610 SE Cesar E Chavez Blvd

Portland, OR 97214

$2,995,000B

306 bd · 289.0 ba · — sqft · Built 1943 · MultiFamily · Active · 136 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $47,373/mo
• Mortgage (P&I): −$15,706
• Tax + insurance: −$4,992
• HOA: −$0
• Vac / Maint / Mgmt: −$9,948
• Net cashflow: $16,727/mo
• Annual: $200,723/yr
• Cap rate: 12.99%
• Cash-on-cash: 23.94%
• DSCR: 2.06
• 1% rule: 1.58%
• Cash to close: $838,600

Investor read

• This is a 17 × 18-bed/17.0-bath units multifamily listed at $3.00M.
• At list price, monthly cash flow is $17k ($201k/yr) — positive. Per door: $984/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($47k rent vs $3.00M).
• It's been on market 136 days — a 12% lower offer ($2.64M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $2.64M (12.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $21k of loan paydown is wiped out by about $90k of value loss. Plan a longer hold.
• Location reads 77/100 on livability (#72 in OR, #3,256 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, commute A+, health & safety A+; Watch: crime F, cost of living F.
• Portland SD 1J (urban): math 46% / reading 58% proficiency, ranked #23 of 183 in OR (top 13%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Glencoe Elementary School (394 students, 18% FRL); Mt Tabor Middle School (606 students, 15% FRL); Franklin High School (1,966 students, 37% FRL).
• Watch-outs: built in 1943 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents rising (+1.3%/yr); 126 active listings in the ZIP; solid renter incomes; 2,041 units permitted in Multnomah County in 2024 (905 in 5+ unit buildings).
• Multnomah County population projected at +33% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 5 sale attempts since 3y 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.
• At projected returns (-3.0% appreciation + 1.3% rent growth), your $839k cash investment doubles in ~6 years — after that, you're playing with house money.
• Cap rate 13.0% vs local median 2.2% in Portland — 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.
• At $47,373/mo this rent would consume 652% of the median local household income ($87k/yr) (locally 1946% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• It's been on market 136 days. Have you received any prior offers? Is the seller open to a 12% 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?
• Built in 1943 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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?
• 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.