3388 Buffalo Mtn Rd

Meadows of Dan, VA 24380

$45,900B+

2 bd · 2.0 ba · 700 sqft · Built 1980 · SingleFamily · Pending

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $813/mo
• Mortgage (P&I): −$241
• Tax + insurance: −$36
• HOA: −$0
• Vac / Maint / Mgmt: −$171
• Net cashflow: $366/mo
• Annual: $4,393/yr
• Cap rate: 15.86%
• Cash-on-cash: 34.18%
• DSCR: 2.52
• 1% rule: 1.77%
• Cash to close: $12,852

Investor read

• This is a 2-bed/2.0-bath single-family listed at $46k.
• At list price, monthly cash flow is $366 ($4k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($813 rent vs $46k).
• Only 0 days on market — expect competitive offers; lowballing is unlikely to land.
• In year one you build about $4k of equity ($317 loan paydown + $4k appreciation (7.7% local appreciation)).
• Location reads: area grade B — affects rentability + tenant quality, not the cash-flow math above.
• Floyd County Public School District (rural): math 56% / reading 70% proficiency, ranked #51 of 131 in VA (top 39%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Willis Elementary (math 57% / reading 77%, grade B+, #381 of 1,108 statewide, top 36%, 175 students, 74% FRL); Floyd County High (math 59% / reading 74%, grade B, #195 of 319 statewide, top 62%, 701 students, 74% FRL) — zoned schools average 74% FRL vs 39% district-wide (35 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 34 active listings in the ZIP; 69 units permitted in Floyd County in 2024 (0 in 5+ unit buildings).
• Floyd County population projected to shrink 3% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• At projected returns (7.7% appreciation + 3.0% rent growth), your $13k cash investment doubles in ~2 years — after that, you're playing with house money.
• By year 8, paydown + projected appreciation supports a ~$31k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Cap rate 15.9% vs local median 1.4% in Meadows of Dan — 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

• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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.