20248 Highway 213 #45

Oregon City, OR 97045

$205,000B-

3 bd · 2.0 ba · 1,354 sqft · Built 2014 · Other · Pending · 21 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,449/mo
• Mortgage (P&I): −$1,075
• Tax + insurance: −$194
• HOA: −$0
• Vac / Maint / Mgmt: −$514
• Net cashflow: $666/mo
• Annual: $7,996/yr
• Cap rate: 10.19%
• Cash-on-cash: 13.93%
• DSCR: 1.62
• 1% rule: 1.19%
• Cash to close: $57,400

Investor read

• This is a 3-bed/2.0-bath other listed at $205k.
• At list price, monthly cash flow is $666 ($8k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $205k).
• It's been on market 21 days — a 2% lower offer ($202k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $202k (1.5% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $6k of value loss. Plan a longer hold.
• Location reads 87/100 on livability (#12 in OR, #271 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, commute A+, employment A+; Watch: cost of living F.
• Oregon City SD 62 (suburban): math 18% / reading 40% proficiency, ranked #40 of 58 in OR (top 69%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Beavercreek Elementary School (math 15% / reading 32%, grade F, #341 of 412 statewide, top 83%, 465 students, 30% FRL); Tumwata Middle School (math 11% / reading 37%, grade F, #115 of 128 statewide, top 90%, 654 students, 34% FRL); Oregon City Senior High School (math 17% / reading 52%, grade F, #94 of 143 statewide, top 70%, 1,931 students, 25% FRL) — zoned schools at 30% FRL track the district average.
• Market conditions: Rents rising (+1.1%/yr); 416 active listings in the ZIP; 8 comparable units currently listed for rent nearby; rentals at typical pace (median 17d on market — plan ~3-4 weeks tenant-placement turnaround); solid renter incomes; 946 units permitted in Clackamas County in 2024 (188 in 5+ unit buildings).
• Clackamas County population projected at +25% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• Cap rate 10.2% vs local median 2.7% in Oregon City — 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.

Questions for listing agent

• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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.