81-302 Duplex Ln

Flat Rock, NC 24053

$1,650,000C+

None bd · None ba · 17,786 sqft · Built 1971 · MultiFamily · Active · 703 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $16,150/mo
• Mortgage (P&I): −$8,653
• Tax + insurance: −$2,750
• HOA: −$0
• Vac / Maint / Mgmt: −$3,392
• Net cashflow: $1,356/mo
• Annual: $16,269/yr
• Cap rate: 7.28%
• Cash-on-cash: 3.52%
• DSCR: 1.16
• 1% rule: 0.98%
• Cash to close: $462,000

Investor read

• This is a multifamily listed at $1.65M. Condition is rated good.
• At list price, monthly cash flow is $1k ($16k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $1.61M (2.1% below list).
• It's been on market 703 days — a 12% lower offer ($1.45M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $1.45M (12.0% below list) — sets the bar for market timing.
• In year one you build about $137k of equity ($11k loan paydown + $126k appreciation (7.6% local appreciation)).
• Location reads 65/100 on livability (#330 in NC) — a middle-class / working-renter tenant base. Strengths: crime A+, employment A+, housing A; Watch: amenities F, commute F, cost of living F.
• Patrick County Public School District (rural): math 69% / reading 77% proficiency, ranked #18 of 131 in VA (top 14%) — strong family-tenant draw, lease renewals of 3-5y typical.
• Market conditions: 28 units permitted in Patrick County in 2024 (0 in 5+ unit buildings).
• Patrick County population projected at -26% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (7.6% appreciation + 3.0% rent growth), your $462k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 2, paydown + projected appreciation supports a ~$220k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Cap rate 7.3% vs local median 1.5% in Flat Rock — 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

• It's been on market 703 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Built in 1971 — 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 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?
• 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 apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.

Repairs flagged (vision-AI assessment)

• Minor: Landscaping — Some areas of the lawn appear overgrown