850 Athens Dr · Raleigh, NC 27606

$639,000

9 bd · 3.0 ba · 2,720 sqft · MultiFamily public records · 34 Days on market

Built 1965 0.55 ac lot

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Why this score? — see what drove the D grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Cash flow +13.7/30.0
• ARV discount +7.5/15.0
• Schools +4.9/10.0
• Livability +4.2/5.0
• DSCR +4.1/10.0
• Rent growth +3.0/5.0
• 1% rule +2.9/10.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Multi-family units

County records classify this as Multi-Family (2-4 Unit). Listing-text estimate: 3 units. confirmed

Listing remarks

Rare opportunity for a classic brick 3-unit apartment building near downtown Raleigh and NC State University. Located on a 0.55 acre lot zoned R6. The building features two 3 bedroom, 1 bath units and one 2 bedroom, 1 bath unit. The 2 bed unit is currently empty to allow for showings with an asking price of $1200/month. Left unit (850) rents for $1350 & expires 1/31/2027. Right unit (854) rents for $1260 & expires 8/31/2026. Upside for the new owner includes possible redevelopment, light renovation of existing units to increase rent, and building an ADU, pending city approval and land use requirements. Or new investors have a chance to live in the empty unit while building equit

Key facts

• 0.55 acre lot
• Zoned r6
• Building an adu

Tags

• 0.55 ACRE LOT
• ZONED R6
• POSSIBLE REDEVELOPMENT
• LIGHT RENOVATION
• BUILDING AN ADU

Property features AI

Finance

• Other: Property located in Wake County, postal code 27606
• HOA & community: No association

Exterior

• Parking: Open parking with 6 spaces
• Utilities: Public water; Public sewer
• Home design: Triplex; Single-story (one level)
• Construction: Brick construction
• Exterior features: Shingle roof; Approximately 0.55-acre lot; Zoned R-6; Public maintained road access

Interior

• Kitchen: Range; Microwave; Refrigerator; Stainless steel appliances
• Bedrooms: 8 bedrooms (all on the main level)
• Flooring: Hardwood; Tile
• Bathrooms: 3 full bathrooms
• Heating & cooling: Electric heating; Radiant floor heating; Window unit cooling
• Interior features: Electric water heater; Microwave; Range; Refrigerator; Stainless steel appliances
• Laundry & utility: Electric water heater

What this means for you Summary

Snapshot

• This is a 3 × 3-bed/?-bath units multifamily listed at $639k.

Deal economics

• At list price, monthly cash flow is $48 ($576/yr) — positive. Per door: $16/mo.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $504k (21.2% below list).
• Recommended offer: $504k (21.2% below list) — sets the bar for 1% rule.
• Cap rate 6.4% vs local median 2.7% in Raleigh — 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.

Location & tenants

• Location reads 83/100 on livability (#10 in NC, #1,028 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, commute A+, housing A+; Watch: crime F.
• Wake County Schools (suburban): math 52% / reading 60% proficiency, ranked #35 of 178 in NC (top 20%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Farmington Woods Elementary (math 52% / reading 59%, grade C, #293 of 1,410 statewide, top 21%, 623 students, 34% FRL); Martin Middle (math 53% / reading 66%, grade B, #48 of 475 statewide, top 11%, 958 students, 28% FRL); Athens Drive High (math 65% / reading 69%, grade B, #142 of 535 statewide, top 28%, 2,062 students, 45% FRL).
• Market conditions: Rents rising (+1.9%/yr); 235 active listings in the ZIP; solid renter incomes; 15,249 units permitted in Wake County in 2024 (5,568 in 5+ unit buildings).
• At $5,037/mo this rent would consume 77% of the median local household income ($78k/yr) (locally 3612% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $4k of loan paydown is wiped out by about $19k of value loss. Plan a longer hold.
• Wake County population projected at +51% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.

