150 N Acacia

Ripon, CA 95366

$925,000D

21 bd · 12.0 ba · 3,015 sqft · Built 1917 · MultiFamily · Pending · 146 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $6,686/mo
• Mortgage (P&I): −$4,851
• Tax + insurance: −$775
• HOA: −$0
• Vac / Maint / Mgmt: −$1,404
• Net cashflow: $-344/mo
• Annual: $-4,128/yr
• Cap rate: 5.85%
• Cash-on-cash: -1.59%
• DSCR: 0.93
• 1% rule: 0.72%
• Cash to close: $259,000

Investor read

• This is a 21-bed/12.0-bath multifamily listed at $925k.
• At list price, monthly cash flow is $-344 ($-4k/yr) — negative.
• To cash-flow at today's rent, offer at most $864k (6.6% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $669k (27.7% below list).
• It's been on market 146 days — a 12% lower offer ($814k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $669k (27.7% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $6k of loan paydown is wiped out by about $28k of value loss. Plan a longer hold.
• Location reads 60/100 on livability (#579 in CA) — a middle-class / working-renter tenant base. Strengths: employment A+, housing A+, crime A; Watch: amenities F, commute F, cost of living F.
• Ripon Unified (suburban): math 46% / reading 60% proficiency, ranked #106 of 517 in CA (top 20%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Ripona Elementary (math 24% / reading 36%, grade F, #834 of 1,571 statewide, top 54%, 480 students, 48% FRL); Ripon High (math 42% / reading 62%, grade D+, #296 of 1,170 statewide, top 27%, 998 students, 28% FRL).
• Zoned-school proficiency averages 41% at this address vs 53% district-wide (-12 pts) — the specific schools serving this property underperform the Ripon Unified average; the district grade overstates school quality for this exact location.
• Watch-outs: built in 1917 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 81 active listings in the ZIP; high-income renter base; 3,779 units permitted in San Joaquin County in 2024 (0 in 5+ unit buildings).
• San Joaquin County population projected at +17% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 2 sale attempts; this cycle's ask is 37655% above the opening price — seller raised mid-cycle; expect resistance to lowballs.
• Current owner paid $278k; list at $925k implies a 233% gain — meaningful room to come down on a strong offer.
• Climate carrying-cost: major wildfire risk; extreme-heat days projected 7→16/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 5.8% vs local median 2.1% in Ripon — 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

• 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?
• It's been on market 146 days. Have you received any prior offers? Is the seller open to a 28% concession, seller financing, or rate buy-down credit?
• Built in 1917 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are A-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.