759 Mckean Ave

Donora, PA 15033

$65,000C-

6 bd · 2.0 ba · — sqft · Built 1945 · MultiFamily · Active · 20 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $5,140/mo
• Mortgage (P&I): −$341
• Tax + insurance: −$108
• HOA: −$0
• Vac / Maint / Mgmt: −$1,079
• Net cashflow: $3,611/mo
• Annual: $43,337/yr
• Cap rate: 72.96%
• Cash-on-cash: 238.11%
• DSCR: 11.59
• 1% rule: 7.91%
• Cash to close: $18,200

Investor read

• This is a 6-bed/2.0-bath multifamily listed at $65k. Condition is rated fair.
• At list price, monthly cash flow is $4k ($43k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($5k rent vs $65k).
• It's been on market 20 days — a 2% lower offer ($64k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $64k (1.5% below list) — sets the bar for market timing.
• In year one you build about $4k of equity ($449 loan paydown + $3k appreciation (5.0% local appreciation)).
• Location reads 64/100 on livability (#1,198 in PA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, crime A-; Watch: health & safety D, amenities F, commute F.
• Ringgold SD (suburban): math 19% / reading 36% proficiency, ranked #452 of 539 in PA (top 84%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Ringgold El Sch South (math 22% / reading 47%, grade F, #1,049 of 1,518 statewide, top 71%, 580 students, 100% FRL); Ringgold Ms (math 9% / reading 29%, grade F, #447 of 512 statewide, top 88%, 787 students, 100% FRL); Ringgold Shs (math 57% / reading 24%, grade F, #255 of 437 statewide, top 60%, 852 students, 82% FRL) — zoned schools average 94% FRL vs 41% district-wide (53 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: built in 1945 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 21 active listings in the ZIP; lower-income renter base — watch delinquency; 489 units permitted in Washington County in 2024 (30 in 5+ unit buildings).
• Washington County population projected to shrink 6% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• 3 sale attempts; this cycle's ask has dropped $10k (13%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• At projected returns (5.0% appreciation + 3.0% rent growth), your $18k cash investment doubles in ~1 year — after that, you're playing with house money.
• By year 9, paydown + projected appreciation supports a ~$33k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• At $5,140/mo this rent would consume 155% of the median local household income ($40k/yr) (locally 363% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1945 — 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 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)

• Major: Exterior brick — Exposed brick and peeling paint
• Major: Interior walls — Peeling paint and exposed insulation
• Major: HVAC appliances — Old and inefficient appliances
• Major: Landscaping — Overgrown yard and lack of landscaping