5255 Virginia Ave

Cumming, GA 30041

$139,900B

2 bd · 1.0 ba · 720 sqft · Built 1972 · Manufactured · Active · 47 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,622/mo
• Mortgage (P&I): −$734
• Tax + insurance: −$114
• HOA: −$0
• Vac / Maint / Mgmt: −$341
• Net cashflow: $434/mo
• Annual: $5,203/yr
• Cap rate: 10.01%
• Cash-on-cash: 13.28%
• DSCR: 1.59
• 1% rule: 1.16%
• Cash to close: $39,172

Investor read

• This is a 2-bed/1.0-bath manufactured listed at $140k.
• At list price, monthly cash flow is $434 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $140k).
• It's been on market 47 days — a 3% lower offer ($136k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $136k (3.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $967 of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
• Location reads 76/100 on livability (#29 in GA, #3,797 nationally) — a middle-class / working-renter tenant base. Strengths: health & safety A+, crime A, housing A; Watch: employment C-, amenities D-, commute F.
• Forsyth County (suburban): math 62% / reading 62% proficiency, ranked #5 of 174 in GA (top 3%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease; only 15% free/reduced lunch — higher-income household profile.
• Zoned schools: Little Mill Middle School (math 39% / reading 47%, grade D-, #116 of 470 statewide, top 26%, 915 students, 29% FRL); East Forsyth High School (1,453 students, 24% FRL).
• Zoned-school proficiency averages 43% at this address vs 62% district-wide (-19 pts) — the specific schools serving this property underperform the Forsyth County average; the district grade overstates school quality for this exact location.
• Market conditions: Rents rising (+1.3%/yr); 809 active listings in the ZIP; 1 comparable units currently listed for rent nearby; high-income renter base; 2,525 units permitted in Forsyth County in 2024 (810 in 5+ unit buildings).
• Forsyth County population projected at +71% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 3 sale attempts since 2y ago; this cycle's ask has dropped $10k (7%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Cap rate 10.0% vs local median 2.8% in Cumming — 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.
• This rent is only 13% of the median local income ($153k/yr) — well below the 30% rent-burden line; pricing power to push rent on renewal without tenant pushback.

Questions for listing agent

• It's been on market 47 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
• Built in 1972 — 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 B-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
• 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.