308 E 233rd St

Cleveland, MO 64734

$280,000D-

2 bd · 2.0 ba · 2,046 sqft · Built 1989 · SingleFamily · Active · 1836 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,190/mo
• Mortgage (P&I): −$1,468
• Tax + insurance: −$287
• HOA: −$0
• Vac / Maint / Mgmt: −$250
• Net cashflow: $-814/mo
• Annual: $-9,773/yr
• Cap rate: 2.80%
• Cash-on-cash: -12.47%
• DSCR: 0.45
• 1% rule: 0.43%
• Cash to close: $78,400

Investor read

• This is a 2-bed/2.0-bath single-family listed at $280k.
• At list price, monthly cash flow is $-814 ($-10k/yr) — negative.
• To cash-flow at today's rent, offer at most $136k (51.4% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $119k (57.5% below list).
• It's been on market 1836 days — a 12% lower offer ($246k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $119k (57.5% below list) — sets the bar for 1% rule.
• In year one you build about $30k of equity ($2k loan paydown + $28k appreciation (10.0% local appreciation)).
• Location reads 61/100 on livability (#431 in MO) — a middle-class / working-renter tenant base. Strengths: housing A+, employment A, cost of living A; Watch: amenities F, commute F, health & safety F.
• Midway R-I (rural): math 27% / reading 40% proficiency, ranked #201 of 324 in MO (top 62%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Midway Elem. (math 32% / reading 42%, grade F, #611 of 1,115 statewide, top 59%, 243 students, 35% FRL); Midway High (math 22% / reading 37%, grade F, #382 of 521 statewide, top 78%, 206 students, 31% FRL) — zoned schools at 33% FRL track the district average.
• Market conditions: 30 active listings in the ZIP; 588 units permitted in Cass County in 2024 (0 in 5+ unit buildings).
• Cass County population projected to shrink 3% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• 6 sale attempts since 21y ago; this cycle's ask has dropped $20k (7%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• By year 2, paydown + projected appreciation supports a ~$48k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: moderate wildfire risk — expect insurance premiums to compound above CPI over the hold.

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 1836 days. Have you received any prior offers? Is the seller open to a 57% concession, seller financing, or rate buy-down credit?
• 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?
• 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.