Roosevelt Plan

Captains Cove, VA 23356

$372,990F

4 bd · 2.5 ba · 2,551 sqft · Built — · SingleFamily · Active · 425 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,400/mo
• Mortgage (P&I): −$2,544
• Tax + insurance: −$809
• HOA: −$0
• Vac / Maint / Mgmt: −$504
• Net cashflow: $-1,457/mo
• Annual: $-17,485/yr
• Cap rate: 2.69%
• Cash-on-cash: -12.87%
• DSCR: 0.43
• 1% rule: 0.49%
• Cash to close: $135,857

Investor read

• This is a 4-bed/2.5-bath single-family listed at $373k.
• At list price, monthly cash flow is $-1k ($-17k/yr) — negative.
• To cash-flow at today's rent, offer at most $274k (26.4% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $240k (35.7% below list).
• It's been on market 425 days — a 12% lower offer ($328k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $240k (35.7% below list) — sets the bar for 1% rule.
• In year one you build about $9k of equity ($3k loan paydown + $6k appreciation (1.2% local appreciation)).
• Location reads 63/100 on livability (#371 in VA) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A-, housing A-; Watch: schools F, amenities F, commute F.
• Accomack County Public School District (rural): math 44% / reading 59% proficiency, ranked #99 of 131 in VA (top 76%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease; 63% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: 309 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 181 units permitted in Accomack County in 2024 (0 in 5+ unit buildings).
• Accomack County population projected at -14% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• By year 4, paydown + projected appreciation supports a ~$33k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Cap rate 2.7% vs local median 3.5% in Captains Cove — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.

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 425 days. Have you received any prior offers? Is the seller open to a 36% 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.
• Schools are F-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• 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.