1025 - 49 W Vermont St

Calumet Park, IL 60827

$5,880,000B-

4800 bd · 3600.0 ba · — sqft · Built 1969 · MultiFamily · Active · 16 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $77,460/mo
• Mortgage (P&I): −$30,835
• Tax + insurance: −$9,800
• HOA: −$0
• Vac / Maint / Mgmt: −$16,267
• Net cashflow: $20,558/mo
• Annual: $246,696/yr
• Cap rate: 10.49%
• Cash-on-cash: 14.98%
• DSCR: 1.67
• 1% rule: 1.32%
• Cash to close: $1,646,400

Investor read

• This is a 20×2bd/1ba + 40×1bd/1ba units multifamily listed at $5.88M. Condition is rated good.
• At list price, monthly cash flow is $21k ($247k/yr) — positive. Per door: $343/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($77k rent vs $5.88M).
• It's been on market 16 days — a 2% lower offer ($5.79M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $5.79M (1.5% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $41k of loan paydown is wiped out by about $176k of value loss. Plan a longer hold.
• Location reads 72/100 on livability (#308 in IL) — a middle-class / working-renter tenant base. Strengths: commute A+, cost of living A+, housing A+; Watch: employment C-, schools F, crime F.
• Chsd 218 (suburban): math 14% / reading 20% proficiency, ranked #454 of 620 in IL (top 73%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Market conditions: Rents rising fast (+7.8%/yr); 76 active listings in the ZIP; lower-income renter base — watch delinquency; 6,272 units permitted in Cook County in 2024 (4,658 in 5+ unit buildings).
• 11 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.
• At projected returns (-3.0% appreciation + 7.8% rent growth), your $1.65M cash investment doubles in ~6 years — after that, you're playing with house money.
• Cap rate 10.5% vs local median 6.7% in Calumet Park — 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.
• At $77,460/mo this rent would consume 2498% of the median local household income ($37k/yr) (locally 1868% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• Built in 1969 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are F-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?
• 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.

Repairs flagged (vision-AI assessment)

• Minor: kitchen cabinets — dated and could be replaced
• Minor: bathroom cabinets — dated and could be replaced
• Minor: flooring — basic carpeting could be upgraded