Negotiation context

• It's been on market 34 days — a 3% lower offer ($620k) is reasonable based on typical stale-listing flexibility.
• Current owner paid $320k; list at $639k implies a 100% gain — meaningful room to come down on a strong offer.

Risks & watch-outs

• Climate carrying-cost: major wind risk, 62% chance of damaging wind over 30y; extreme-heat days projected 7→17/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $503,700 (21.2% below list)

Questions for the listing agent

1. It's been on market 34 days. Have you received any prior offers? Is the seller open to a 21% concession, seller financing, or rate buy-down credit?
2. Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
3. What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
4. Built in 1965 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
5. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
6. 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?
7. 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?
8. 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?
9. 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.
10. 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.
11. 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.

Investment metrics

• 1% rule: 0.79% ✗
• Cap rate: 6.38%
• Cash-on-cash: 0.32%
• DSCR: 1.01
• GRM: 10.6

CMA / ARV

No comps found within radius.

Projected returns pro-forma

-3.0% appreciation · 1.85% rent growth · sell at horizon

5-year hold

• IRR: -17.0%
• Equity multiple: 0.40×
• Total profit: $-106,474
• Equity at exit: $95,277

10-year hold

• IRR: -11.0%
• Equity multiple: 0.37×
• Total profit: $-112,788
• Equity at exit: $55,249

Cash invested: $178,920 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 85 Strongly Landlord-Friendly
• State North Carolina: 85 Strongly Landlord-Friendly · R+3
• County: — inherits STATE
• City: — inherits STATE

10-day notice; preempted; landlord-favorable but court speed varies.

Methodology + full state rankings →

ZIP-level market 27606

• Rents YoY: 1.9%
• Active inventory: 235
• Price-to-rent: 31.7×

Monthly cashflow live

• Estimated rent: $5,037 high
• Mortgage (P&I): −$3,351
• Tax from tax record: −$314 /mo · $3,768/yr
• Insurance: −$266
• HOA: −$0
• Vacancy / Maint / Mgmt: −$1,058
• Net cashflow: $48

Break-even live

Break-even rent $4,976

Max offer price $639,000

Occupancy floor 94%

Sensitivity live

Price	-10% $410	-5% $229	+0% $48	+5% $-133	+10% $-314
Rent	-10% $-350	-5% $-151	+0% $48	+5% $247	+10% $446
Rate	-1.0pp $370	-0.5pp $210	base $48	+0.5pp $-118	+1.0pp $-286

3-unit breakdown (identical units grouped — click to expand)

Units	Beds	Baths	Est. rent
▸ 3× units	3	—	$5,037
Total (3 units)			$5,037

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $159,750
• Closing costs: $19,170
• Reserves months: —
• Total cash needed: —

Listing history 18 events

1. 2026-06-21
   days on market $639,000 Active 34 DOM
2. 2026-06-18
   days on market $639,000 Active 31 DOM
3. 2026-06-17
   days on market $639,000 Active 30 DOM
4. 2026-06-16
   days on market $639,000 Active 29 DOM
5. 2026-06-15
   days on market $639,000 Active 28 DOM
6. 2026-06-13
   days on market $639,000 Active 26 DOM
7. 2026-06-13
   days on market $639,000 Active 25 DOM
8. 2026-06-10
   price $639,000 Active 22 DOM
9. 2026-06-09
   days on market $659,000 Active 22 DOM
10. 2026-06-08
    days on market $659,000 Active 21 DOM
11. 2026-06-07
    days on market $659,000 Active 20 DOM
12. 2026-06-05
    days on market $659,000 Active 17 DOM
13. 2026-06-03
    days on market $659,000 Active 16 DOM
14. 2026-06-02
    days on market $659,000 Active 15 DOM
15. 2026-06-01
    days on market $659,000 Active 14 DOM
16. 2026-05-31
    days on market $659,000 Active 13 DOM
17. 2026-05-15
    listed $659,000 Active
18. 2017-03-31
    soldstatus $320,000

