17505 Baronoff Ave

Anchorage, AK 99577

$355,000D+

3 bd · 2.0 ba · 2,080 sqft · Built 1978 · SingleFamily · Pending

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,028/mo
• Mortgage (P&I): −$1,862
• Tax + insurance: −$572
• HOA: −$0
• Vac / Maint / Mgmt: −$636
• Net cashflow: $-42/mo
• Annual: $-501/yr
• Cap rate: 6.15%
• Cash-on-cash: -0.50%
• DSCR: 0.98
• 1% rule: 0.85%
• Cash to close: $99,400

Investor read

• This is a 3-bed/2.0-bath single-family listed at $355k.
• At list price, monthly cash flow is $-42 ($-501/yr) — negative.
• To cash-flow at today's rent, offer at most $348k (2.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $303k (14.7% below list).
• Only 0 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $303k (14.7% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $11k of value loss. Plan a longer hold.
• Location reads 78/100 on livability (#6 in AK, #2,553 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, commute A+, employment A+; Watch: crime F, cost of living F.
• Anchorage School District (urban): math 37% / reading 43% proficiency, ranked #6 of 21 in AK (top 29%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Homestead Elementary (math 52% / reading 52%, grade C-, #43 of 156 statewide, top 32%, 306 students, 17% FRL); Gruening Middle School (math 42% / reading 60%, grade C, #5 of 36 statewide, top 11%, 589 students, 17% FRL); Eagle River High School (math 52% / reading 62%, grade C, #5 of 61 statewide, top 8%, 791 students, 11% FRL) — zoned schools average 15% FRL vs 38% district-wide (23 pts lower); this property's tenant base skews higher-income than the district average.
• Zoned-school proficiency averages 53% at this address vs 40% district-wide (+13 pts) — the actual schools serving this property are materially stronger than the Anchorage School District average implies; a family-tenant draw the district grade alone would hide.
• Market conditions: Rents rising fast (+6.5%/yr); 246 active listings in the ZIP; 6 comparable units currently listed for rent nearby; rentals at typical pace (median 26d on market — plan ~3-4 weeks tenant-placement turnaround); high-income renter base; 306 units permitted in Anchorage Municipality in 2024 (90 in 5+ unit buildings).
• Anchorage County population projected at +12% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• Cap rate 6.2% vs local median 3.8% in Anchorage — 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.

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?
• Built in 1978 — 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.
• 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?
• Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
• 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.
• 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.