11228 Torrie Way Unit G

Bealeton, VA 22712

$235,000D

2 bd · 2.0 ba · 936 sqft · Built 1989 · Condo · Pending · 72 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,908/mo
• Mortgage (P&I): −$1,232
• Tax + insurance: −$230
• HOA: −$250
• Vac / Maint / Mgmt: −$401
• Net cashflow: $-205/mo
• Annual: $-2,459/yr
• Cap rate: 5.25%
• Cash-on-cash: -3.74%
• DSCR: 0.83
• 1% rule: 0.81%
• Cash to close: $65,800

Investor read

• This is a 2-bed/2.0-bath condo listed at $235k.
• At list price, monthly cash flow is $-205 ($-2k/yr) — negative.
• To cash-flow at today's rent, offer at most $199k (15.4% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $191k (18.8% below list).
• It's been on market 72 days — a 6% lower offer ($221k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $191k (18.8% below list) — sets the bar for 1% rule.
• In year one you build about $25k of equity ($2k loan paydown + $24k appreciation (10.0% local appreciation)).
• Location reads 67/100 on livability (#292 in VA) — a middle-class / working-renter tenant base. Strengths: crime A+, employment A+, housing A+; Watch: amenities F, commute F, health & safety F.
• Fauquier County Public School District (rural): math 51% / reading 68% proficiency, ranked #43 of 131 in VA (top 33%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Grace Miller Elementary (math 57% / reading 68%, grade B, #476 of 1,108 statewide, top 43%, 495 students, 49% FRL); Cedar Lee Middle (math 40% / reading 60%, grade C, #231 of 342 statewide, top 69%, 610 students, 51% FRL); Liberty High (math 42% / reading 67%, grade C-, #281 of 319 statewide, top 90%, 1,370 students, 45% FRL) — zoned schools average 48% FRL vs 20% district-wide (28 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 63 active listings in the ZIP; 3 comparable units currently listed for rent nearby; rentals leasing fast (median 1d on market — plan ~1-2 weeks tenant-placement turnaround); 286 units permitted in Fauquier County in 2024 (0 in 5+ unit buildings).
• Fauquier County population projected at +14% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• 15 sale attempts since 20y 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.
• Current owner paid $188k; 25% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• By year 2, paydown + projected appreciation supports a ~$40k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: extreme-heat days projected 7→17/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 5.2% vs local median 2.5% in Bealeton — 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?
• It's been on market 72 days. Have you received any prior offers? Is the seller open to a 19% 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?
• Any open or pending special assessments — roof, HVAC, plumbing, elevator, façade? What's the per-unit balance and payoff schedule, and is the seller paying it off at close or rolling it to the buyer?
• 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 B-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
• 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?