35 Skyline Dr

Sherman, CT 06784

$1,250,000A

3 bd · 2.0 ba · 2,900 sqft · Built 1982 · SingleFamily · Active · 12 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $30,000/mo
• Mortgage (P&I): −$6,555
• Tax + insurance: −$1,293
• HOA: −$0
• Vac / Maint / Mgmt: −$6,300
• Net cashflow: $15,852/mo
• Annual: $190,222/yr
• Cap rate: 21.51%
• Cash-on-cash: 54.35%
• DSCR: 3.42
• 1% rule: 2.40%
• Cash to close: $350,000

Investor read

• This is a 3-bed/2.0-bath single-family listed at $1.25M.
• At list price, monthly cash flow is $16k ($190k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($30k rent vs $1.25M).
• Only 12 days on market — expect competitive offers; lowballing is unlikely to land.
• In year one you build about $134k of equity ($9k loan paydown + $125k appreciation (10.0% local appreciation)).
• Location reads: area grade A — affects rentability + tenant quality, not the cash-flow math above.
• Sherman School District (rural): math 55% / reading 60% proficiency, ranked #87 of 192 in CT (top 45%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease; only 5% free/reduced lunch — higher-income household profile.
• Zoned schools: Sherman School (math 57% / reading 67%, grade B, #137 of 553 statewide, top 28%, 264 students, 2% FRL) — zoned schools at 2% FRL track the district average.
• Market conditions: 43 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 1,151 units permitted in Western Connecticut Planning Region in 2024 (714 in 5+ unit buildings).
• 3 sale attempts 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 (10.0% appreciation + 3.0% rent growth), your $350k cash investment doubles in ~2 years — after that, you're playing with house money.
• By year 2, paydown + projected appreciation supports a ~$215k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Questions for listing agent

• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• This sits on a lake — are riparian / water-frontage rights deeded with the parcel? Any dock permits, shoreline easements, or HOA water-use restrictions?
• What's the documented flood / surge / shoreline-erosion history here (FEMA AND non-FEMA — e.g., storm surge, creek backup, septic-field saturation)?
• Any water-quality or seasonal algae-bloom issues that affect tenant satisfaction or short-term-rental demand?
• 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.