420 6th St

Philo, OH 43771

$89,000B

2 bd · 1.0 ba · 1,370 sqft · Built 2001 · SingleFamily · Active · 12 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,100/mo
• Mortgage (P&I): −$467
• Tax + insurance: −$67
• HOA: −$0
• Vac / Maint / Mgmt: −$231
• Net cashflow: $335/mo
• Annual: $4,025/yr
• Cap rate: 10.82%
• Cash-on-cash: 16.15%
• DSCR: 1.72
• 1% rule: 1.24%
• Cash to close: $24,920

Investor read

• This is a 2-bed/1.0-bath single-family listed at $89k.
• At list price, monthly cash flow is $335 ($4k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $89k).
• Only 12 days on market — expect competitive offers; lowballing is unlikely to land.
• In year one you build about $5k of equity ($615 loan paydown + $4k appreciation (4.6% local appreciation)).
• Location reads 60/100 on livability (#986 in OH) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: health & safety C-, crime D, amenities F.
• Franklin Local (rural): math 49% / reading 54% proficiency, ranked #428 of 656 in OH (top 65%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Duncan Falls Elementary School (math 62% / reading 58%, grade B-, #664 of 1,584 statewide, top 42%, 680 students, 42% FRL); Philo Junior High School (math 50% / reading 54%, grade C+, #386 of 654 statewide, top 61%, 397 students, 42% FRL); Philo High School (math 32% / reading 62%, grade D-, #435 of 781 statewide, top 59%, 466 students, 34% FRL) — zoned schools at 39% FRL track the district average.
• Market conditions: 15 active listings in the ZIP; 140 units permitted in Muskingum County in 2024 (100 in 5+ unit buildings).
• Muskingum County population projected at -10% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• Current owner paid $7k; list at $89k implies a 1171% gain — meaningful room to come down on a strong offer.
• At projected returns (4.6% appreciation + 3.0% rent growth), your $25k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 8, paydown + projected appreciation supports a ~$35k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Questions for listing agent

• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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 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.