295 Cambridge Dr

Dimondale, MI 48821

$15,000D

2 bd · 1.0 ba · 980 sqft · Built 1984 · Other · Active · 15 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $823/mo
• Mortgage (P&I): −$79
• Tax + insurance: −$25
• HOA: −$0
• Vac / Maint / Mgmt: −$173
• Net cashflow: $547/mo
• Annual: $6,561/yr
• Cap rate: 50.03%
• Cash-on-cash: 156.20%
• DSCR: 7.95
• 1% rule: 5.49%
• Cash to close: $4,200

Investor read

• This is a 2-bed/1.0-bath other listed at $15k.
• At list price, monthly cash flow is $547 ($7k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($823 rent vs $15k).
• It's been on market 15 days — a 2% lower offer ($15k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $15k (1.5% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $104 of loan paydown is wiped out by about $450 of value loss. Plan a longer hold.
• Location reads 80/100 on livability (#81 in MI, #1,708 nationally) — a professional / high-income tenant draw. Strengths: crime A+, employment A+, cost of living A+; Watch: amenities F, commute F.
• Potterville Public Schools (rural): math 20% / reading 39% proficiency, ranked #359 of 540 in MI (top 66%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Potterville Elementary School (math 27% / reading 27%, grade F, #923 of 1,397 statewide, top 69%, 312 students, 56% FRL); Potterville Middle School (math 17% / reading 42%, grade F, #343 of 493 statewide, top 72%, 200 students, 56% FRL); Potterville High School (math 10% / reading 50%, grade F, #428 of 713 statewide, top 62%, 229 students, 42% FRL).
• Market conditions: 19 active listings in the ZIP; 98 units permitted in Eaton County in 2024 (0 in 5+ unit buildings).
• Eaton County population projected to shrink 5% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $4k cash investment doubles in ~1 year — after that, you're playing with house money.

Questions for listing agent

• 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.