188 Mountainside Dr

Lehigh, PA 18424

$244,000D+

4 bd · 2.0 ba · 1,404 sqft · Built 1974 · SingleFamily · Active · 75 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,973/mo
• Mortgage (P&I): −$1,280
• Tax + insurance: −$332
• HOA: −$202
• Vac / Maint / Mgmt: −$414
• Net cashflow: $-255/mo
• Annual: $-3,061/yr
• Cap rate: 5.04%
• Cash-on-cash: -4.48%
• DSCR: 0.80
• 1% rule: 0.81%
• Cash to close: $68,320

Investor read

• This is a 4-bed/2.0-bath single-family listed at $244k.
• At list price, monthly cash flow is $-255 ($-3k/yr) — negative.
• To cash-flow at today's rent, offer at most $199k (18.5% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $197k (19.1% below list).
• It's been on market 75 days — a 6% lower offer ($229k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $197k (19.1% below list) — sets the bar for 1% rule.
• In year one you build about $22k of equity ($2k loan paydown + $21k appreciation (8.4% local appreciation)).
• Location reads: area grade D — affects rentability + tenant quality, not the cash-flow math above.
• North Pocono SD (rural): math 45% / reading 71% proficiency, ranked #82 of 539 in PA (top 15%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Moscow El Sch (math 62% / reading 82%, grade A-, #123 of 1,518 statewide, top 9%, 591 students, 43% FRL); North Pocono Ms (math 25% / reading 69%, grade D+, #163 of 512 statewide, top 33%, 665 students, 36% FRL); North Pocono Hs (math 72%, 905 students, 33% FRL).
• Market conditions: 301 active listings in the ZIP; 177 units permitted in Wayne County in 2024 (0 in 5+ unit buildings).
• Wayne County population projected at -17% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 5 sale attempts since 13y 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 $55k; list at $244k implies a 344% gain — meaningful room to come down on a strong offer.
• By year 2, paydown + projected appreciation supports a ~$36k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

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 75 days. Have you received any prior offers? Is the seller open to a 19% concession, seller financing, or rate buy-down credit?
• Built in 1974 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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.
• 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.