Tax + insurance: −$134
• HOA: −$0
• Vac / Maint / Mgmt: −$304
• Net cashflow: $-116/mo
• Annual: $-1,395/yr
• Cap rate: 5.64%
• Cash-on-cash: -2.32%
• DSCR: 0.90
• 1% rule: 0.67%
• Cash to close: $60,200

Investor read

• This is a 3-bed/2.0-bath single-family listed at $215k.
• At list price, monthly cash flow is $-116 ($-1k/yr) — negative.
• To cash-flow at today's rent, offer at most $194k (9.6% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $145k (32.6% below list).
• It's been on market 92 days — a 9% lower offer ($196k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $145k (32.6% below list) — sets the bar for 1% rule.
• In year one you build about $19k of equity ($1k loan paydown + $18k appreciation (8.2% local appreciation)).
• Location reads 56/100 on livability (#789 in CA) — a working-class tenant base; expect higher turnover. Strengths: crime A+, housing A+; Watch: amenities F, commute F, employment D-.
• Calipatria Unified (town): math 9% / reading 27% proficiency, ranked #485 of 517 in CA (top 94%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 85% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Fremont Primary (math 8% / reading 12%, grade F, #1,535 of 1,571 statewide, top 98%, 370 students, 90% FRL); Bill E. Young Jr. Middle (math 8% / reading 26%, grade F, #443 of 498 statewide, top 90%, 358 students, 90% FRL); Calipatria High (math 12% / reading 57%, grade F, #618 of 1,170 statewide, top 56%, 369 students, 80% FRL) — zoned schools at 87% FRL track the district average.
• Market conditions: 22 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 271 units permitted in Imperial County in 2024 (112 in 5+ unit buildings).
• Imperial County population projected at +7% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• 2 sale attempts with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• By year 2, paydown + projected appreciation supports a ~$31k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: extreme-heat days projected 7→21/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 92 days. Have you received any prior offers? Is the seller open to a 33% concession, seller financing, or rate buy-down credit?
• Built in 1970 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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 F-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• 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.