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Tax reassessment forecast NC · Resets to sale price

• Current annual tax: $3,768 · $314/mo
• Projected year-2 tax: $5,240 · $437/mo
• Expected delta: +$1,472/yr (+$123/mo · 39.1%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

• 🌊 Flood 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 2/10 Low
• 🌡 Heat 6/10 Major 7 d/yr ≥104°F today · 17 d/yr by 30 yrs out
• 💨 Wind 6/10 Major 62% chance of damaging wind over 30 yrs
• 🫁 Air quality 3/10 Moderate 2 unhealthy d/yr today · 2 by 30 yrs out

Taxation est. · year 1

• Rental income: $60,444
• − Mortgage interest: −$35,794
• − Property taxes: −$3,768
• − Insurance: −$3,195
• − Repairs & maintenance: −$4,836
• − Management: −$4,836
• − Depreciation: −$18,589
• Taxable loss: −$10,573
• Est. tax savings @ 24.0%: +$2,538
• After-tax cash flow: $3,113/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Schools (NCES district)

• District: Wake County Schools
• NCES district ID: 3704720
• Math proficiency: 52% ▲ 2.00%
• Reading proficiency: 60% ▲ 4.00%
• Median HH income: $67,509
• Composite: 49.41/100
• National rank: #2010
• State rank: #35 of 178 in NC

Livability — Raleigh

• Score: 83/100
• State rank: #10
• US rank: #1028

Category grades

Amenities A+ Commute A+ Cost of living C+ Crime F Employment B Housing A+ Health & safety A+ User ratings D

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Raleigh, NC
• County: Wake County · 1,216,256 people
• City population: 569,344
• Metro: Raleigh-Cary, NC
• Population (ZIP): 45,444
• Household income: $78,371
• Rent vs Own: 62.2% rent · 37.8% own
• Severe rent burden: 3612.0

Population outlook (Wake County) Hauer SSP2

• Today (2025): 1,293,152 people
• By 2030: 1,428,223 · +10.4%
• By 2040: 1,698,188 · +31.3%
• By 2050: 1,955,807 · +51.2%
• By 2075: 2,520,273 · +94.9%
• By 2100: 2,893,335 · +123.7%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Diverse neighborhood (Simpson 0.58)
• Race & ethnicity: White 61% Black 16% Asian 10% Hispanic / Latino 8% Two or more races 5%
• Hispanic origin (detail): Mexican 3% Puerto Rican 1%
• Common ancestry: Slovak 3% Romanian 3% Italian 2%
• Foreign-born: 20% · Canada, China, Vietnam
• Languages at home: 76% English-only · Spanish 7% Other Indo-European 5% Arabic 4%

Political lean MEDSL · Wake

• 2024 margin: Strong D (+25.5) · D 61.9% · R 36.4% · Other 1.7%
• 2008→2024 swing: +11.1pp toward D · 2008: 14.4pp · 2024: 25.5pp
• All cycles: 2024: D+25.5 2020: D+26.4 2016: D+20.5 2012: D+10.2 2008: D+14.4

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -344.41%
• Current HPI: 253.2106
• Rent YoY: ▲ 1.85%
• Metro: Raleigh-Cary, NC
• State GDP YoY: ▲ 3.28%
• F500 in state: 26

Industry mix (Fortune 500 HQ in NC)

Industry	F500 HQs	Revenue
▸Financial Services	2	$213B
▸Retail	2	$95B
▸Industrial Conglomerate	1	$38B
▸Metals / Steel	1	$35B
▸Utilities	1	$30B
▸Industrial Machinery	1	$19B

Price history

+105.9% since first listed

2 events — show timeline

• 2026-05-15 Listed $659,000 TMLS
• 2017-03-31 Sold (Public Records) $320,000 Public Records

Property tax history

+4.8%/yr

Latest (2025): $3,768 · +0.4% YoY. Source: county tax records.