1135 Mission Rd · Homer, AK 99603

$225,000

3 bd · 1.0 ba · 1,309 sqft · SingleFamily public records · 244 Days on market

Built 1982 0.98 ac lot Est $431k · 48% under ↓ 47% since listing

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Why this score? — see what drove the C- grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Cash flow +15.5/30.0
• ARV discount +15.0/15.0
• DSCR +4.8/10.0
• 1% rule +4.5/10.0
• Livability +3.9/5.0
• Schools +3.7/10.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks

House and shop with views of Kachemak Bay and the mountains beyond, this cottage-style retreat offers charm, character, and potential. Cash only. Property is NOT financeable. Financed or owner-financed offers will NOT be considered. Read inspection and septic report before calling.

Key facts

• Spacious garage
• 0.98 acre lot
• 2 garage spots

Tags

• SPACIOUS GARAGE
• MASSIVE UNFINISHED BASEMENT

Property features AI

Exterior

• Parking: Detached 2-car garage; No carport
• Utilities: Road service area
• Home design: Residential property; Not attached to another unit
• Construction: Built in 1982; Wood frame construction; Shake roof
• Exterior features: Private yard; In city limits; Paved road access; Scenic view

Interior

• Kitchen: Refrigerator
• Bedrooms: 2 bedrooms
• Bathrooms: 1 full bathroom
• Heating & cooling: Wood stove heating
• Interior features: Basement; Carbon monoxide detector(s); Wood stove; Refrigerator included; Bedroom and bathroom on main level

What this means for you Summary

Snapshot

• This is a 3-bed/1.0-bath single-family listed at $225k.

Deal economics

• At list price, monthly cash flow is $91 ($1k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $214k (4.9% below list).
• Recommended offer: $198k (12.0% below list) — sets the bar for market timing.
• Cap rate 6.8% vs local median 1.8% in Homer — 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.

Location & tenants

• Location reads 77/100 on livability (#9 in AK, #2,900 nationally) — a middle-class / working-renter tenant base. Strengths: health & safety A+, housing A-, crime B+; Watch: commute F, cost of living D-.
• Kenai Peninsula Borough School District (rural): math 35% / reading 48% proficiency, ranked #8 of 21 in AK (top 38%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Homer Middle School (math 47% / reading 62%, grade B-, #1 of 36 statewide, top 3%, 178 students, 33% FRL); Homer Flex School (math 24% / reading 75%, grade D+, #10 of 61 statewide, top 15%, 36 students, 58% FRL).
• Market conditions: 244 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 152 units permitted in Kenai Peninsula Borough in 2024 (20 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $7k of value loss. Plan a longer hold.
• Kenai Peninsula County population projected at +17% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.

Negotiation context

• It's been on market 244 days — a 12% lower offer ($198k) is reasonable based on typical stale-listing flexibility.
• 7 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.

Recommended offer $198,000 (12.0% below list)

Questions for the listing agent

1. It's been on market 244 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
2. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
3. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
4. Schools are B-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
5. 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.
6. 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.
7. 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.

Investment metrics

• 1% rule: 0.95% ✗
• Cap rate: 6.78%
• Cash-on-cash: 1.73%
• DSCR: 1.08
• GRM: 8.8

CMA / ARV

• ARV (on-the-fly): $430,661
• Comps found: 3

Show comp detail 3 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
1384 Race Rd	0.34mi	2/2.0 (-1)	1,363 (+4%)	6mo	$448,000	$329	63
430 Paintbrush Ct	0.65mi	3/2.0	1,330 (+2%)	3mo	$625,000	$470	60
5731 Clearwater Dr	0.60mi	3/2.0	1,452 (+11%)	19mo	$449,000	$309	34

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

-3.0% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: -13.5%
• Equity multiple: 0.51×
• Total profit: $-30,631
• Equity at exit: $33,548

10-year hold

• IRR: -4.6%
• Equity multiple: 0.70×
• Total profit: $-19,001
• Equity at exit: $19,454

Cash invested: $63,000 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 80 Strongly Landlord-Friendly
• State Alaska: 80 Strongly Landlord-Friendly · R+8
• County: — inherits STATE
• City: — inherits STATE

30-day notice; security deposits capped; courts moderate-paced.

