315 High St

Webster, MA 01570

$360,000A-

4 bd · 2.0 ba · 2,838 sqft · Built 1910 · MultiFamily · Active · 19 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $5,269/mo
• Mortgage (P&I): −$1,888
• Tax + insurance: −$373
• HOA: −$0
• Vac / Maint / Mgmt: −$1,106
• Net cashflow: $1,901/mo
• Annual: $22,816/yr
• Cap rate: 12.63%
• Cash-on-cash: 22.63%
• DSCR: 2.01
• 1% rule: 1.46%
• Cash to close: $100,800

Investor read

• This is a 4-bed/2.0-bath multifamily listed at $360k.
• At list price, monthly cash flow is $2k ($23k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($5k rent vs $360k).
• It's been on market 19 days — a 2% lower offer ($355k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $355k (1.5% below list) — sets the bar for market timing.
• In year one you build about $38k of equity ($2k loan paydown + $36k appreciation (10.0% local appreciation)).
• Location reads 65/100 on livability (#183 in MA) — a middle-class / working-renter tenant base. Strengths: health & safety A+, housing A; Watch: crime D-, amenities F, commute F.
• Webster (suburban): math 15% / reading 28% proficiency, ranked #286 of 302 in MA (top 95%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Park Avenue Elementary (math 21% / reading 35%, grade F, #689 of 938 statewide, top 74%, 737 students, 0% FRL); Webster Middle School (math 11% / reading 23%, grade F, #266 of 305 statewide, top 88%, 590 students, 0% FRL); Bartlett High School (math 32% / reading 42%, grade F, #238 of 343 statewide, top 71%, 365 students, 0% FRL) — zoned schools average 0% FRL vs 46% district-wide (46 pts lower); this property's tenant base skews higher-income than the district average.
• Watch-outs: built in 1910 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 42 active listings in the ZIP; 2,293 units permitted in Worcester County in 2024 (1,205 in 5+ unit buildings).
• At projected returns (10.0% appreciation + 3.0% rent growth), your $101k cash investment doubles in ~2 years — after that, you're playing with house money.
• By year 2, paydown + projected appreciation supports a ~$62k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wind risk, 46% chance of damaging wind over 30y — expect insurance premiums to compound above CPI over the hold.
• Cap rate 12.6% vs local median 3.4% in Webster — 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.
• At $5,269/mo this rent would consume 87% of the median local household income ($73k/yr) (locally 690% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• Built in 1910 — 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.
• Schools are D-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 D 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.
• 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.