525 E Main St

Branford Center, CT 06405

$45,000D+

2 bd · 1.0 ba · 768 sqft · Built 1964 · Manufactured · Active · 15 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,632/mo
• Mortgage (P&I): −$236
• Tax + insurance: −$50
• HOA: −$0
• Vac / Maint / Mgmt: −$553
• Net cashflow: $1,794/mo
• Annual: $21,523/yr
• Cap rate: 54.12%
• Cash-on-cash: 170.81%
• DSCR: 8.60
• 1% rule: 5.85%
• Cash to close: $12,600

Investor read

• This is a 2-bed/1.0-bath manufactured listed at $45k.
• At list price, monthly cash flow is $2k ($22k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($3k rent vs $45k).
• It's been on market 15 days — a 2% lower offer ($44k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $44k (1.5% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $311 of loan paydown is wiped out by about $1k of value loss. Plan a longer hold.
• Location reads 81/100 on livability (#16 in CT, #1,386 nationally) — a professional / high-income tenant draw. Strengths: crime A+, health & safety A+, housing B+; Watch: commute D+, cost of living D+.
• Branford School District (suburban): math 41% / reading 52% proficiency, ranked #85 of 153 in CT (top 56%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; only 18% free/reduced lunch — higher-income household profile.
• Market conditions: Rents rising fast (+10.6%/yr); 114 active listings in the ZIP; 2 comparable units currently listed for rent nearby; solid renter incomes; 1,059 units permitted in South Central Connecticut Planning Region in 2024 (779 in 5+ unit buildings).
• 20 sale attempts since 25y ago; this cycle's ask is 114% above the opening price — seller raised mid-cycle; expect resistance to lowballs.
• Current owner paid $21k; list at $45k implies a 114% gain — meaningful room to come down on a strong offer.
• At projected returns (-3.0% appreciation + 8.0% rent growth), your $13k cash investment doubles in ~1 year — after that, you're playing with house money.
• Cap rate 54.1% vs local median 3.7% in Branford Center — 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 runs 30% of the median local income ($105k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Questions for listing agent

• Built in 1964 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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?
• 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.
• 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.