660 Watt Nantz Rd

East Bernstadt, KY 40729

$250,000C+

3 bd · 3.0 ba · 3,120 sqft · Built 2023 · MultiFamily · Active · 45 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,728/mo
• Mortgage (P&I): −$1,311
• Tax + insurance: −$417
• HOA: −$0
• Vac / Maint / Mgmt: −$573
• Net cashflow: $427/mo
• Annual: $5,129/yr
• Cap rate: 8.34%
• Cash-on-cash: 7.33%
• DSCR: 1.33
• 1% rule: 1.09%
• Cash to close: $70,000

Investor read

• This is a 3-bed/3.0-bath multifamily listed at $250k. Condition is rated poor.
• At list price, monthly cash flow is $427 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($3k rent vs $250k).
• It's been on market 45 days — a 3% lower offer ($242k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $242k (3.0% below list) — sets the bar for market timing.
• In year one you build about $21k of equity ($2k loan paydown + $20k appreciation (7.8% local appreciation)).
• Location reads 58/100 on livability (#432 in KY) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+; Watch: amenities F, commute F, employment F.
• Laurel County (town): math 51% / reading 56% proficiency, ranked #8 of 165 in KY (top 5%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Hazel Green Elementary School (math 52% / reading 62%, grade C+, #47 of 676 statewide, top 8%, 344 students, 80% FRL); North Laurel Middle School (math 48% / reading 59%, grade C+, #13 of 217 statewide, top 6%, 1,003 students, 64% FRL); North Laurel High School (math 37% / reading 42%, grade F, #40 of 254 statewide, top 19%, 1,300 students, 58% FRL).
• Market conditions: 143 active listings in the ZIP; 16 units permitted in Laurel County in 2024 (0 in 5+ unit buildings).
• 5 sale attempts; this cycle's ask is 216% above the opening price — seller raised mid-cycle; expect resistance to lowballs.
• At projected returns (7.8% appreciation + 3.0% rent growth), your $70k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 2, paydown + projected appreciation supports a ~$34k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: severe wildfire risk — expect insurance premiums to compound above CPI over the hold.
• Cap rate 8.3% vs local median 1.9% in East Bernstadt — 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 45 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• 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 apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.

Repairs flagged (vision-AI assessment)

• Major: roof — No visible roof structure
• Major: exterior — No visible exterior structure
• Major: flooring — No visible flooring
• Major: interior walls/paint — No visible interior walls
• Major: HVAC/mechanicals — No visible HVAC/mechanicals
• Major: landscaping/curb appeal — No visible landscaping/curb appeal