4601 SW 320th St Unit Q5 · Federal Way, WA 98023

$185,000

2 bd · 1.0 ba · 809 sqft · Condo · 101 Days on market

Built 1977 $229/sqft · 12% below area Est $210k · 12% under $547/mo HOA · 27% of rent

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Why this score? — see what drove the D 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).

• ARV discount +12.8/15.0
• Cash flow +7.4/30.0
• 1% rule +5.9/10.0
• Schools +3.9/10.0
• Livability +3.6/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• DSCR +1.6/10.0
• Appreciation +0.0/10.0

Listing remarks

SELLER AGREES TO PAY $5000 TOWARD BUYER CLOSING COSTS. Beautiful condominium complex in the Twin Lakes Golf Course and Dash Point Park. Move-in ready top floor 2 bedroom, 1 bathroom home with generous living space, oversized primary bedroom with walk-in closet, and kitchen with eating space. Newer carpet, stove, and refrigerator. Extra storage available off private deck. Exterior recently painted. Community amenities include pool, athletic court and plenty of open parking. Great location close to shopping, dining, school and near major transit including the light rail and I-5.

Key facts

• Move-in ready
• Walk-in closet
• Dash point park

Tags

• TWIN LAKES GOLF COURSE
• DASH POINT PARK
• MOVE-IN READY
• OVERSIZED PRIMARY BEDROOM
• WALK-IN CLOSET
• KITCHEN WITH EATING SPACE

What this means for you Summary

Snapshot

• This is a 2-bed/1.0-bath condo listed at $185k.

Deal economics

• At list price, monthly cash flow is $-237 ($-3k/yr) — negative.
• To cash-flow at today's rent, offer at most $151k (18.5% below list).
• Meets the 1% rule at list price ($2k rent vs $185k).
• Recommended offer: $151k (18.5% below list) — sets the bar for cash-flow.
• Cap rate 4.8% vs local median 2.7% in Federal Way — 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 71/100 on livability (#221 in WA) — a middle-class / working-renter tenant base. Strengths: commute A+, housing A+, health & safety A+; Watch: crime F, cost of living F.
• Federal Way School District (suburban): math 35% / reading 47% proficiency, ranked #207 of 291 in WA (top 71%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Twin Lakes Elementary School (394 students, 68% FRL); Lakota Middle School (632 students, 70% FRL); Decatur High School (1,327 students, 64% FRL) — zoned schools average 67% FRL vs 48% district-wide (19 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: Rents flat; 234 active listings in the ZIP; 5 comparable units currently listed for rent nearby; rentals leasing fast (median 5d on market — plan ~1-2 weeks tenant-placement turnaround); solid renter incomes; 10,555 units permitted in King County in 2024 (7,119 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $6k of value loss. Plan a longer hold.
• King County population projected at +44% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.

Negotiation context

• It's been on market 101 days — a 9% lower offer ($168k) is reasonable based on typical stale-listing flexibility.
• 2 sale attempts since 20y ago; this cycle's ask has dropped $15k (7%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $85k; list at $185k implies a 118% gain — meaningful room to come down on a strong offer.

Risks & watch-outs

• Watch-outs: HOA is 27% of rent.

Recommended offer $150,710 (18.5% below list)

Questions for the listing agent

1. What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
2. It's been on market 101 days. Have you received any prior offers? Is the seller open to a 19% concession, seller financing, or rate buy-down credit?
3. Built in 1977 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
4. What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
5. Any open or pending special assessments — roof, HVAC, plumbing, elevator, façade? What's the per-unit balance and payoff schedule, and is the seller paying it off at close or rolling it to the buyer?
6. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
7. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
8. 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?
9. The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?
10. 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.
11. 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.
12. 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.

Investment metrics

• 1% rule: 1.09% ✓
• Cap rate: 4.76%
• Cash-on-cash: -5.49%
• DSCR: 0.76
• GRM: 7.7

CMA / ARV

• ARV (median comp): $209,719
• List price: $185,000
• Delta: -11.79%
• Verdict: UNDERPRICED
• Comps: 20 within 1.0 mi

Projected returns pro-forma

-3.0% appreciation · 0.18% rent growth · sell at horizon

5-year hold

• IRR: -30.3%
• Equity multiple: 0.03×
• Total profit: $-50,253
• Equity at exit: $27,584

10-year hold

• IRR: -63.1%
• Equity multiple: -0.61×
• Total profit: $-83,226
• Equity at exit: $15,995

Cash invested: $51,800 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 28 Tenant-Leaning
• State Washington: 28 Tenant-Leaning · D+8
• County: — inherits STATE
• City: — inherits STATE

Just-cause statewide (2021); Seattle layers rent control restrictions + relocation assistance; very tenant-friendly.

Methodology + full state rankings →

ZIP-level market 98023

• Rents YoY: 0.2%
• Active inventory: 234
• Price-to-rent: 7.7×

Monthly cashflow live

• Estimated rent: $2,011 high
• Mortgage (P&I): −$970
• Tax est. 1.5%: −$231 /mo · $2,775/yr
• Insurance: −$77
• HOA: −$547
• Vacancy / Maint / Mgmt: −$422
• Net cashflow: $-237

Break-even live

Break-even rent $2,311

Max offer price $150,710

Occupancy floor —

Sensitivity live

Price	-10% $-109	-5% $-173	+0% $-237	+5% $-301	+10% $-365
Rent	-10% $-396	-5% $-316	+0% $-237	+5% $-158	+10% $-78
Rate	-1.0pp $-144	-0.5pp $-190	base $-237	+0.5pp $-285	+1.0pp $-334

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: $46,250
• Closing costs: $5,550
• Reserves months: —
• Total cash needed: —

