Frost VE Plan

York, SC 29745

$354,999F

5 bd · 3.0 ba · 2,578 sqft · Built — · SingleFamily · Active · 30 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,504/mo
• Mortgage (P&I): −$2,038
• Tax + insurance: −$714
• HOA: −$0
• Vac / Maint / Mgmt: −$526
• Net cashflow: $-773/mo
• Annual: $-9,281/yr
• Cap rate: 4.11%
• Cash-on-cash: -7.80%
• DSCR: 0.65
• 1% rule: 0.64%
• Cash to close: $108,806

Investor read

• This is a 5-bed/3.0-bath single-family listed at $355k. Condition is rated good.
• At list price, monthly cash flow is $-773 ($-9k/yr) — negative.
• To cash-flow at today's rent, offer at most $277k (22.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $250k (29.5% below list).
• It's been on market 30 days — a 2% lower offer ($350k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $250k (29.5% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $3k of loan paydown is wiped out by about $12k of value loss. Plan a longer hold.
• Location reads 65/100 on livability (#139 in SC) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: crime F, amenities F, commute F.
• York 01 (rural): math 31% / reading 40% proficiency, ranked #41 of 80 in SC (top 51%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Hunter Street Elementary (math 52% / reading 47%, grade D, #168 of 597 statewide, top 31%, 405 students, 74% FRL); York Middle (math 21% / reading 33%, grade F, #153 of 229 statewide, top 68%, 814 students, 72% FRL); York Comprehensive High (math 39% / reading 82%, grade C+, #108 of 196 statewide, top 55%, 1,493 students, 68% FRL) — zoned schools average 71% FRL vs 54% district-wide (18 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: flood insurance adds $66/mo.
• Market conditions: 837 active listings in the ZIP; 1 comparable units currently listed for rent nearby; solid renter incomes; 2,550 units permitted in York County in 2024 (350 in 5+ unit buildings).
• York County population projected at +44% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• Climate carrying-cost: severe flood risk; moderate wind risk, 24% chance of damaging wind over 30y; extreme-heat days projected 7→15/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• This rent runs 38% of the median local income ($79k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

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?
• What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
• 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?
• 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?
• 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.