3002 Bona St

Oakland, CA 94601

$1,199,000F

10 bd · 9.0 ba · 5,148 sqft · Built 1962 · MultiFamily · Active · 183 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $5,399/mo
• Mortgage (P&I): −$6,288
• Tax + insurance: −$2,442
• HOA: −$0
• Vac / Maint / Mgmt: −$1,134
• Net cashflow: $-4,464/mo
• Annual: $-53,574/yr
• Cap rate: 1.82%
• Cash-on-cash: -15.96%
• DSCR: 0.29
• 1% rule: 0.45%
• Cash to close: $335,720

Investor read

• This is a 2 × 2-bed/1-bath units multifamily listed at $1.20M.
• At list price, monthly cash flow is $-4k ($-54k/yr) — negative. Per door: $-2k/mo.
• To cash-flow at today's rent, offer at most $466k (61.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $540k (55.0% below list).
• It's been on market 183 days — a 12% lower offer ($1.06M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $466k (61.1% below list) — sets the bar for cash-flow.
• Local home prices are declining (-3.0%/yr); year-one equity from $8k of loan paydown is wiped out by about $36k of value loss. Plan a longer hold.
• Location reads 71/100 on livability (#224 in CA) — a middle-class / working-renter tenant base. Strengths: amenities A+, commute A+, employment A+; Watch: schools C-, crime F, cost of living F.
• Oakland Unified (urban): math 27% / reading 33% proficiency, ranked #1,007 of 1,400 in CA (top 72%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 68% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: Rents rising (+3.9%/yr); 116 active listings in the ZIP; 1,742 units permitted in Alameda County in 2024 (856 in 5+ unit buildings).
• Alameda County population projected at +34% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 8 sale attempts since 32y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• Current owner paid $830k; 44% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• Cap rate 1.8% vs local median 2.4% in Oakland — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.
• At $5,399/mo this rent would consume 90% of the median local household income ($72k/yr) (locally 3603% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

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 183 days. Have you received any prior offers? Is the seller open to a 61% concession, seller financing, or rate buy-down credit?
• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• Built in 1962 — 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.
• Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?