304-306 W Shriver St Unit 1-5

Summerdale, AL 36580

$530,000B+

12 bd · 6.0 ba · 4,100 sqft · Built 1918 · MultiFamily · Active · 44 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $7,138/mo
• Mortgage (P&I): −$2,779
• Tax + insurance: −$883
• HOA: −$0
• Vac / Maint / Mgmt: −$1,499
• Net cashflow: $1,976/mo
• Annual: $23,716/yr
• Cap rate: 10.77%
• Cash-on-cash: 15.98%
• DSCR: 1.71
• 1% rule: 1.35%
• Cash to close: $148,400

Investor read

• This is a 4 × 3-bed/1.5-bath units multifamily listed at $530k. Condition is rated fair.
• At list price, monthly cash flow is $2k ($24k/yr) — positive. Per door: $494/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($7k rent vs $530k).
• It's been on market 44 days — a 3% lower offer ($514k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $514k (3.0% below list) — sets the bar for market timing.
• In year one you build about $46k of equity ($4k loan paydown + $42k appreciation (8.0% local appreciation)).
• Location reads 57/100 on livability (#384 in AL) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A+; Watch: crime F, amenities F, commute F.
• Baldwin County (rural): math 33% / reading 57% proficiency, ranked #18 of 129 in AL (top 14%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Summerdale School (math 23% / reading 55%, grade F, #257 of 627 statewide, top 41%, 573 students, 77% FRL); Robertsdale High School (math 34% / reading 34%, grade F, #53 of 305 statewide, top 18%, 1,450 students, 64% FRL) — zoned schools average 70% FRL vs 38% district-wide (32 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: built in 1918 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 143 active listings in the ZIP; 3,883 units permitted in Baldwin County in 2024 (481 in 5+ unit buildings).
• Baldwin County population projected at +42% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• At projected returns (8.0% appreciation + 3.0% rent growth), your $148k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 2, paydown + projected appreciation supports a ~$74k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→22/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 10.8% vs local median 4.7% in Summerdale — 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

• It's been on market 44 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
• 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?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1918 — 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 D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?

Repairs flagged (vision-AI assessment)

• Major: Landscaping — Overgrown and needs trimming
• Major: Exterior paint — Weathered and needs repainting