7 3rd St #7 · Madison, CT 06443

$164,900

1 bd · 1.0 ba · 441 sqft · SingleFamily · 64 Days on market

Built 1958 Good condition 6.00 ac lot $374/sqft · 9% below area Est $182k · 9% under

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Why this score? — see what drove the B- 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 +25.3/30.0
• ARV discount +11.7/15.0
• DSCR +8.3/10.0
• 1% rule +6.6/10.0
• Schools +6.6/10.0
• Condition / age +3.8/5.0
• Rent growth +2.5/5.0
• Livability +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks MLS

Tucked away like a hidden jewel at the shoreline, this storybook beach cottage captures the charm of coastal living.Approached by a classic brick landing, this cottage welcomes you with beachy curb appeal and a sense of relaxed living. Bathed in natural light and thoughtfully updated, this delightful retreat offers a warm and inviting interior designed for effortless living. Every detail reflects comfort and charm, creating the perfect escape for weekend getaways,or entire summer living. This cottage is located in a vintage beach community nestled on leased land ( each cottage is set on a small plot)located in the picturesque coastal town of Madison Ct. This unique village is situated on 6 acres adjacent to the sandy stretch of Long Island Sounds Hammonassett State Park, Salt Meadow Park (includes dog park) & the Greenway trail. Upon entering you'll find a modern open floor plan with vaulted ceilings. The exterior delights with a huge private deck for entertaining or a peaceful place to dream while reading a favorite book.Cottage offers a huge shed in addition to a private gravel driveway.Since the Land is leased a mortgage is not an option financing must be cash.No motorcycles, trailers , renting or Air bnb. Subject to rules and regulations of land owner. Must be approved by landowner through application.Land lease, taxes, and garbage removal approximately $6600 a year As a resident you have access to Madison Town Beaches for a modest yearly charge.

Key facts

• Natural light
• Huge private deck
• 6 acre lot

Tags

• CLASSIC BRICK WALKWAY
• NATURAL LIGHT
• HUGE PRIVATE DECK
• PRIVATE GRAVEL DRIVEWAY
• ACCESS TO MADISON TOWN BEACHES

What this means for you Summary

Snapshot

• This is a 1-bed/1.0-bath single-family listed at $165k. Condition is rated good.

Deal economics

• At list price, monthly cash flow is $-54 ($-645/yr) — negative.
• To cash-flow at today's rent, offer at most $157k (4.7% below list).
• Meets the 1% rule at list price ($2k rent vs $165k).
• Recommended offer: $155k (6.0% below list) — sets the bar for market timing.

Location & tenants

• Location reads: area grade B — affects rentability + tenant quality, not the cash-flow math above.
• Madison School District (suburban): math 69% / reading 75% proficiency, ranked #10 of 153 in CT (top 6%) — strong family-tenant draw, lease renewals of 3-5y typical; only 3% free/reduced lunch — higher-income household profile.
• Market conditions: 105 active listings in the ZIP; 1,059 units permitted in South Central Connecticut Planning Region in 2024 (779 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $5k of value loss. Plan a longer hold.

Negotiation context

• It's been on market 64 days — a 6% lower offer ($155k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Watch-outs: flood insurance adds $427/mo; built in 1958 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: in FEMA flood zone AE (mandatory federal flood insurance); severe wind risk, 80% chance of damaging wind over 30y; extreme-heat days projected 7→18/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $155,006 (6.0% below list)

Questions for the listing agent

1. 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?
2. It's been on market 64 days. Have you received any prior offers? Is the seller open to a 6% concession, seller financing, or rate buy-down credit?
3. Built in 1958 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
4. What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
5. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
6. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
7. 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.
8. 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.
9. 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: 1.16% ✓
• Cap rate: 9.01%
• Cash-on-cash: 9.69%
• DSCR: 1.43
• GRM: 7.2

CMA / ARV

• ARV (median comp): $181,899
• List price: $164,900
• Delta: -9.35%
• Verdict: FAIR
• Comps: 16 within 1.0 mi

Show comp detail 5 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
28 1st St	0.04mi	1/1.0	470 (+7%)	9mo	$187,000	$398	80
20 First St	0.05mi	1/1.0	410 (-7%)	9mo	$141,500	$345	78
25 1st St	0.02mi	1/1.0	468 (+6%)	22mo	$185,000	$395	70
4 3rd St	0.02mi	1/1.0	400 (-9%)	19mo	$160,000	$400	68
48 East St	0.10mi	2/1.0 (+1)	480 (+9%)	9mo	$182,000	$379	68

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: -18.4%
• Equity multiple: 0.35×
• Total profit: $-29,853
• Equity at exit: $24,587

10-year hold

• IRR: -10.3%
• Equity multiple: 0.37×
• Total profit: $-29,221
• Equity at exit: $14,258

Cash invested: $46,172 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 27 Tenant-Leaning
• State Connecticut: 27 Tenant-Leaning · D+7
• County: — inherits STATE
• City: — inherits STATE

Strong tenant statutes; rent commissions in some towns; courts slow especially in cities.

