23 Stone Dr

Sagamore, MA 02360

$245,000D

2 bd · 2.0 ba · 1,350 sqft · Built 1986 · SingleFamily · Active · 109 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,050/mo
• Mortgage (P&I): −$1,285
• Tax + insurance: −$408
• HOA: −$1,250
• Vac / Maint / Mgmt: −$641
• Net cashflow: $-534/mo
• Annual: $-6,403/yr
• Cap rate: 3.68%
• Cash-on-cash: -9.33%
• DSCR: 0.58
• 1% rule: 1.24%
• Cash to close: $68,600

Investor read

• This is a 2-bed/2.0-bath single-family listed at $245k.
• At list price, monthly cash flow is $-534 ($-6k/yr) — negative.
• To cash-flow at today's rent, offer at most $168k (31.5% below list).
• Meets the 1% rule at list price ($3k rent vs $245k).
• It's been on market 109 days — a 9% lower offer ($223k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $168k (31.5% below list) — sets the bar for cash-flow.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $7k of value loss. Plan a longer hold.
• Location reads 67/100 on livability (#160 in MA) — a middle-class / working-renter tenant base. Strengths: crime A+, employment A+, housing A+; Watch: amenities F, commute F, cost of living F.
• Plymouth (suburban): math 35% / reading 54% proficiency, ranked #158 of 302 in MA (top 52%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Indian Brook (math 43% / reading 58%, grade D+, #319 of 938 statewide, top 34%, 574 students, 0% FRL); Plymouth South Middle (math 33% / reading 50%, grade F, #133 of 305 statewide, top 45%, 620 students, 0% FRL); Plymouth South High (math 48% / reading 74%, grade C+, #127 of 343 statewide, top 37%, 1,028 students, 0% FRL) — zoned schools average 0% FRL vs 25% district-wide (25 pts lower); this property's tenant base skews higher-income than the district average.
• Watch-outs: HOA is 41% of rent.
• Market conditions: Rents rising fast (+5.4%/yr); 268 active listings in the ZIP; 1 comparable units currently listed for rent nearby; high-income renter base; 1,255 units permitted in Plymouth County in 2024 (411 in 5+ unit buildings).
• 2 sale attempts; this cycle's ask has dropped $15k (6%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Climate carrying-cost: severe wind risk, 80% chance of damaging wind over 30y; extreme-heat days projected 7→16/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 3.7% vs local median 2.6% in Sagamore — 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 runs 31% of the median local income ($117k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

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 109 days. Have you received any prior offers? Is the seller open to a 32% concession, seller financing, or rate buy-down credit?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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?
• 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.