4426 12th St

Dorr, MI 49348

$48,000B-

2 bd · 1.0 ba · 615 sqft · Built 1930 · SingleFamily · Pending · 14 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $964/mo
• Mortgage (P&I): −$252
• Tax + insurance: −$80
• HOA: −$0
• Vac / Maint / Mgmt: −$203
• Net cashflow: $430/mo
• Annual: $5,162/yr
• Cap rate: 17.05%
• Cash-on-cash: 38.41%
• DSCR: 2.71
• 1% rule: 2.01%
• Cash to close: $13,440

Investor read

• This is a 2-bed/1.0-bath single-family listed at $48k. Condition is rated poor.
• At list price, monthly cash flow is $430 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($964 rent vs $48k).
• Only 14 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-3.0%/yr); year-one equity from $332 of loan paydown is wiped out by about $1k of value loss. Plan a longer hold.
• Location reads: area grade B — affects rentability + tenant quality, not the cash-flow math above.
• Wayland Union Schools (town): math 45% / reading 51% proficiency, ranked #110 of 540 in MI (top 20%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Watch-outs: built in 1930 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 94 active listings in the ZIP; 419 units permitted in Allegan County in 2024 (0 in 5+ unit buildings).
• 3 sale attempts 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.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $13k cash investment doubles in ~4 years — after that, you're playing with house money.

Questions for listing agent

• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1930 — 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.
• 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.

Repairs flagged (vision-AI assessment)

• Major: Kitchen countertops — Dirty and worn-out, need replacement.
• Major: Kitchen appliances — Dirty and worn-out, need replacement.
• Major: Kitchen flooring — Dirty and worn-out, need replacement.
• Major: Bathroom fixtures — Dirty and worn-out, need replacement.
• Major: Bathroom flooring — Dirty and worn-out, need replacement.
• Major: Exterior siding — Weathered and missing shingles, need replacement.