175 S 19th Ave

Lemoore, CA 93245

$899,000D

8 bd · 4.0 ba · 4,220 sqft · Built 1964 · MultiFamily · Active · 102 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $7,246/mo
• Mortgage (P&I): −$4,714
• Tax + insurance: −$652
• HOA: −$0
• Vac / Maint / Mgmt: −$1,522
• Net cashflow: $358/mo
• Annual: $4,295/yr
• Cap rate: 6.77%
• Cash-on-cash: 1.71%
• DSCR: 1.08
• 1% rule: 0.81%
• Cash to close: $251,720

Investor read

• This is a 4 × 2-bed/1.0-bath units multifamily listed at $899k.
• At list price, monthly cash flow is $358 ($4k/yr) — positive. Per door: $89/mo.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $725k (19.4% below list).
• It's been on market 102 days — a 9% lower offer ($818k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $725k (19.4% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $6k of loan paydown is wiped out by about $27k of value loss. Plan a longer hold.
• Location reads 58/100 on livability (#728 in CA) — a working-class tenant base; expect higher turnover. Strengths: commute A+, housing A+; Watch: amenities F, cost of living F, health & safety F.
• Lemoore Union High (suburban): math 25% / reading 55% proficiency, ranked #235 of 517 in CA (top 46%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: P. W. Engvall Elementary (math 39% / reading 52%, grade D-, #485 of 1,571 statewide, top 31%, 509 students, 78% FRL); Liberty Middle (math 41% / reading 58%, grade C, #104 of 498 statewide, top 21%, 666 students, 77% FRL); Lemoore High (math 27% / reading 59%, grade F, #460 of 1,170 statewide, top 40%, 1,861 students, 52% FRL).
• Market conditions: Rents rising (+2.9%/yr); 146 active listings in the ZIP; solid renter incomes; 741 units permitted in Kings County in 2024 (307 in 5+ unit buildings).
• 5 sale attempts since 12y 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 $260k; list at $899k implies a 246% gain — meaningful room to come down on a strong offer.
• Climate carrying-cost: moderate wildfire risk; extreme-heat days projected 7→17/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 6.8% vs local median 3.8% in Lemoore — 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.
• At $7,246/mo this rent would consume 108% of the median local household income ($80k/yr) (locally 1317% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• It's been on market 102 days. Have you received any prior offers? Is the seller open to a 19% concession, seller financing, or rate buy-down credit?
• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• Built in 1964 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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?