11 A Meadow Ln

Nantucket, MA 02554

$1,500,000B+

6 bd · 5.5 ba · 6,086 sqft · Built 2021 · SingleFamily · Active · 111 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $40,000/mo
• Mortgage (P&I): −$7,866
• Tax + insurance: −$1,496
• HOA: −$0
• Vac / Maint / Mgmt: −$8,400
• Net cashflow: $22,238/mo
• Annual: $266,859/yr
• Cap rate: 24.08%
• Cash-on-cash: 63.54%
• DSCR: 3.83
• 1% rule: 2.67%
• Cash to close: $420,000

Investor read

• This is a 6-bed/5.5-bath single-family listed at $1.50M.
• At list price, monthly cash flow is $22k ($267k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($40k rent vs $1.50M).
• It's been on market 111 days — a 9% lower offer ($1.36M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $1.36M (9.0% below list) — sets the bar for market timing.
• In year one you build about $160k of equity ($10k loan paydown + $150k appreciation (10.0% local appreciation)).
• Location reads 72/100 on livability (#112 in MA) — a middle-class / working-renter tenant base. Strengths: commute A+, employment A+, health & safety A+; Watch: amenities D+, cost of living F.
• Nantucket (town): math 23% / reading 41% proficiency, ranked #232 of 302 in MA (top 77%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; only 16% free/reduced lunch — higher-income household profile.
• Market conditions: 9 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 262 units permitted in Nantucket County in 2024 (20 in 5+ unit buildings).
• Nantucket County population projected at +31% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 5 sale attempts since 2y ago 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 $1.05M; 42% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• At projected returns (10.0% appreciation + 3.0% rent growth), your $420k cash investment doubles in ~1 year — after that, you're playing with house money.
• By year 2, paydown + projected appreciation supports a ~$258k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Questions for listing agent

• It's been on market 111 days. Have you received any prior offers? Is the seller open to a 9% concession, seller financing, or rate buy-down credit?
• 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 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.