2 bd · 2.0 ba ·
1,151 sqft ·
Built 1986
· Condo
· Active
· 78 DOM
Cashflow @ list (25.0% down · 7.5%)
Estimated rent
$1,179/mo
Mortgage (P&I)
−$496
Tax + insurance
−$139
HOA
−$215
Vac / Maint / Mgmt
−$248
Net cashflow
$82/mo
Annual
$986/yr
Cap rate
8.18%
Cash-on-cash
6.74%
DSCR
1.30
1% rule
1.25%
Cash to close
$26,460
Investor read
This is a 2-bed/2.0-bath condo listed at $94k.
At list price, monthly cash flow is $82 ($986/yr) — positive.
The deal already cash-flows at list — no discount required.
Meets the 1% rule at list price ($1k rent vs $94k).
It's been on market 78 days — a 6% lower offer ($89k) is reasonable based on typical stale-listing flexibility.
Recommended offer: $89k (6.0% below list) — sets the bar for market timing.
Local home prices are declining (-3.0%/yr); year-one equity from $653 of loan paydown is wiped out by about $3k of value loss. Plan a longer hold.
Location reads 75/100 on livability (#45 in NC, #4,031 nationally) — a middle-class / working-renter tenant base. Strengths: commute A+, cost of living A+, housing A+; Watch: crime F, employment D-.
Cumberland County Schools (urban): math 32% / reading 41% proficiency, ranked #126 of 178 in NC (top 71%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
Zoned schools: Benjamin J Martin Elementary (math 17% / reading 21%, grade F, #1,269 of 1,410 statewide, top 91%, 537 students, 99% FRL); Westover Middle (math 20% / reading 30%, grade F, #396 of 475 statewide, top 84%, 784 students, 100% FRL); Westover High (math 42% / reading 39%, grade F, #387 of 535 statewide, top 73%, 1,202 students, 100% FRL) — zoned schools average 100% FRL vs 55% district-wide (45 pts higher); higher-poverty schools than district average — tighter screening recommended.
Watch-outs: flood insurance adds $66/mo.
Market conditions: Rents rising (+3.1%/yr); 429 active listings in the ZIP; 40 comparable units currently listed for rent nearby; rentals at typical pace (median 24d on market — plan ~3-4 weeks tenant-placement turnaround); 1,125 units permitted in Cumberland County in 2024 (104 in 5+ unit buildings).
6 sale attempts since 2y 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.
Climate carrying-cost: severe flood risk; major wind risk, 74% chance of damaging wind over 30y; extreme-heat days projected 7→16/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
Cap rate 8.2% vs local median 4.9% in Fayetteville — 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
It's been on market 78 days. Have you received any prior offers? Is the seller open to a 6% concession, seller financing, or rate buy-down credit?
What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
Any open or pending special assessments — roof, HVAC, plumbing, elevator, façade? What's the per-unit balance and payoff schedule, and is the seller paying it off at close or rolling it to the buyer?
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.
Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
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.
CashFlowRE · CFR-GAM480809R40R1
· Data 2 days agocashflowre.app · 2026-05-29