525 Irma St

Kent, OH 44240

$600,000F

4 bd · 2.0 ba · 1,456 sqft · Built 1960 · MultiFamily · Active · 20 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,894/mo
• Mortgage (P&I): −$3,146
• Tax + insurance: −$700
• HOA: −$0
• Vac / Maint / Mgmt: −$818
• Net cashflow: $-771/mo
• Annual: $-9,247/yr
• Cap rate: 4.75%
• Cash-on-cash: -5.50%
• DSCR: 0.76
• 1% rule: 0.65%
• Cash to close: $168,000

Investor read

• This is a 4 × 1-bed/?-bath units multifamily listed at $600k.
• At list price, monthly cash flow is $-771 ($-9k/yr) — negative. Per door: $-193/mo.
• To cash-flow at today's rent, offer at most $464k (22.7% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $389k (35.1% below list).
• It's been on market 20 days — a 2% lower offer ($591k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $389k (35.1% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $4k of loan paydown is wiped out by about $18k of value loss. Plan a longer hold.
• Location reads 89/100 on livability (#13 in OH, #129 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, commute A+, cost of living A+; Watch: employment F.
• Kent City (suburban): math 46% / reading 58% proficiency, ranked #433 of 656 in OH (top 66%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Longcoy Elementary School (math 47% / reading 57%, grade C-, #851 of 1,584 statewide, top 56%, 265 students, 43% FRL); Stanton Middle School (math 43% / reading 55%, grade C-, #426 of 654 statewide, top 66%, 660 students, 46% FRL); Theodore Roosevelt High School (math 47% / reading 71%, grade C+, #262 of 781 statewide, top 34%, 1,245 students, 26% FRL) — zoned schools at 38% FRL track the district average.
• Market conditions: Rents rising fast (+6.8%/yr); 143 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 196 units permitted in Portage County in 2024 (10 in 5+ unit buildings).
• Current owner paid $150k; list at $600k implies a 300% gain — meaningful room to come down on a strong offer.
• At $3,894/mo this rent would consume 81% of the median local household income ($58k/yr) (locally 2634% 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?
• 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 1960 — 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 A-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.