0000 S Lakewood Ter

Douglasville, GA 30135

$695,000D

9 bd · 6.0 ba · — sqft · Built 2000 · MultiFamily · Active · 108 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $6,347/mo
• Mortgage (P&I): −$3,645
• Tax + insurance: −$1,158
• HOA: −$0
• Vac / Maint / Mgmt: −$1,333
• Net cashflow: $211/mo
• Annual: $2,534/yr
• Cap rate: 6.66%
• Cash-on-cash: 1.30%
• DSCR: 1.06
• 1% rule: 0.91%
• Cash to close: $194,600

Investor read

• This is a 3 × 3-bed/2.0-bath units multifamily listed at $695k. Condition is rated fair.
• At list price, monthly cash flow is $211 ($3k/yr) — positive. Per door: $70/mo.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $635k (8.7% below list).
• It's been on market 108 days — a 9% lower offer ($632k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $632k (9.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $5k of loan paydown is wiped out by about $21k of value loss. Plan a longer hold.
• Location reads 71/100 on livability (#82 in GA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety B; Watch: crime F, amenities F.
• Douglas County (suburban): math 23% / reading 35% proficiency, ranked #92 of 174 in GA (top 53%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Arbor Station Elementary School (math 26% / reading 28%, grade F, #689 of 1,228 statewide, top 58%, 559 students, 66% FRL); Chapel Hill Middle School (math 32% / reading 47%, grade F, #147 of 470 statewide, top 33%, 1,098 students, 55% FRL); Chapel Hill High School (math 16% / reading 32%, grade F, #203 of 424 statewide, top 48%, 1,609 students, 48% FRL) — zoned schools at 56% FRL track the district average.
• Market conditions: Rents flat; 610 active listings in the ZIP; solid renter incomes; 595 units permitted in Douglas County in 2024 (72 in 5+ unit buildings).
• Douglas County population projected at +35% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• Climate carrying-cost: major wind risk, 27% chance of damaging wind over 30y; extreme-heat days projected 7→19/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 6.7% vs local median 4.5% in Douglasville — 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 $6,347/mo this rent would consume 81% of the median local household income ($95k/yr) (locally 890% 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 108 days. Have you received any prior offers? Is the seller open to a 9% 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?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• 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?
• 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)

• Minor: Kitchen appliances — The appliances may be outdated and could be replaced for a more modern look.
• Minor: Bathroom fixtures — The fixtures may be outdated and could be replaced for a more modern look.
• Minor: Exterior paint — The exterior paint appears to be in fair condition and could be refreshed for a more appealing look.
• Minor: Interior paint — The interior paint appears to be in fair condition and could be refreshed for a more appealing look.
• Minor: Landscaping — The landscaping appears to be in fair condition and could be improved with some trimming and planting.