4062 49th St

San Diego, CA 92105

$2,290,000F

9 bd · 9.0 ba · 5,190 sqft · Built 1968 · MultiFamily · Active · 233 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $16,014/mo
• Mortgage (P&I): −$12,009
• Tax + insurance: −$2,550
• HOA: −$0
• Vac / Maint / Mgmt: −$3,363
• Net cashflow: $-1,908/mo
• Annual: $-22,893/yr
• Cap rate: 5.29%
• Cash-on-cash: -3.57%
• DSCR: 0.84
• 1% rule: 0.70%
• Cash to close: $641,200

Investor read

• This is a 9 × 1-bed/1.0-bath units multifamily listed at $2.29M.
• At list price, monthly cash flow is $-2k ($-23k/yr) — negative. Per door: $-212/mo.
• To cash-flow at today's rent, offer at most $1.95M (14.7% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $1.60M (30.1% below list).
• It's been on market 233 days — a 12% lower offer ($2.02M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $1.60M (30.1% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $16k of loan paydown is wiped out by about $69k of value loss. Plan a longer hold.
• Location reads 75/100 on livability (#123 in CA, #4,206 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, commute A+, employment A+; Watch: health & safety C-, crime D+, cost of living F.
• San Diego Unified (urban): math 19% / reading 29% proficiency, ranked #393 of 517 in CA (top 76%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Market conditions: Rents rising (+2.6%/yr); 123 active listings in the ZIP; 11,759 units permitted in San Diego County in 2024 (7,244 in 5+ unit buildings).
• San Diego County population projected at +20% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 2 sale attempts 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 $195k; list at $2.29M implies a 1074% gain — meaningful room to come down on a strong offer.
• Cap rate 5.3% vs local median 2.0% in San Diego — 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.
• At $16,014/mo this rent would consume 280% of the median local household income ($69k/yr) (locally 4800% 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 233 days. Have you received any prior offers? Is the seller open to a 30% 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 1968 — 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?