185 Laurel Dr

Boulder Creek, CA 95006

$139,999F

None bd · None ba · — sqft · Built — · Other · Active · 1 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $0/mo
• Mortgage (P&I): −$734
• Tax + insurance: −$213
• HOA: −$0
• Vac / Maint / Mgmt: −$0
• Net cashflow: $-947/mo
• Annual: $-11,369/yr
• Cap rate: -1.83%
• Cash-on-cash: -29.00%
• DSCR: -0.29
• 1% rule: 0.00%
• Cash to close: $39,200

Investor read

• This is a other listed at $140k.
• At list price, monthly cash flow is $-947 ($-11k/yr) — negative.
• Rent doesn't cover operating costs at any purchase price — skip.
• Only 1 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-3.0%/yr); year-one equity from $968 of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
• Location reads 74/100 on livability (#139 in CA, #4,843 nationally) — a middle-class / working-renter tenant base. Strengths: employment A+, health & safety A+, crime A-; Watch: amenities F, cost of living F.
• San Lorenzo Valley Unified (rural): math 47% / reading 62% proficiency, ranked #303 of 1,400 in CA (top 22%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease; only 18% free/reduced lunch — higher-income household profile.
• Market conditions: 96 active listings in the ZIP; 224 units permitted in Santa Cruz County in 2024 (25 in 5+ unit buildings).
• Santa Cruz County population projected at +18% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 5 sale attempts since 9y ago; this cycle's ask has dropped $59k (30%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $23k; list at $140k implies a 509% gain — meaningful room to come down on a strong offer.
• Cap rate -1.8% vs local median 2.2% in Boulder Creek — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.

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