2598 S Oceana Dr · Shelby, MI 49455

$82,500

1 bd · 1.0 ba · 1,700 sqft · SingleFamily · 69 Days on market

Built 1945 Poor condition 0.57 ac lot $49/sqft · 23% below area Est $107k · 23% under

---

Why this score? — see what drove the B grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Cash flow +30.0/30.0
• ARV discount +15.0/15.0
• DSCR +10.0/10.0
• 1% rule +9.7/10.0
• Livability +3.5/5.0
• Rent growth +2.5/5.0
• Schools +2.1/10.0
• Condition / age +1.0/5.0
• Appreciation +0.0/10.0

Listing remarks

Blank canvas for your business aspirations or for creating a unique personal residence with tons of space for your toys, and hobbies. The existing infrastructure (wood-clad, cinderblock exterior walls) on slab foundation allow for a build-out of your liking. The large lot offers ample space for parking, or future expansion. The structure is approximately 5000 square feet, and had a professionally installed roof put on in 2021. Since it's glory days as a restaurant, the building was gutted and used as a warehouse and woodshop since 2021. Oceana Dr has recently been renewed allowing easy access to the building. The ''rail trail'' runs behind the building and could become a revenue source for

Key facts

• Slab foundation
• Large lot
• Rail trail

Tags

• LARGE LOT
• WOOD CLAD EXTERIOR WALLS
• CINDERBLOCK EXTERIOR WALLS
• SLAB FOUNDATION
• PROFESSIONALLY INSTALLED ROOF
• RAIL TRAIL

What this means for you Summary

Snapshot

• This is a 1-bed/1.0-bath single-family listed at $82k. Condition is rated poor.

Deal economics

• At list price, monthly cash flow is $386 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $82k).
• Recommended offer: $78k (6.0% below list) — sets the bar for market timing.
• Cap rate 11.9% vs local median 3.2% in Shelby — 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.

Location & tenants

• Location reads 70/100 on livability (#324 in MI) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: employment D+, schools F, amenities F.
• Shelby Public Schools (rural): math 18% / reading 31% proficiency, ranked #433 of 540 in MI (top 80%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 63% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: 58 active listings in the ZIP; 147 units permitted in Oceana County in 2024 (0 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $570 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Oceana County population projected at -18% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $23k cash investment doubles in ~7 years — after that, you're playing with house money.

Negotiation context

• It's been on market 69 days — a 6% lower offer ($78k) is reasonable based on typical stale-listing flexibility.
• 6 sale attempts since 6y 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.

Risks & watch-outs

• Watch-outs: built in 1945 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $77,550 (6.0% below list)

Questions for the listing agent

1. It's been on market 69 days. Have you received any prior offers? Is the seller open to a 6% concession, seller financing, or rate buy-down credit?
2. Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
3. Built in 1945 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
4. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
5. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
6. 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?
7. 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.
8. 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.
9. 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.

Investment metrics

• 1% rule: 1.47% ✓
• Cap rate: 11.91%
• Cash-on-cash: 20.06%
• DSCR: 1.89
• GRM: 5.7

CMA / ARV

• ARV (median comp): $106,578
• List price: $82,500
• Delta: -22.59%
• Verdict: UNDERPRICED
• Comps: 2 within 1.0 mi

Projected returns pro-forma

-3.0% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: 12.2%
• Equity multiple: 1.49×
• Total profit: $11,241
• Equity at exit: $12,301

10-year hold

• IRR: 21.2%
• Equity multiple: 2.80×
• Total profit: $41,527
• Equity at exit: $7,133

Cash invested: $23,100 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 62 Landlord-Friendly
• State Michigan: 62 Landlord-Friendly · EVEN
• County: — inherits STATE
• City: — inherits STATE

7-day pay-or-quit; mixed climate; Detroit/AA have some protections.

Methodology + full state rankings →

ZIP-level market 49455

• Home prices YoY: -27.0%
• Active inventory: 58
• Price-to-rent: 5.7×

Monthly cashflow live

• Estimated rent: $1,210 medium
• Mortgage (P&I): −$433
• Tax est. 1.5%: −$103 /mo · $1,238/yr
• Insurance: −$34
• HOA: −$0
• Vacancy / Maint / Mgmt: −$254
• Net cashflow: $386

Break-even live

Break-even rent $722

Max offer price $82,500

Occupancy floor 63%

Sensitivity live

Price	-10% $443	-5% $415	+0% $386	+5% $358	+10% $329
Rent	-10% $290	-5% $338	+0% $386	+5% $434	+10% $482
Rate	-1.0pp $428	-0.5pp $407	base $386	+0.5pp $365	+1.0pp $343

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $20,625
• Closing costs: $2,475
• Reserves months: —
• Total cash needed: —

Listing history 25 events

1. 2026-06-21
   days on market $82,500 Active 69 DOM
2. 2026-06-18
   days on market $82,500 Active 67 DOM
3. 2026-06-17
   days on market $82,500 Active 66 DOM
4. 2026-06-16
   days on market $82,500 Active 65 DOM
5. 2026-06-15
   days on market $82,500 Active 64 DOM
6. 2026-06-13
   days on market $82,500 Active 62 DOM
7. 2026-06-12
   days on market $82,500 Active 61 DOM
8. 2026-06-09
   days on market $82,500 Active 58 DOM
9. 2026-06-08
   days on market $82,500 Active 57 DOM
10. 2026-06-07
    days on market $82,500 Active 56 DOM
11. 2026-06-05
    days on market $82,500 Active 54 DOM
12. 2026-06-04
    days on market $82,500 Active 52 DOM
13. 2026-06-02
    days on market $82,500 Active 51 DOM
14. 2026-06-01
    days on market $82,500 Active 50 DOM
15. 2026-05-31
    days on market $82,500 Active 49 DOM
16. 2026-05-31
    days on market $82,500 Active 48 DOM
17. 2026-04-14
    historical
18. 2026-04-13
    historical
19. 2026-04-12
    listed $82,500 Active
20. 2026-04-12
    listed $82,500 Active
21. 2025-10-15
    listed $82,500 Active
22. 2025-10-15
    listed $82,500 Active
23. 2022-12-08
    soldstatus $95,000
24. 2022-11-30
    listed $95,000
25. 2020-08-03
    listed $45,000

