421 Cushing Rd

Cushing, ME 04563

$350,000D

3 bd · 2.0 ba · 0 sqft · Built 2006 · SingleFamily · Pending · 259 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,253/mo
• Mortgage (P&I): −$1,835
• Tax + insurance: −$355
• HOA: −$0
• Vac / Maint / Mgmt: −$263
• Net cashflow: $-1,201/mo
• Annual: $-14,409/yr
• Cap rate: 2.18%
• Cash-on-cash: -14.70%
• DSCR: 0.35
• 1% rule: 0.36%
• Cash to close: $98,000

Investor read

• This is a 3-bed/2.0-bath single-family listed at $350k.
• At list price, monthly cash flow is $-1k ($-14k/yr) — negative.
• To cash-flow at today's rent, offer at most $138k (60.6% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $125k (64.2% below list).
• It's been on market 259 days — a 12% lower offer ($308k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $125k (64.2% below list) — sets the bar for 1% rule.
• In year one you build about $25k of equity ($2k loan paydown + $22k appreciation (6.3% local appreciation)).
• Location reads: area grade D — affects rentability + tenant quality, not the cash-flow math above.
• RSU 13 (town): math 77% / reading 85% proficiency, ranked #84 of 112 in ME (top 75%) — strong family-tenant draw, lease renewals of 3-5y typical.
• Zoned schools: Cushing Community School (math 90% / reading 90%, grade A+, #42 of 294 statewide, top 17%, 72 students, 47% FRL); Oceanside Middle School (math 74% / reading 86%, grade A+, #59 of 85 statewide, top 71%, 349 students, 52% FRL); Oceanside High School (math 82% / reading 87%, grade A, #75 of 108 statewide, top 83%, 525 students, 50% FRL) — zoned schools at 50% FRL track the district average.
• Market conditions: 25 active listings in the ZIP; 160 units permitted in Knox County in 2024 (58 in 5+ unit buildings).
• Knox County population projected at -14% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 4 sale attempts; this cycle's ask has dropped $25k (7%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• By year 2, paydown + projected appreciation supports a ~$39k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wind risk, 66% chance of damaging wind over 30y — expect insurance premiums to compound above CPI over the hold.

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 259 days. Have you received any prior offers? Is the seller open to a 64% concession, seller financing, or rate buy-down credit?
• 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.
• 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.
• 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.