12458 Old Colony Dr

Marlton, MD 20772

$210,000B+

3 bd · 2.5 ba · 1,332 sqft · Built 1989 · Townhouse · Pending

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,026/mo
• Mortgage (P&I): −$1,101
• Tax + insurance: −$552
• HOA: −$0
• Vac / Maint / Mgmt: −$635
• Net cashflow: $737/mo
• Annual: $8,850/yr
• Cap rate: 10.51%
• Cash-on-cash: 15.05%
• DSCR: 1.67
• 1% rule: 1.44%
• Cash to close: $58,800

Investor read

• This is a 3-bed/2.5-bath townhouse listed at $210k.
• At list price, monthly cash flow is $737 ($9k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($3k rent vs $210k).
• Only 0 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 $6k of value loss. Plan a longer hold.
• Location reads 66/100 on livability (#224 in MD) — a middle-class / working-renter tenant base. Strengths: employment A+, housing A+; Watch: amenities F, commute F, cost of living D-.
• Prince George'S County Public Schools (suburban): math 8% / reading 24% proficiency, ranked #21 of 24 in MD (top 88%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Marlton Elementary (math 2% / reading 12%, grade F, #699 of 860 statewide, top 84%, 309 students, 62% FRL); James Madison Middle (math 4% / reading 27%, grade F, #190 of 225 statewide, top 85%, 873 students, 62% FRL); Frederick Douglass High (math 18% / reading 40%, grade F, #157 of 222 statewide, top 71%, 1,159 students, 47% FRL) — zoned schools at 57% FRL track the district average.
• Watch-outs: property tax is 2.7% of price.
• Market conditions: Rents rising fast (+9.8%/yr); 312 active listings in the ZIP; 10 comparable units currently listed for rent nearby; rentals at typical pace (median 14d on market — plan ~3-4 weeks tenant-placement turnaround); high-income renter base; 1,481 units permitted in Prince George's County in 2024 (0 in 5+ unit buildings).
• Prince George's County population projected at +18% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 2 sale attempts since 27y 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 + 8.0% rent growth), your $59k cash investment doubles in ~6 years — after that, you're playing with house money.
• Climate carrying-cost: moderate wind risk, 25% chance of damaging wind over 30y; moderate wildfire risk; extreme-heat days projected 7→16/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 10.5% vs local median 5.2% in Marlton — 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.

Questions for listing agent

• Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
• 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?
• 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.