527 Main St

Summerhill, PA 15958

$179,500D-

4 bd · 2.5 ba · 2,625 sqft · Built — · SingleFamily · Pending · 26 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,369/mo
• Mortgage (P&I): −$941
• Tax + insurance: −$274
• HOA: −$0
• Vac / Maint / Mgmt: −$287
• Net cashflow: $-134/mo
• Annual: $-1,609/yr
• Cap rate: 5.40%
• Cash-on-cash: -3.20%
• DSCR: 0.86
• 1% rule: 0.76%
• Cash to close: $50,260

Investor read

• This is a 4-bed/2.5-bath single-family listed at $180k.
• At list price, monthly cash flow is $-134 ($-2k/yr) — negative.
• To cash-flow at today's rent, offer at most $156k (13.2% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $137k (23.7% below list).
• It's been on market 26 days — a 2% lower offer ($177k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $137k (23.7% below list) — sets the bar for 1% rule.
• In year one you build about $12k of equity ($1k loan paydown + $11k appreciation (6.2% local appreciation)).
• Location reads 64/100 on livability (#1,207 in PA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A, employment B; Watch: amenities F, commute F, health & safety F.
• Forest Hills SD (rural): math 40% / reading 47% proficiency, ranked #293 of 539 in PA (top 54%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Forest Hills El Sch (math 43% / reading 55%, grade D, #712 of 1,518 statewide, top 47%, 957 students, 43% FRL); Forest Hills Jshs (math 37% / reading 30%, grade F, #323 of 437 statewide, top 74%, 775 students, 30% FRL) — zoned schools at 36% FRL track the district average.
• Market conditions: 3 active listings in the ZIP; 64 units permitted in Cambria County in 2024 (0 in 5+ unit buildings).
• Cambria County population projected at -28% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 2 sale attempts since 14y 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.
• Current owner paid $143k; 25% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• By year 3, paydown + projected appreciation supports a ~$31k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

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?
• 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?
• 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.