1014 Dogwood Ave

Elgin, SC 29045-9225

$219,500D

2 bd · 1.5 ba · 1,197 sqft · Built 1975 · SingleFamily · Pending · 19 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,595/mo
• Mortgage (P&I): −$1,151
• Tax + insurance: −$142
• HOA: −$0
• Vac / Maint / Mgmt: −$335
• Net cashflow: $-33/mo
• Annual: $-394/yr
• Cap rate: 6.11%
• Cash-on-cash: -0.64%
• DSCR: 0.97
• 1% rule: 0.73%
• Cash to close: $61,460

Investor read

• This is a 2-bed/1.5-bath single-family listed at $220k.
• At list price, monthly cash flow is $-33 ($-394/yr) — negative.
• To cash-flow at today's rent, offer at most $214k (2.6% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $160k (27.3% below list).
• It's been on market 19 days — a 2% lower offer ($216k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $160k (27.3% below list) — sets the bar for 1% rule.
• In year one you build about $8k of equity ($2k loan paydown + $7k appreciation (3.0% local appreciation)).
• Location reads 55/100 on livability (#302 in SC) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A+; Watch: crime F, amenities F, commute F.
• Kershaw 01 (rural): math 38% / reading 51% proficiency, ranked #25 of 80 in SC (top 31%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Blaney Elementary (math 48% / reading 47%, grade D, #199 of 597 statewide, top 35%, 760 students, 100% FRL); Leslie M. Stover Middle (math 26% / reading 46%, grade F, #101 of 229 statewide, top 44%, 697 students, 72% FRL); Lugoff-Elgin High (math 65% / reading 89%, grade A-, #28 of 196 statewide, top 16%, 1,744 students, 62% FRL) — zoned schools average 78% FRL vs 49% district-wide (29 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 2 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 491 units permitted in Kershaw County in 2024 (0 in 5+ unit buildings).
• Kershaw County population projected at +8% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• Current owner paid $89k; list at $220k implies a 147% gain — meaningful room to come down on a strong offer.
• At projected returns (3.0% appreciation + 3.0% rent growth), your $61k cash investment doubles in ~7 years — after that, you're playing with house money.
• By year 5, paydown + projected appreciation supports a ~$35k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wind risk, 69% chance of damaging wind over 30y; major wildfire risk; extreme-heat days projected 7→16/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 6.1% vs local median 4.2% in Elgin — 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.

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?
• Built in 1975 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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.
• 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.