6800 Wilcox Ave

Bell, CA 90201

$2,800,000F

110 bd · 100.0 ba · 2,936 sqft · Built 1950 · MultiFamily · Active · 126 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $16,502/mo
• Mortgage (P&I): −$14,684
• Tax + insurance: −$4,419
• HOA: −$0
• Vac / Maint / Mgmt: −$3,465
• Net cashflow: $-6,066/mo
• Annual: $-72,794/yr
• Cap rate: 3.69%
• Cash-on-cash: -9.28%
• DSCR: 0.59
• 1% rule: 0.59%
• Cash to close: $784,000

Investor read

• This is a 9×1bd/1ba + 1×2bd/1ba units multifamily listed at $2.80M.
• At list price, monthly cash flow is $-6k ($-73k/yr) — negative. Per door: $-607/mo.
• To cash-flow at today's rent, offer at most $1.73M (38.3% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $1.65M (41.1% below list).
• It's been on market 126 days — a 12% lower offer ($2.46M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $1.65M (41.1% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $19k of loan paydown is wiped out by about $84k of value loss. Plan a longer hold.
• Location reads 57/100 on livability (#761 in CA) — a working-class tenant base; expect higher turnover. Strengths: commute A+; Watch: employment D+, crime D-, amenities F.
• Los Angeles Unified (urban): math 29% / reading 54% proficiency, ranked #223 of 517 in CA (top 43%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 67% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Ellen Ochoa Learning Center (1,134 students, 96% FRL); Bell Senior High (math 32% / reading 66%, grade D, #369 of 1,170 statewide, top 32%, 2,351 students, 95% FRL) — zoned schools average 96% FRL vs 67% district-wide (28 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: built in 1950 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 55 active listings in the ZIP; 19,697 units permitted in Los Angeles County in 2024 (9,426 in 5+ unit buildings).
• Los Angeles County population projected at +9% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• Current owner paid $2.15M; 30% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• Climate carrying-cost: extreme-heat days projected 7→21/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• At $16,502/mo this rent would consume 325% of the median local household income ($61k/yr) (locally 6155% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

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 126 days. Have you received any prior offers? Is the seller open to a 41% 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 1950 — 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 F-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?