Rent comps 5 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
31736 50th Ln SW Federal Way, WA	1.0–3.0	1.0–2.0	806	$1,762	$2.19	5d	6	0.28mi
31500 33rd Pl SW Unit N202 Federal Way, WA	2.0	2.0	1064	$2,195	$2.06	20d	1	0.86mi
4301 Norpoint Way NE Tacoma, WA	2.0	2.0	1100	$2,710	$2.46	0d	1	1.11mi
4901 Fairwood Blvd NE Tacoma, WA	1.0–3.0	1.0–2.0	889	$2,168	$2.44	0d	37	1.17mi
2611 SW 333rd Pl Federal Way, WA	3.0	1.0	1050	$2,750	$2.62	7d	1	1.47mi

HOA detail condo

• Monthly dues: $547 · $6,564/yr
• Likely covers: pool
• Assessments: None detected in remarks — confirm with the listing agent.

Listing history 18 events

1. 2026-06-21
   days on market $185,000 Active 101 DOM
2. 2026-06-18
   days on market $185,000 Active 98 DOM
3. 2026-06-17
   days on market $185,000 Active 97 DOM
4. 2026-06-16
   days on market $185,000 Active 96 DOM
5. 2026-06-15
   days on market $185,000 Active 95 DOM
6. 2026-06-13
   days on market $185,000 Active 93 DOM
7. 2026-06-09
   days on market $185,000 Active 89 DOM
8. 2026-06-08
   pricedays on market $185,000 Active 88 DOM
9. 2026-06-07
   days on market $199,999 Active 87 DOM
10. 2026-06-04
    days on market $199,999 Active 84 DOM
11. 2026-06-03
    days on market $199,999 Active 83 DOM
12. 2026-06-02
    days on market $199,999 Active 82 DOM
13. 2026-06-01
    days on market $199,999 Active 81 DOM
14. 2026-05-31
    days on market $199,999 Active 80 DOM
15. 2026-03-12
    listed $199,999 Active
16. 2006-06-01
    soldstatus $84,950 Closed
17. 2006-05-17
    historical
18. 2006-03-22
    listed $86,950

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

Climate risk First Street

• 🌊 Flood 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 3/10 Moderate 7 d/yr ≥87°F today · 15 d/yr by 30 yrs out
• 💨 Wind 1/10 Low
• 🫁 Air quality 6/10 Major 8 unhealthy d/yr today · 9 by 30 yrs out

Taxation est. · year 1

• Rental income: $24,129
• − Mortgage interest: −$10,363
• − Property taxes: −$2,775
• − Insurance: −$925
• − Repairs & maintenance: −$1,930
• − Management: −$1,930
• − HOA: −$6,564
• − Depreciation: −$5,382
• Taxable loss: −$5,740
• Est. tax savings @ 24.0%: +$1,378
• After-tax cash flow: $-1,466/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.

Schools (NCES district)

• District: Federal Way School District
• NCES district ID: 5302820
• Math proficiency: 35% ▬ 0.00%
• Reading proficiency: 47% ▬ 0.00%
• Median HH income: $61,594
• Composite: 38.79/100
• National rank: #8361
• State rank: #207 of 291 in WA

Livability — Federal Way

• Score: 71/100
• State rank: #221
• US rank: #6403

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Federal Way, WA
• County: King County · 2,251,916 people
• City population: 102,067
• Metro: Seattle-Tacoma-Bellevue, WA
• Population (ZIP): 50,448
• Household income: $104,893
• Rent vs Own: 34.4% rent · 65.6% own
• Severe rent burden: 1336.0

Population outlook (King County) Hauer SSP2

• Today (2025): 2,576,485 people
• By 2030: 2,803,316 · +8.8%
• By 2040: 3,255,921 · +26.4%
• By 2050: 3,706,444 · +43.9%
• By 2075: 4,746,063 · +84.2%
• By 2100: 5,407,730 · +109.9%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Highly diverse neighborhood (Simpson 0.77)
• Race & ethnicity: White 41% Hispanic / Latino 15% Two or more races 15% Asian 15% Black 15% Pacific Islander 4% Native American 1%
• Hispanic origin (detail): Mexican 11%
• Common ancestry: Portuguese 3% Italian 3% Lithuanian 2%
• Foreign-born: 25% · Canada, South Korea, Vietnam
• Languages at home: 65% English-only · Spanish 11% Other Asian/Pacific 5% Korean 4%

Political lean MEDSL · King

• 2024 margin: Solid D (+51.7) · D 74.2% · R 22.5% · Other 3.4%
• 2008→2024 swing: +9.6pp toward D · 2008: 42.1pp · 2024: 51.7pp
• All cycles: 2024: D+51.7 2020: D+52.7 2016: D+50.4 2012: D+39.9 2008: D+42.1

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -656.22%
• Current HPI: 313.6732
• Rent YoY: ▲ 0.18%
• Metro: Seattle-Tacoma-Bellevue, WA
• State GDP YoY: ▲ 4.65%
• F500 in state: 22

Industry mix (Fortune 500 HQ in WA)

Industry	F500 HQs	Revenue
▸Retail	2	$269B
▸Technology / Retail	1	$638B
▸Technology	1	$245B
▸Telecommunications	1	$38B
▸Food / Beverage	1	$36B
▸Automotive / Trucks	1	$34B

Price history

+130.0% since first listed

4 events — show timeline

• 2026-03-12 Listed $199,999 NWMLS as Distributed by MLS Grid
• 2006-06-01 Sold (MLS) $84,950 NWMLS as Distributed by MLS Grid
• 2006-05-17 Delisted — NWMLS as Distributed by MLS Grid
• 2006-03-22 Listed $86,950 NWMLS as Distributed by MLS Grid