1100 Coalpit Branch Dr

Gate City, VA 24251

$59,000B

1 bd · 1.0 ba · 505 sqft · Built 2000 · SingleFamily · Active · 12 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,054/mo
• Mortgage (P&I): −$309
• Tax + insurance: −$98
• HOA: −$0
• Vac / Maint / Mgmt: −$221
• Net cashflow: $425/mo
• Annual: $5,101/yr
• Cap rate: 14.94%
• Cash-on-cash: 30.88%
• DSCR: 2.37
• 1% rule: 1.79%
• Cash to close: $16,520

Investor read

• This is a 1-bed/1.0-bath single-family listed at $59k. Condition is rated poor.
• At list price, monthly cash flow is $425 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $59k).
• Only 12 days on market — expect competitive offers; lowballing is unlikely to land.
• In year one you build about $540 of equity ($408 loan paydown + $132 appreciation (0.2% local appreciation)).
• Location reads 62/100 on livability (#400 in VA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, crime B; Watch: amenities F, commute F, employment F.
• Scott County Public School District (rural): math 66% / reading 73% proficiency, ranked #33 of 131 in VA (top 25%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Fort Blackmore Primary (math 70% / reading 70%, grade A-, #313 of 1,108 statewide, top 32%, 89 students, 94% FRL); Twin Springs High (math 62% / reading 62%, grade B-, #231 of 319 statewide, top 75%, 242 students, 77% FRL) — zoned schools average 86% FRL vs 48% district-wide (38 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 51 active listings in the ZIP; 22 units permitted in Scott County in 2024 (0 in 5+ unit buildings).
• Scott County population projected at -24% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (0.2% appreciation + 3.0% rent growth), your $17k cash investment doubles in ~3 years — after that, you're playing with house money.
• Climate carrying-cost: moderate wildfire risk — expect insurance premiums to compound above CPI over the hold.
• Cap rate 14.9% vs local median 4.4% in Gate 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

• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• 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?
• 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.

Repairs flagged (vision-AI assessment)

• Major: Rusty metal roof — Visible rust and potential leaks.
• Major: Weathered wooden siding — Peeling paint and overall poor condition.
• Major: Worn carpet — Significant wear and tear.
• Major: Painted walls — Visible wear and tear.
• Major: Older HVAC system — Visible wear and tear.
• Major: Decaying wooden fence — Missing sections and overall poor condition.