1471 Mud Pike Rd NW

Christiansburg, VA 24073

$344,900D-

3 bd · 2.0 ba · 1,800 sqft · Built 1972 · SingleFamily · Active · 108 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,938/mo
• Mortgage (P&I): −$1,809
• Tax + insurance: −$283
• HOA: −$0
• Vac / Maint / Mgmt: −$407
• Net cashflow: $-560/mo
• Annual: $-6,721/yr
• Cap rate: 4.34%
• Cash-on-cash: -6.96%
• DSCR: 0.69
• 1% rule: 0.56%
• Cash to close: $96,572

Investor read

• This is a 3-bed/2.0-bath single-family listed at $345k.
• At list price, monthly cash flow is $-560 ($-7k/yr) — negative.
• To cash-flow at today's rent, offer at most $246k (28.7% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $194k (43.8% below list).
• It's been on market 108 days — a 9% lower offer ($314k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $194k (43.8% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $10k of value loss. Plan a longer hold.
• Location reads 81/100 on livability (#53 in VA, #1,452 nationally) — a professional / high-income tenant draw. Strengths: cost of living A+, housing A+, commute A-; Watch: amenities F.
• Montgomery County Public School District (urban): math 57% / reading 70% proficiency, ranked #47 of 131 in VA (top 36%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Christiansburg Elementary (math 59% / reading 68%, grade B, #460 of 1,108 statewide, top 42%, 407 students, 41% FRL); Christiansburg Middle (math 38% / reading 63%, grade C, #226 of 342 statewide, top 67%, 752 students, 44% FRL); Christiansburg High (math 79% / reading 77%, grade A-, #80 of 319 statewide, top 25%, 1,116 students, 41% FRL).
• Market conditions: Rents rising (+1.1%/yr); 250 active listings in the ZIP; 1 comparable units currently listed for rent nearby; solid renter incomes; 323 units permitted in Montgomery County in 2024 (0 in 5+ unit buildings).
• Montgomery County population projected at +13% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• Climate carrying-cost: major flood risk — expect insurance premiums to compound above CPI over the hold.
• This rent runs 30% of the median local income ($77k/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?
• It's been on market 108 days. Have you received any prior offers? Is the seller open to a 44% concession, seller financing, or rate buy-down credit?
• Built in 1972 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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.
• Schools are A-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
• 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.