80 Doe Highlands Dr

Mount Airy, NC 24343

$69,000D

1 bd · 1.0 ba · 900 sqft · Built 1972 · Condo · Pending · 66 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $823/mo
• Mortgage (P&I): −$362
• Tax + insurance: −$115
• HOA: −$295
• Vac / Maint / Mgmt: −$173
• Net cashflow: $-121/mo
• Annual: $-1,456/yr
• Cap rate: 4.18%
• Cash-on-cash: -7.54%
• DSCR: 0.66
• 1% rule: 1.19%
• Cash to close: $19,320

Investor read

• This is a 1-bed/1.0-bath condo listed at $69k. Condition is rated good.
• At list price, monthly cash flow is $-121 ($-1k/yr) — negative.
• To cash-flow at today's rent, offer at most $51k (25.4% below list).
• Meets the 1% rule at list price ($823 rent vs $69k).
• It's been on market 66 days — a 6% lower offer ($65k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $51k (25.4% below list) — sets the bar for cash-flow.
• Local home prices are declining (-3.0%/yr); year-one equity from $477 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Location reads 62/100 on livability (#473 in NC) — a middle-class / working-renter tenant base. Strengths: cost of living A+; Watch: crime D+, amenities F, commute F.
• Patrick County Public School District (rural): math 69% / reading 77% proficiency, ranked #18 of 131 in VA (top 14%) — strong family-tenant draw, lease renewals of 3-5y typical.
• Zoned schools: Meadows of Dan Elementary (math 67% / reading 82%, grade A, #220 of 1,108 statewide, top 22%, 401 students, 21% FRL); Hardin Reynolds Memorial School (math 67% / reading 77%, grade A, #65 of 342 statewide, top 21%, 217 students, 82% FRL); Patrick County High (math 66% / reading 76%, grade B+, #146 of 319 statewide, top 47%, 851 students, 82% FRL) — zoned schools average 62% FRL vs 45% district-wide (16 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: HOA is 36% of rent.
• Market conditions: 28 units permitted in Patrick County in 2024 (0 in 5+ unit buildings).
• Patrick County population projected at -26% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 2 sale attempts since 4y ago; this cycle's ask has dropped $21k (23%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Cap rate 4.2% vs local median 3.1% in Mount Airy — 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.

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 66 days. Have you received any prior offers? Is the seller open to a 25% concession, seller financing, or rate buy-down credit?
• Built in 1972 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• Any open or pending special assessments — roof, HVAC, plumbing, elevator, façade? What's the per-unit balance and payoff schedule, and is the seller paying it off at close or rolling it to the buyer?
• 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?