1131 Sanctum St

Hardeeville, SC 29936

$395,990F

4 bd · 2.5 ba · 2,203 sqft · Built 2025 · Land · Pending · 90 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,533/mo
• Mortgage (P&I): −$2,077
• Tax + insurance: −$660
• HOA: −$100
• Vac / Maint / Mgmt: −$532
• Net cashflow: $-835/mo
• Annual: $-10,026/yr
• Cap rate: 3.76%
• Cash-on-cash: -9.04%
• DSCR: 0.60
• 1% rule: 0.64%
• Cash to close: $110,877

Investor read

• This is a 4-bed/2.5-bath land listed at $396k.
• At list price, monthly cash flow is $-835 ($-10k/yr) — negative.
• To cash-flow at today's rent, offer at most $275k (30.5% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $253k (36.0% below list).
• It's been on market 90 days — a 6% lower offer ($372k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $253k (36.0% below list) — sets the bar for 1% rule.
• In year one you build about $42k of equity ($3k loan paydown + $40k appreciation (10.0% local appreciation)).
• Location reads 65/100 on livability (#136 in SC) — a middle-class / working-renter tenant base. Strengths: health & safety A+, crime B+, housing B+; Watch: schools F, amenities F, commute F.
• Jasper 01 (rural): math 12% / reading 22% proficiency, ranked #77 of 80 in SC (top 96%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 78% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: 359 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 1,385 units permitted in Jasper County in 2024 (0 in 5+ unit buildings).
• Jasper County population projected at +46% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 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 ~$68k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• At $2,533/mo this rent would consume 62% of the median local household income ($49k/yr) (locally 395% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

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 90 days. Have you received any prior offers? Is the seller open to a 36% 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.
• 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.