601 Woodlawn Dr #23

Fairfield Bay, AR 72088

$89,900D-

2 bd · 2.0 ba · 1,300 sqft · Built 1986 · Condo · Active · 89 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $981/mo
• Mortgage (P&I): −$471
• Tax + insurance: −$150
• HOA: −$304
• Vac / Maint / Mgmt: −$206
• Net cashflow: $-150/mo
• Annual: $-1,801/yr
• Cap rate: 4.29%
• Cash-on-cash: -7.15%
• DSCR: 0.68
• 1% rule: 1.09%
• Cash to close: $25,172

Investor read

• This is a 2-bed/2.0-bath condo listed at $90k. Condition is rated fair.
• At list price, monthly cash flow is $-150 ($-2k/yr) — negative.
• To cash-flow at today's rent, offer at most $68k (24.2% below list).
• Meets the 1% rule at list price ($981 rent vs $90k).
• It's been on market 89 days — a 6% lower offer ($85k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $68k (24.2% below list) — sets the bar for cash-flow.
• In year one you build about $194 of equity ($622 loan paydown + $-428 appreciation (-0.5% local appreciation)).
• Location reads 62/100 on livability (#220 in AR) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, crime B; Watch: employment D+, amenities F, commute F.
• Shirley School District (rural): math 44% / reading 42% proficiency, ranked #132 of 245 in AR (top 54%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 73% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Shirley Elementary School (math 12% / reading 12%, grade F, #419 of 454 statewide, top 93%, 180 students, 100% FRL); Shirley High School (math 22% / reading 32%, grade F, #164 of 292 statewide, top 61%, 139 students, 100% FRL) — zoned schools average 100% FRL vs 73% district-wide (27 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Zoned-school proficiency averages 20% at this address vs 43% district-wide (-24 pts) — the specific schools serving this property underperform the Shirley School District average; the district grade overstates school quality for this exact location.
• Watch-outs: HOA is 31% of rent.
• Market conditions: 319 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 16 units permitted in Van Buren County in 2024 (0 in 5+ unit buildings).
• Van Buren County population projected at -27% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 3 sale attempts since 8y ago; this cycle's ask has dropped $24k (21%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Cap rate 4.3% vs local median 3.1% in Fairfield Bay — 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 89 days. Have you received any prior offers? Is the seller open to a 24% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• Any open or pending special assessments — roof, HVAC, plumbing, elevator, façade? What's the per-unit balance and payoff schedule, and is the seller paying it off at close or rolling it to the buyer?
• 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 F-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?

Repairs flagged (vision-AI assessment)

• Major: Paint — Paint is faded and needs repainting
• Moderate: Siding — Siding appears weathered and may need repainting or replacement