3004 Fales Rd

Deltana, AK 99737

$989,000C+

2 bd · 8.0 ba · 10,836 sqft · Built 1984 · MultiFamily · Active · 23 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $10,550/mo
• Mortgage (P&I): −$5,186
• Tax + insurance: −$1,648
• HOA: −$0
• Vac / Maint / Mgmt: −$2,216
• Net cashflow: $1,500/mo
• Annual: $17,997/yr
• Cap rate: 8.11%
• Cash-on-cash: 6.50%
• DSCR: 1.29
• 1% rule: 1.07%
• Cash to close: $276,920

Investor read

• This is a 2-bed/8.0-bath multifamily listed at $989k. Condition is rated good.
• At list price, monthly cash flow is $2k ($18k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($11k rent vs $989k).
• It's been on market 23 days — a 2% lower offer ($974k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $974k (1.5% below list) — sets the bar for market timing.
• In year one you build about $13k of equity ($7k loan paydown + $6k appreciation (0.6% local appreciation)).
• Location reads 64/100 on livability (#35 in AK) — a middle-class / working-renter tenant base. Strengths: employment A+, housing A, crime B; Watch: amenities F, commute F, health & safety F.
• Delta-Greely School District (rural): math 50% / reading 53% proficiency, ranked #2 of 21 in AK (top 10%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Delta Junction Elementary (math 67% / reading 57%, grade B, #19 of 156 statewide, top 12%, 359 students, 35% FRL); Delta Junction Junior High School (math 37% / reading 47%, grade D-, #13 of 36 statewide, top 37%, 166 students, 31% FRL); Delta Junction Senior High School (math 64% / reading 64%, grade B-, #3 of 61 statewide, top 5%, 165 students, 23% FRL) — zoned schools at 30% FRL track the district average.
• Market conditions: 76 active listings in the ZIP.
• Southeast Fairbanks County population projected at -12% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 3 sale attempts since 11y 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.
• At projected returns (0.6% appreciation + 3.0% rent growth), your $277k cash investment doubles in ~7 years — after that, you're playing with house money.
• By year 5, paydown + projected appreciation supports a ~$62k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Cap rate 8.1% vs local median 2.4% in Deltana — 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

• 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?
• 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.
• How much new apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.

Repairs flagged (vision-AI assessment)

• Minor: Kitchen cabinets — Aesthetic update needed.
• Minor: Bathroom fixtures — Update needed for a fresh look.
• Minor: Landscaping — Improves curb appeal and adds value.