709 W Hallam St

Aspen, CO 81611

$3,125,000F

5 bd · 6.0 ba · 4,699 sqft · Built 1988 · SingleFamily · Pending · 33 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $11,145/mo
• Mortgage (P&I): −$16,388
• Tax + insurance: −$4,520
• HOA: −$42
• Vac / Maint / Mgmt: −$2,341
• Net cashflow: $-12,145/mo
• Annual: $-145,744/yr
• Cap rate: 1.63%
• Cash-on-cash: -16.66%
• DSCR: 0.26
• 1% rule: 0.36%
• Cash to close: $875,000

Investor read

• This is a 5-bed/6.0-bath single-family listed at $3.12M.
• At list price, monthly cash flow is $-12k ($-146k/yr) — negative.
• To cash-flow at today's rent, offer at most $979k (68.7% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $1.11M (64.3% below list).
• It's been on market 33 days — a 3% lower offer ($3.03M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $979k (68.7% below list) — sets the bar for cash-flow.
• In year one you build about $334k of equity ($22k loan paydown + $312k appreciation (10.0% local appreciation)).
• Location reads 66/100 on livability (#142 in CO) — a middle-class / working-renter tenant base. Strengths: commute A+, employment A+; Watch: amenities F, cost of living F, health & safety F.
• Aspen School District No. 1 In The County Of Pitkin And Sta (rural): math 36% / reading 56% proficiency, ranked #18 of 86 in CO (top 21%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; only 4% free/reduced lunch — higher-income household profile.
• Zoned schools: Aspen Elementary School (math 32% / reading 52%, grade F, #321 of 966 statewide, top 35%, 440 students, 0% FRL); Aspen Middle School (math 30% / reading 49%, grade F, #84 of 270 statewide, top 32%, 443 students, 0% FRL); Aspen High School (math 47% / reading 72%, grade C+, #53 of 381 statewide, top 17%, 529 students, 0% FRL) — zoned schools at 0% FRL track the district average.
• Market conditions: Rents rising fast (+22.1%/yr); 324 active listings in the ZIP; solid renter incomes; 145 units permitted in Pitkin County in 2024 (89 in 5+ unit buildings).
• Pitkin County population projected at +20% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 11 sale attempts since 5y 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.
• By year 2, paydown + projected appreciation supports a ~$537k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• At $11,145/mo this rent would consume 162% of the median local household income ($83k/yr) (locally 566% 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 33 days. Have you received any prior offers? Is the seller open to a 69% concession, seller financing, or rate buy-down credit?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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?
• 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.