14 Thomas Ln

Edgemere, MD 21219

$105,000B-

2 bd · 2.0 ba · 1,250 sqft · Built 2003 · SingleFamily · Pending · 34 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,737/mo
• Mortgage (P&I): −$551
• Tax + insurance: −$175
• HOA: −$0
• Vac / Maint / Mgmt: −$365
• Net cashflow: $647/mo
• Annual: $7,758/yr
• Cap rate: 13.68%
• Cash-on-cash: 26.39%
• DSCR: 2.17
• 1% rule: 1.65%
• Cash to close: $29,400

Investor read

• This is a 2-bed/2.0-bath single-family listed at $105k. Condition is rated good.
• At list price, monthly cash flow is $647 ($8k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $105k).
• It's been on market 34 days — a 3% lower offer ($102k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $102k (3.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $726 of loan paydown is wiped out by about $3k of value loss. Plan a longer hold.
• Location reads 61/100 on livability (#330 in MD) — a middle-class / working-renter tenant base. Strengths: employment A+, housing A+; Watch: cost of living D, amenities F, commute F.
• Baltimore County Public Schools (suburban): math 15% / reading 34% proficiency, ranked #11 of 24 in MD (top 46%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Chesapeake Terrace Elementary (math 22% / reading 27%, grade F, #260 of 860 statewide, top 33%, 330 students, 39% FRL); Sparrows Point Middle (math 7% / reading 30%, grade F, #159 of 225 statewide, top 73%, 561 students, 54% FRL); Sparrows Point High (math 18% / reading 53%, grade F, #144 of 222 statewide, top 65%, 1,146 students, 44% FRL).
• Market conditions: 47 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 1,511 units permitted in Baltimore County in 2024 (643 in 5+ unit buildings).
• Baltimore County population projected at +12% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $29k cash investment doubles in ~5 years — after that, you're playing with house money.
• Cap rate 13.7% vs local median 3.6% in Edgemere — 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

• It's been on market 34 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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.
• How much new for-sale + rental construction is in the pipeline within 1–3 miles? Heavy new supply typically softens prices + rents 12–24 months out; constrained supply supports both.