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Taxation est. · year 1

• Rental income: $14,525
• − Mortgage interest: −$4,621
• − Property taxes: −$1,238
• − Insurance: −$412
• − Repairs & maintenance: −$1,162
• − Management: −$1,162
• − Depreciation: −$2,400
• Taxable income: $3,530
• Est. tax owed @ 24.0%: −$847
• After-tax cash flow: $3,786/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Condition & rehab AI · 12 photos

Poor 20/100 Extensive rehab

This property requires extensive renovations to bring it up to a livable condition. Significant work is needed on the exterior, interior, and landscaping to improve its value.

Repairs flagged

• Major Exterior walls — Exposed brick and cinderblock
• Major Interior walls — Exposed framing, no drywall
• Major Windows — Exposed framing, no windows
• Major HVAC/mechanicals — No HVAC or mechanicals visible
• Major Landscaping — Overgrown vegetation, no landscaping

Value-add opportunities

• Both Exterior walls — Improves curb appeal and structural integrity
• Both Interior walls — Provides a finished look and improved functionality
• Both Windows — Enhances natural light and security
• Both HVAC/mechanicals — Improves comfort and energy efficiency
• Both Landscaping — Enhances curb appeal and property value

Renovation cost estimate screening

Repair item	Severity	Est. cost
Exterior walls · Exposed brick and cinderblock	Major	$15,000–50,000
Interior walls · Exposed framing, no drywall	Major	$15,000–50,000
Windows · Exposed framing, no windows	Major	$15,000–50,000
HVAC/mechanicals · No HVAC or mechanicals visible	Major	$15,000–50,000
Landscaping · Overgrown vegetation, no landscaping	Major	$15,000–50,000
Total estimated repair cost · 5 items		$75,000–250,000

Value-add ROI direction

• Both Exterior walls — Improves curb appeal and structural integrity ↑
• Both Interior walls — Provides a finished look and improved functionality ↑
• Both Windows — Enhances natural light and security ↑
• Both HVAC/mechanicals — Improves comfort and energy efficiency ↑
• Both Landscaping — Enhances curb appeal and property value ↑

ⓘ Cost ranges are severity-bucket heuristics (US national rule-of-thumb). Get contractor quotes + a written scope before underwriting a rehab budget.

Schools (NCES district)

• District: Shelby Public Schools
• NCES district ID: 2631320
• Math proficiency: 18% ▼ -8.00%
• Reading proficiency: 31% ▼ -1.00%
• Median HH income: $41,759
• Composite: 20.8/100
• National rank: #8509
• State rank: #433 of 540 in MI

Livability — Shelby

• Score: 70/100
• State rank: #324
• US rank: #7973

Category grades

Amenities F Commute F Cost of living A+ Crime A+ Employment D+ Housing A+ Health & safety F User ratings A+

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Shelby, MI
• Population (ZIP): 5,272

Population outlook (Oceana County) Hauer SSP2

• Today (2025): 25,141 people
• By 2030: 24,324 · -3.2%
• By 2040: 22,484 · -10.6%
• By 2050: 20,561 · -18.2%
• By 2075: 16,280 · -35.2%
• By 2100: 11,376 · -54.8%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (66%)
• Race & ethnicity: White 66% Hispanic / Latino 32% Two or more races 11% Native American 1%
• Hispanic origin (detail): Mexican 28%
• Common ancestry: Iranian 5% Romanian 3% Portuguese 2%
• Foreign-born: 10% · Canada
• Languages at home: 76% English-only · Spanish 24%

Political lean MEDSL · Oceana

• 2024 margin: Solid R (+30.0) · D 34.2% · R 64.2% · Other 1.6%
• 2008→2024 swing: -34.4pp toward R · 2008: 4.3pp · 2024: -30.0pp
• All cycles: 2024: R+30.0 2020: R+28.1 2016: R+27.3 2012: R+10.3 2008: D+4.3

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -77.16%
• Current HPI: 208.6615
• Rent YoY: —
• Metro: —
• State GDP YoY: ▲ 1.37%
• F500 in state: 28

Industry mix (Fortune 500 HQ in MI)

Industry	F500 HQs	Revenue
▸Automotive Parts	3	$48B
▸Automotive	2	$372B
▸Chemicals	1	$45B
▸Automotive Retail	1	$29B
▸Healthcare / Medical Devices	1	$23B
▸Automotive Technology	1	$20B

Price history

+83.3% since first listed

9 events — show timeline

• 2026-04-14 Listing Removed — MiRealSource-MiMLS
• 2026-04-13 Listing Removed — REALCOMP
• 2026-04-12 Listed $82,500 REALCOMP
• 2026-04-12 Listed $82,500 MiRealSource-MiMLS
• 2025-10-15 Listed $82,500 REALCOMP
• 2025-10-15 Listed $82,500 MiRealSource-MiMLS
• 2022-12-08 Sold (MLS) $95,000 MiRealSource-MiMLS
• 2022-11-30 Listed $95,000 MiRealSource-MiMLS
• 2020-08-03 Listed $45,000 MiRealSource-MiMLS