163-167 Willow St

Plymouth, PA 18651

$289,000B-

9 bd · 0.9 ba · 4,900 sqft · Built 1926 · MultiFamily · Active · 8 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $4,127/mo
• Mortgage (P&I): −$1,516
• Tax + insurance: −$482
• HOA: −$0
• Vac / Maint / Mgmt: −$867
• Net cashflow: $1,263/mo
• Annual: $15,157/yr
• Cap rate: 11.54%
• Cash-on-cash: 18.73%
• DSCR: 1.83
• 1% rule: 1.43%
• Cash to close: $80,920

Investor read

• This is a 3 × 3-bed/0.3-bath units multifamily listed at $289k. Condition is rated poor.
• At list price, monthly cash flow is $1k ($15k/yr) — positive. Per door: $421/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($4k rent vs $289k).
• Only 8 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $9k of value loss. Plan a longer hold.
• Location reads 66/100 on livability (#1,068 in PA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A+, housing B+; Watch: employment D, crime F, amenities F.
• Wyoming Valley West SD (suburban): math 18% / reading 42% proficiency, ranked #445 of 539 in PA (top 83%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: State El Ctr (math 8% / reading 32%, grade F, #1,248 of 1,518 statewide, top 83%, 1,353 students, 100% FRL); Wyoming Valley West Ms (math 13% / reading 41%, grade F, #404 of 512 statewide, top 80%, 1,191 students, 100% FRL); Wyoming Valley West Shs (math 57% / reading 24%, grade F, #255 of 437 statewide, top 60%, 1,357 students, 100% FRL) — zoned schools average 100% FRL vs 56% district-wide (44 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: built in 1926 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 62 active listings in the ZIP; 349 units permitted in Luzerne County in 2024 (16 in 5+ unit buildings).
• Luzerne County population projected at +4% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• 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.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $81k cash investment doubles in ~7 years — after that, you're playing with house money.
• Cap rate 11.5% vs local median 7.8% in Plymouth — 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

• 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?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1926 — 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.
• 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?
• 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.

Repairs flagged (vision-AI assessment)

• Major: roof — Aging and weathered
• Major: exterior siding — Worn and in need of repair
• Major: flooring — Worn and in need of replacement
• Major: interior walls/paint — Chipped and peeling
• Major: windows — Old and may need replacement
• Major: HVAC/mechanicals — Old and may need replacement