1421 Kent Ct

College, AK 99709

$374,000D+

4 bd · 2.0 ba · 1,902 sqft · Built 1976 · MultiFamily · Pending · 38 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,228/mo
• Mortgage (P&I): −$1,961
• Tax + insurance: −$1,050
• HOA: −$0
• Vac / Maint / Mgmt: −$678
• Net cashflow: $-461/mo
• Annual: $-5,531/yr
• Cap rate: 6.29%
• Cash-on-cash: -0.01%
• DSCR: 1.00
• 1% rule: 0.86%
• Cash to close: $104,720

Investor read

• This is a 2 × 2-bed/1.5-bath units multifamily listed at $374k.
• At list price, monthly cash flow is $-461 ($-6k/yr) — negative. Per door: $-230/mo.
• To cash-flow at today's rent, offer at most $293k (21.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $323k (13.7% below list).
• It's been on market 38 days — a 3% lower offer ($363k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $293k (21.8% 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 $11k of value loss. Plan a longer hold.
• Location reads 68/100 on livability (#20 in AK) — a middle-class / working-renter tenant base. Strengths: housing A+, employment A-, commute B; Watch: cost of living C-, schools D+, crime F.
• Fairbanks North Star Borough School District (urban): math 33% / reading 45% proficiency, ranked #10 of 21 in AK (top 48%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Watch-outs: flood insurance adds $460/mo.
• Market conditions: 146 active listings in the ZIP; solid renter incomes; 1 units permitted in Fairbanks North Star Borough in 2024 (0 in 5+ unit buildings).
• Fairbanks North Star County population projected at +6% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• 2 sale attempts since 4y ago 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.
• Climate carrying-cost: in FEMA flood zone AE (mandatory federal flood insurance) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 6.3% vs local median 3.5% in College — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.
• This rent runs 45% 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 38 days. Have you received any prior offers? Is the seller open to a 22% concession, seller financing, or rate buy-down credit?
• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• Built in 1976 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
• 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?