2034 Highland Way

Yorkville, WI 53177

$898,900C-

4 bd · 2.5 ba · 2,621 sqft · Built 2025 · SingleFamily · Active · 181 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $9,900/mo
• Mortgage (P&I): −$4,714
• Tax + insurance: −$1,498
• HOA: −$0
• Vac / Maint / Mgmt: −$2,079
• Net cashflow: $1,609/mo
• Annual: $19,307/yr
• Cap rate: 8.44%
• Cash-on-cash: 7.67%
• DSCR: 1.34
• 1% rule: 1.10%
• Cash to close: $251,692

Investor read

• This is a 4-bed/2.5-bath single-family listed at $899k.
• At list price, monthly cash flow is $2k ($19k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($10k rent vs $899k).
• It's been on market 181 days — a 12% lower offer ($791k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $791k (12.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $6k of loan paydown is wiped out by about $27k of value loss. Plan a longer hold.
• Location reads: area grade C — affects rentability + tenant quality, not the cash-flow math above.
• Union Grove Uhs School District (town): math 33% / reading 35% proficiency, ranked #223 of 342 in WI (top 65%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Union Grove High (math 33% / reading 35%, grade F, #177 of 483 statewide, top 37%, 1,045 students, 11% FRL).
• Market conditions: 22 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 505 units permitted in Racine County in 2024 (287 in 5+ unit buildings).
• Racine County population projected to shrink 7% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.

Questions for listing agent

• It's been on market 181 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• 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.
• 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 for-sale + rental construction is in the pipeline within 1–3 miles? Heavy new supply typically softens prices + rents 12–24 months out; constrained supply supports both.