802 Waterview Dr

Riviera Beach, MD 21226

$525,000F

4 bd · 2.0 ba · 1,528 sqft · Built 1978 · SingleFamily · Active · 102 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,927/mo
• Mortgage (P&I): −$2,753
• Tax + insurance: −$471
• HOA: −$0
• Vac / Maint / Mgmt: −$615
• Net cashflow: $-913/mo
• Annual: $-10,951/yr
• Cap rate: 4.21%
• Cash-on-cash: -7.45%
• DSCR: 0.67
• 1% rule: 0.56%
• Cash to close: $147,000

Investor read

• This is a 4-bed/2.0-bath single-family listed at $525k.
• At list price, monthly cash flow is $-913 ($-11k/yr) — negative.
• To cash-flow at today's rent, offer at most $364k (30.7% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $293k (44.3% below list).
• It's been on market 102 days — a 9% lower offer ($478k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $293k (44.3% below list) — sets the bar for 1% rule.
• In year one you build about $44k of equity ($4k loan paydown + $41k appreciation (7.8% local appreciation)).
• Location reads 64/100 on livability (#280 in MD) — a middle-class / working-renter tenant base. Strengths: employment A+, housing A+; Watch: crime D, cost of living D, amenities F.
• Anne Arundel County Public Schools (suburban): math 20% / reading 37% proficiency, ranked #10 of 24 in MD (top 42%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Monarch Global Academy Pcs Laurel Campus (math 13% / reading 28%, grade F, #341 of 860 statewide, top 40%, 830 students, 53% FRL); Northeast Middle (math 6% / reading 32%, grade F, #155 of 225 statewide, top 70%, 882 students, 49% FRL); Northeast High (math 24% / reading 57%, grade F, #130 of 222 statewide, top 58%, 1,390 students, 44% FRL) — zoned schools average 48% FRL vs 25% district-wide (23 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 45 active listings in the ZIP; 11 comparable units currently listed for rent nearby; rentals leasing fast (median 6d on market — plan ~1-2 weeks tenant-placement turnaround); 1,303 units permitted in Anne Arundel County in 2024 (299 in 5+ unit buildings).
• Anne Arundel County population projected at +17% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 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 $47k; list at $525k implies a 1019% gain — meaningful room to come down on a strong offer.
• By year 2, paydown + projected appreciation supports a ~$71k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wind risk, 58% chance of damaging wind over 30y; extreme-heat days projected 7→14/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 4.2% vs local median 5.7% in Riviera Beach — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.

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 102 days. Have you received any prior offers? Is the seller open to a 44% concession, seller financing, or rate buy-down credit?
• Built in 1978 — 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 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?
• 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?