13428 W Shore Dr

Millersburg, MI 49759

$112,500D

3 bd · 2.0 ba · 1,152 sqft · Built 1970 · SingleFamily · Active · 33 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,001/mo
• Mortgage (P&I): −$590
• Tax + insurance: −$101
• HOA: −$19
• Vac / Maint / Mgmt: −$210
• Net cashflow: $81/mo
• Annual: $968/yr
• Cap rate: 7.15%
• Cash-on-cash: 3.07%
• DSCR: 1.14
• 1% rule: 0.89%
• Cash to close: $31,500

Investor read

• This is a 3-bed/2.0-bath single-family listed at $112k.
• At list price, monthly cash flow is $81 ($968/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $100k (11.0% below list).
• It's been on market 33 days — a 3% lower offer ($109k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $100k (11.0% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $778 of loan paydown is wiped out by about $3k of value loss. Plan a longer hold.
• Location reads 55/100 on livability (#665 in MI) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A-; Watch: health & safety D+, crime F, amenities F.
• Onaway Area Community School District (rural): math 27% / reading 40% proficiency, ranked #328 of 540 in MI (top 61%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Onaway Elementary School (math 32% / reading 32%, grade F, #814 of 1,397 statewide, top 61%, 257 students, 62% FRL); Onaway Middle School (math 27% / reading 47%, grade F, #248 of 493 statewide, top 53%, 124 students, 56% FRL); Onaway Senior High School (math 15% / reading 44%, grade F, #428 of 713 statewide, top 62%, 160 students, 48% FRL) — zoned schools at 55% FRL track the district average.
• Market conditions: 39 active listings in the ZIP; 46 units permitted in Presque Isle County in 2024 (0 in 5+ unit buildings).
• Presque Isle County population projected at -31% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 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.
• Current owner paid $70k; list at $112k implies a 61% gain — meaningful room to come down on a strong offer.

Questions for listing agent

• It's been on market 33 days. Have you received any prior offers? Is the seller open to a 11% concession, seller financing, or rate buy-down credit?
• Built in 1970 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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?
• 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?
• This sits on a lake — are riparian / water-frontage rights deeded with the parcel? Any dock permits, shoreline easements, or HOA water-use restrictions?