Methodology + full state rankings →

ZIP-level market 06443

• Active inventory: 105
• Price-to-rent: 7.2×

Monthly cashflow live

• Estimated rent: $1,914 medium
• Mortgage (P&I): −$865
• Tax est. 1.5%: −$206 /mo · $2,474/yr
• Insurance: −$69
• Flood insurance flood zone: −$427 /mo · $5,118/yr
• HOA: −$0
• Vacancy / Maint / Mgmt: −$402
• Net cashflow: $-54

Break-even live

Break-even rent $1,982

Max offer price $157,123

Occupancy floor 98%

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: $41,225
• Closing costs: $4,947
• Reserves months: —
• Total cash needed: —

Listing history 15 events

1. 2026-06-18
   days on market $164,900 Active 64 DOM
2. 2026-06-17
   days on market $164,900 Active 63 DOM
3. 2026-06-16
   days on market $164,900 Active 62 DOM
4. 2026-06-15
   days on market $164,900 Active 61 DOM
5. 2026-06-13
   days on market $164,900 Active 59 DOM
6. 2026-06-12
   days on market $164,900 Active 58 DOM
7. 2026-06-09
   days on market $164,900 Active 55 DOM
8. 2026-06-08
   days on market $164,900 Active 54 DOM
9. 2026-06-07
   days on market $164,900 Active 53 DOM
10. 2026-06-04
    days on market $164,900 Active 49 DOM
11. 2026-06-02
    days on market $164,900 Active 48 DOM
12. 2026-06-01
    days on market $164,900 Active 47 DOM
13. 2026-05-31
    days on market $164,900 Active 46 DOM
14. 2026-05-31
    days on market $164,900 Active 45 DOM
15. 2026-04-15
    listed $164,900 Active 1478-char remark

    Show marketing remark (1478 chars)

    Tucked away like a hidden jewel at the shoreline, this storybook beach cottage captures the charm of coastal living.Approached by a classic brick landing, this cottage welcomes you with beachy curb appeal and a sense of relaxed living. Bathed in natural light and thoughtfully updated, this delightful retreat offers a warm and inviting interior designed for effortless living. Every detail reflects comfort and charm, creating the perfect escape for weekend getaways,or entire summer living. This cottage is located in a vintage beach community nestled on leased land ( each cottage is set on a small plot)located in the picturesque coastal town of Madison Ct. This unique village is situated on 6 acres adjacent to the sandy stretch of Long Island Sounds Hammonassett State Park, Salt Meadow Park (includes dog park) & the Greenway trail. Upon entering you'll find a modern open floor plan with vaulted ceilings. The exterior delights with a huge private deck for entertaining or a peaceful place to dream while reading a favorite book.Cottage offers a huge shed in addition to a private gravel driveway.Since the Land is leased a mortgage is not an option financing must be cash.No motorcycles, trailers , renting or Air bnb. Subject to rules and regulations of land owner. Must be approved by landowner through application.Land lease, taxes, and garbage removal approximately $6600 a year As a resident you have access to Madison Town Beaches for a modest yearly charge.

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

Climate risk First Street

• 🌊 Flood 6/10 Major FEMA zone AE · 54% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 6/10 Major 7 d/yr ≥92°F today · 18 d/yr by 30 yrs out
• 💨 Wind 8/10 Severe 80% chance of damaging wind over 30 yrs
• 🫁 Air quality 5/10 Major 5 unhealthy d/yr today · 8 by 30 yrs out

Taxation est. · year 1

• Rental income: $22,973
• − Mortgage interest: −$9,237
• − Property taxes: −$2,474
• − Insurance: −$5,943
• − Repairs & maintenance: −$1,838
• − Management: −$1,838
• − Depreciation: −$4,797
• Taxable loss: −$3,153
• Est. tax savings @ 24.0%: +$757
• After-tax cash flow: $112/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.

Condition & rehab AI · 0 photos

Good 75/100 Cosmetic rehab

This charming beach cottage in Madison CT is in good condition with minimal maintenance needed. It offers a perfect blend of coastal charm and modern updates, making it an ideal investment for both resale and rental.

Value-add opportunities

• Both Paint exterior brick — Enhances curb appeal and adds value
• Both Clean and maintain gutters — Keeps home dry and prevents water damage

Renovation cost estimate screening

Value-add ROI direction

• Both Paint exterior brick — Enhances curb appeal and adds value ↑
• Both Clean and maintain gutters — Keeps home dry and prevents water damage ↑

ⓘ Cost ranges are severity-bucket heuristics (US national rule-of-thumb). Get contractor quotes + a written scope before underwriting a rehab budget.

Schools (NCES district)

• District: Madison School District
• NCES district ID: 0902280
• Math proficiency: 69% ▲ 1.00%
• Reading proficiency: 75% ▲ 2.00%
• Median HH income: $103,788
• Composite: 66.15/100
• National rank: #435
• State rank: #10 of 153 in CT

Livability — Madison

No livability data for this city. (Only ~50 U.S. cities are tracked.)

Census & demographics

• Population (ZIP): 17,577

Population outlook (South Central Connecticut County) Hauer SSP2

• By 2040: 608,362

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (88%)
• Race & ethnicity: White 88% Two or more races 5% Asian 4% Hispanic / Latino 3%
• Common ancestry: Romanian 5% Lithuanian 3% Slovak 2%
• Foreign-born: 9% · Canada, China
• Languages at home: 92% English-only · Other Indo-European 2% Spanish 2% German/W. Germanic 1%

Political lean MEDSL · South Central Connecticut

• 2024 margin: Strong D (+20.1) · D 59.0% · R 38.9% · Other 2.1%
• All cycles: 2024: D+20.1

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -375.58%
• Current HPI: 242.8467
• Rent YoY: —
• Metro: —
• State GDP YoY: ▲ 1.06%
• F500 in state: 38

Industry mix (Fortune 500 HQ in CT)

Industry	F500 HQs	Revenue
▸Industrial Machinery	4	$38B
▸Insurance	3	$71B
▸Financial Services	2	$25B
▸Transportation / Logistics	2	$18B
▸Healthcare	1	$247B
▸Telecommunications	1	$55B

Price history

1 event — show timeline

• 2026-04-15 Listed $164,900 Smart MLS