Cavco 77 Rolling Hills Estates Plan

Lower Frankford, PA 17015

$235,000D+

3 bd · 2.0 ba · 1,680 sqft · Built — · Manufactured · Active · 10 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,141/mo
• Mortgage (P&I): −$1,232
• Tax + insurance: −$392
• HOA: −$0
• Vac / Maint / Mgmt: −$450
• Net cashflow: $67/mo
• Annual: $804/yr
• Cap rate: 6.63%
• Cash-on-cash: 1.22%
• DSCR: 1.05
• 1% rule: 0.91%
• Cash to close: $65,800

Investor read

• This is a 3-bed/2.0-bath manufactured listed at $235k. Condition is rated excellent.
• At list price, monthly cash flow is $67 ($804/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $214k (8.9% below list).
• Only 10 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $214k (8.9% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $7k of value loss. Plan a longer hold.
• Location reads: area grade D — affects rentability + tenant quality, not the cash-flow math above.
• Big Spring SD (rural): math 39% / reading 62% proficiency, ranked #162 of 539 in PA (top 30%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Mount Rock Elem Sch (math 52% / reading 67%, grade B-, #377 of 1,518 statewide, top 28%, 327 students, 37% FRL); Big Spring Ms (math 21% / reading 59%, grade F, #257 of 512 statewide, top 52%, 593 students, 44% FRL); Big Spring Hs (math 57% / reading 24%, grade F, #255 of 437 statewide, top 60%, 739 students, 33% FRL).
• Market conditions: 188 active listings in the ZIP; solid renter incomes; 1,052 units permitted in Cumberland County in 2024 (310 in 5+ unit buildings).
• Cumberland County population projected at +17% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• Climate carrying-cost: extreme-heat days projected 7→15/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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?
• 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.