Barkley (Indian Oaks) Plan

Sellersburg, IN 47172

$65,995D

2 bd · 2.0 ba · 849 sqft · Built — · Manufactured · Active · 237 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,215/mo
• Mortgage (P&I): −$346
• Tax + insurance: −$110
• HOA: −$560
• Vac / Maint / Mgmt: −$255
• Net cashflow: $-56/mo
• Annual: $-671/yr
• Cap rate: 5.28%
• Cash-on-cash: -3.63%
• DSCR: 0.84
• 1% rule: 1.84%
• Cash to close: $18,479

Investor read

• This is a 2-bed/2.0-bath manufactured listed at $66k. Condition is rated poor.
• At list price, monthly cash flow is $-56 ($-671/yr) — negative.
• To cash-flow at today's rent, offer at most $58k (12.3% below list).
• Meets the 1% rule at list price ($1k rent vs $66k).
• It's been on market 237 days — a 12% lower offer ($58k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $58k (12.3% below list) — sets the bar for cash-flow.
• Local home prices are declining (-3.0%/yr); year-one equity from $456 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Location reads 73/100 on livability (#85 in IN) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, crime A-; Watch: commute D+, health & safety D+, amenities F.
• Zoned schools: Silver Creek Middle School (math 31% / reading 43%, grade F, #152 of 330 statewide, top 47%, 760 students, 33% FRL); Silver Creek High School (math 27% / reading 67%, grade D-, #143 of 369 statewide, top 44%, 935 students, 31% FRL).
• Watch-outs: HOA is 46% of rent.
• Market conditions: 149 active listings in the ZIP; 2 comparable units currently listed for rent nearby; solid renter incomes; 911 units permitted in Clark County in 2024 (133 in 5+ unit buildings).
• Clark County population projected at +17% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• Cap rate 5.3% vs local median 3.9% in Sellersburg — 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.
• This rent is only 18% of the median local income ($83k/yr) — well below the 30% rent-burden line; pricing power to push rent on renewal without tenant pushback.

Questions for listing agent

• 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?
• It's been on market 237 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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.
• Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• 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?

Repairs flagged (vision-AI assessment)

• Major: cabinets — Severe damage
• Major: roof — Significant damage
• Major: exterior siding — Severe peeling
• Major: flooring — Worn and damaged
• Major: paint — Dirty and peeling
• Major: windows — Dirty and damaged