Methodology + full state rankings →

ZIP-level market 99603

• Home prices YoY: -24.2%
• Active inventory: 244
• Price-to-rent: 8.8×

Monthly cashflow live

• Estimated rent: $2,140 medium
• Mortgage (P&I): −$1,180
• Tax from tax record: −$327 /mo · $3,919/yr
• Insurance: −$94
• HOA: −$0
• Vacancy / Maint / Mgmt: −$449
• Net cashflow: $91

Break-even live

Break-even rent $2,026

Max offer price $225,000

Occupancy floor 91%

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $56,250
• Closing costs: $6,750
• Reserves months: —
• Total cash needed: —

Rent comps 2 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
1149 Virginia Lynn Way Homer, AK	2.0	2.0	1050	$2,000	$1.90	43d	1	1.36mi
1177 Virginia Ave Homer, AK	2.0	2.0	928	$2,300	$2.48	43d	1	1.37mi

Listing history 14 events

1. 2026-04-29
   status Pending
2. 2026-03-27
   status Active
3. 2026-03-03
   status Pending
4. 2026-03-03
   status Active
5. 2026-01-28
   status Pending
6. 2026-01-03
   status Active
7. 2025-12-17
   status Pending
8. 2025-12-03
   status Active
9. 2025-11-22
   status Pending
10. 2025-10-02
    status Active
11. 2025-09-11
    status Pending
12. 2025-05-12
    listed $225,000 Active
13. 2024-02-03
    price $419,000
14. 2023-11-27
    listed $425,000 Active

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Tax reassessment forecast AK · Partial reset (capped growth)

• Current annual tax: $3,919 · $327/mo
• Projected year-2 tax: $3,919 · $327/mo
• Expected delta: $0/yr ($0/mo · -0.0%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

• 🌊 Flood 1/10 Low FEMA zone D · 0% chance over 30 yrs
• 🫁 Air quality 1/10 Low

Taxation est. · year 1

• Rental income: $25,684
• − Mortgage interest: −$12,603
• − Property taxes: −$3,919
• − Insurance: −$1,125
• − Repairs & maintenance: −$2,055
• − Management: −$2,055
• − Depreciation: −$6,545
• Taxable loss: −$2,619
• Est. tax savings @ 24.0%: +$629
• After-tax cash flow: $1,715/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Schools (NCES district)

• District: Kenai Peninsula Borough School District
• NCES district ID: 0200390
• Math proficiency: 35% ▼ -6.00%
• Reading proficiency: 48% ▲ 1.00%
• Median HH income: $60,704
• Composite: 36.71/100
• National rank: #4594
• State rank: #8 of 21 in AK

Livability — Homer

• Score: 77/100
• State rank: #9
• US rank: #2900

Category grades

Amenities B- Commute F Cost of living D- Crime B+ Employment C Housing A- Health & safety A+ User ratings A+

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Homer, AK
• Population (ZIP): 11,557

Population outlook (Kenai Peninsula County) Hauer SSP2

• Today (2025): 63,736 people
• By 2030: 66,260 · +4.0%
• By 2040: 70,449 · +10.5%
• By 2050: 74,414 · +16.8%
• By 2075: 87,508 · +37.3%
• By 2100: 95,360 · +49.6%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (78%)
• Race & ethnicity: White 78% Two or more races 10% Native American 6% Hispanic / Latino 4% Asian 2%
• Common ancestry: Scotch-Irish 5% Italian 4% Slovak 4%
• Foreign-born: 4% · Canada, Vietnam, China
• Languages at home: 89% English-only · Russian/Polish/Slavic 4% Spanish 2% Other Asian/Pacific 1%

Political lean MEDSL · Kenai Peninsula

• 2016 margin: R (+15.2) · D 37.7% · R 52.9% · Other 9.4%
• All cycles: 2016: R+15.2

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -65.25%
• Current HPI: 204.3313
• Rent YoY: —
• Metro: —
• State GDP YoY: —
• F500 in state: 0

Price history

-47.1% since first listed

14 events — show timeline

• 2026-04-29 Pending — AKMLS
• 2026-03-27 Relisted — AKMLS
• 2026-03-03 Pending — AKMLS
• 2026-03-03 Relisted — AKMLS
• 2026-01-28 Pending — AKMLS
• 2026-01-03 Relisted — AKMLS
• 2025-12-17 Pending — AKMLS
• 2025-12-03 Relisted — AKMLS
• 2025-11-22 Pending — AKMLS
• 2025-10-02 Relisted — AKMLS
• 2025-09-11 Pending — AKMLS
• 2025-05-12 Listed $225,000 AKMLS
• 2024-02-03 Price Changed $419,000 AKMLS
• 2023-11-27 Listed $425,000 AKMLS

Property tax history

+6.8%/yr

Latest (2025): $3,919 · +2.2% YoY. Source: county tax records.