733 Rt 121

Westminster, VT 05158

$389,000B+

35 bd · 25.0 ba · 3,460 sqft · Built 1923 · MultiFamily · Active · 44 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $5,712/mo
• Mortgage (P&I): −$2,040
• Tax + insurance: −$352
• HOA: −$0
• Vac / Maint / Mgmt: −$1,200
• Net cashflow: $2,121/mo
• Annual: $25,449/yr
• Cap rate: 12.84%
• Cash-on-cash: 23.37%
• DSCR: 2.04
• 1% rule: 1.47%
• Cash to close: $108,920

Investor read

• This is a 5 × 7-bed/5.0-bath units multifamily listed at $389k.
• At list price, monthly cash flow is $2k ($25k/yr) — positive. Per door: $424/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($6k rent vs $389k).
• It's been on market 44 days — a 3% lower offer ($377k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $377k (3.0% below list) — sets the bar for market timing.
• In year one you build about $12k of equity ($3k loan paydown + $10k appreciation (2.5% local appreciation)).
• Location reads 65/100 on livability (#59 in VT) — a middle-class / working-renter tenant base. Strengths: employment A+, housing A+, crime B; Watch: health & safety D, amenities F, commute F.
• Zoned schools: Westminster Schools (187 students, 34% FRL); Bellows Falls Union High School (math 27% / reading 37%, grade F, #29 of 48 statewide, top 68%, 318 students, 49% FRL).
• Watch-outs: built in 1923 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 15 active listings in the ZIP; 188 units permitted in Windham County in 2024 (0 in 5+ unit buildings).
• Windham County population projected at -26% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (2.5% appreciation + 3.0% rent growth), your $109k cash investment doubles in ~3 years — after that, you're playing with house money.
• 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

• It's been on market 44 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
• 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 1923 — 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 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?
• 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.