5256 Brunswick Ln

Lower Macungie, PA 18062

$170,000C-

3 bd · 2.0 ba · 1,680 sqft · Built 2004 · Land · Active · 8 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,460/mo
• Mortgage (P&I): −$891
• Tax + insurance: −$221
• HOA: −$740
• Vac / Maint / Mgmt: −$517
• Net cashflow: $91/mo
• Annual: $1,096/yr
• Cap rate: 6.94%
• Cash-on-cash: 2.30%
• DSCR: 1.10
• 1% rule: 1.45%
• Cash to close: $47,600

Investor read

• This is a 3-bed/2.0-bath land listed at $170k.
• At list price, monthly cash flow is $91 ($1k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $170k).
• Only 8 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $5k of value loss. Plan a longer hold.
• Location reads: area grade C — affects rentability + tenant quality, not the cash-flow math above.
• East Penn SD (suburban): math 43% / reading 65% proficiency, ranked #103 of 539 in PA (top 19%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease; only 17% free/reduced lunch — higher-income household profile.
• Zoned schools: Macungie El Sch (math 45% / reading 65%, grade C, #498 of 1,518 statewide, top 33%, 510 students, 29% FRL); Lower Macungie Ms (math 23% / reading 61%, grade D-, #221 of 512 statewide, top 45%, 1,043 students, 36% FRL); Emmaus Hs (math 65% / reading 24%, grade D-, #195 of 437 statewide, top 44%, 2,846 students, 24% FRL).
• Watch-outs: HOA is 30% of rent.
• Market conditions: Rents flat; 162 active listings in the ZIP; 9 comparable units currently listed for rent nearby; rentals at typical pace (median 25d on market — plan ~3-4 weeks tenant-placement turnaround); 44% of comp listings sitting > 30 days — soft ceiling on asking rent; high-income renter base; 765 units permitted in Lehigh County in 2024 (286 in 5+ unit buildings).
• Lehigh County population projected at +21% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 2 sale attempts since 4y 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.
• Current owner paid $127k; 34% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• 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

• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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.