118 1st Ave SW

Park City, MT 59063

$150,000B-

3 bd · 2.0 ba · 1,216 sqft · Built 1993 · Other · Active · 1 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,070/mo
• Mortgage (P&I): −$787
• Tax + insurance: −$250
• HOA: −$0
• Vac / Maint / Mgmt: −$435
• Net cashflow: $598/mo
• Annual: $7,182/yr
• Cap rate: 11.08%
• Cash-on-cash: 17.10%
• DSCR: 1.76
• 1% rule: 1.38%
• Cash to close: $42,000

Investor read

• This is a 3-bed/2.0-bath other listed at $150k.
• At list price, monthly cash flow is $598 ($7k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $150k).
• Only 1 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
• Location reads 69/100 on livability (#86 in MT) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: health & safety C-, amenities F, commute F.
• Park City Elementary (rural): math 25% / reading 30% proficiency, ranked #216 of 339 in MT (top 64%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; only 19% free/reduced lunch — higher-income household profile.
• Zoned schools: Park City School (math 27% / reading 42%, grade F, #197 of 293 statewide, top 71%, 174 students, 0% FRL); Park City 7-8 (math 24% / reading 34%, grade F, #106 of 146 statewide, top 77%, 50 students, 0% FRL) — zoned schools average 0% FRL vs 19% district-wide (19 pts lower); this property's tenant base skews higher-income than the district average.
• Market conditions: 18 active listings in the ZIP; 3 units permitted in Stillwater County in 2024 (0 in 5+ unit buildings).
• Stillwater County population projected at +14% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $42k cash investment doubles in ~7 years — after that, you're playing with house money.

Questions for listing agent

• 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.