407 Chester Ave

Great Falls, SC 29055

$83,000B

3 bd · 2.0 ba · 1,832 sqft · Built 1943 · SingleFamily · Active · 346 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,657/mo
• Mortgage (P&I): −$435
• Tax + insurance: −$100
• HOA: −$0
• Vac / Maint / Mgmt: −$348
• Net cashflow: $774/mo
• Annual: $9,294/yr
• Cap rate: 17.49%
• Cash-on-cash: 39.99%
• DSCR: 2.78
• 1% rule: 2.00%
• Cash to close: $23,240

Investor read

• This is a 3-bed/2.0-bath single-family listed at $83k. Condition is rated poor.
• At list price, monthly cash flow is $774 ($9k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $83k).
• It's been on market 346 days — a 12% lower offer ($73k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $73k (12.0% below list) — sets the bar for market timing.
• In year one you build about $3k of equity ($574 loan paydown + $2k appreciation (2.6% local appreciation)).
• Location reads 59/100 on livability (#244 in SC) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A-, crime B+; Watch: amenities F, commute F, employment F.
• Chester 01 (rural): math 23% / reading 34% proficiency, ranked #59 of 80 in SC (top 74%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 64% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Great Falls Elementary (math 32% / reading 32%, grade F, #369 of 597 statewide, top 64%, 348 students, 100% FRL); Great Falls High (math 21% / reading 40%, grade F, #189 of 196 statewide, top 97%, 386 students, 78% FRL) — zoned schools average 89% FRL vs 64% district-wide (24 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: built in 1943 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 59 active listings in the ZIP; lower-income renter base — watch delinquency; 269 units permitted in Chester County in 2024 (0 in 5+ unit buildings).
• Chester County population projected at -24% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 3 sale attempts since 2y 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 $15k; list at $83k implies a 453% gain — meaningful room to come down on a strong offer.
• At projected returns (2.6% appreciation + 3.0% rent growth), your $23k cash investment doubles in ~2 years — after that, you're playing with house money.
• Climate carrying-cost: major wind risk, 47% 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.
• Cap rate 17.5% vs local median 7.2% in Great Falls — 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.

Questions for listing agent

• It's been on market 346 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1943 — 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 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?
• 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.

Repairs flagged (vision-AI assessment)

• Major: Kitchen cabinets — The cabinets are visibly damaged and need to be replaced.
• Major: Kitchen countertops — The countertops are damaged and need to be replaced.
• Major: Kitchen appliances — The appliances are old and need to be replaced.
• Major: Bathroom fixtures — The fixtures are damaged and need to be replaced.
• Major: Roof — The roof appears to be in poor condition and needs to be replaced.
• Major: Siding — The siding is peeling and needs to be replaced.