1102 Dogwood Ln

Fulton, KY 42041

$164,000D

3 bd · 1.5 ba · 1,680 sqft · Built 1970 · Other · Active · 227 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,207/mo
• Mortgage (P&I): −$860
• Tax + insurance: −$102
• HOA: −$0
• Vac / Maint / Mgmt: −$254
• Net cashflow: $-8/mo
• Annual: $-100/yr
• Cap rate: 6.23%
• Cash-on-cash: -0.22%
• DSCR: 0.99
• 1% rule: 0.74%
• Cash to close: $45,920

Investor read

• This is a 3-bed/1.5-bath other listed at $164k.
• At list price, monthly cash flow is $-8 ($-100/yr) — negative.
• To cash-flow at today's rent, offer at most $163k (0.9% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $121k (26.4% below list).
• It's been on market 227 days — a 12% lower offer ($144k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $121k (26.4% below list) — sets the bar for 1% rule.
• In year one you build about $1k of equity ($1k loan paydown + $290 appreciation (0.2% local appreciation)).
• Location reads 68/100 on livability (#204 in KY) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A+; Watch: housing D+, amenities D, schools F.
• Fulton Independent (town): math 25% / reading 35% proficiency, ranked #170 of 173 in KY (top 98%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 73% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: 45 active listings in the ZIP.
• Fulton County population projected at -24% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 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.
• Current owner paid $136k; 20% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• Climate carrying-cost: extreme-heat days projected 7→22/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 6.2% vs local median 5.1% in Fulton — meaningfully above typical; check what's discounted (condition, days-on-market, listing class) to confirm the premium yield is real.

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 227 days. Have you received any prior offers? Is the seller open to a 26% concession, seller financing, or rate buy-down credit?
• Built in 1970 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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 F-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• 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?
• 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.