165 W Railroad Ave

Craigsville, VA 24430

$94,500B+

4 bd · 1.0 ba · 1,993 sqft · Built 1876 · SingleFamily · Active · 214 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,262/mo
• Mortgage (P&I): −$496
• Tax + insurance: −$534
• HOA: −$0
• Vac / Maint / Mgmt: −$265
• Net cashflow: $-33/mo
• Annual: $-395/yr
• Cap rate: 11.72%
• Cash-on-cash: 19.39%
• DSCR: 1.86
• 1% rule: 1.34%
• Cash to close: $26,460

Investor read

• This is a 4-bed/1.0-bath single-family listed at $94k.
• At list price, monthly cash flow is $-33 ($-395/yr) — negative.
• To cash-flow at today's rent, offer at most $89k (6.2% below list).
• Meets the 1% rule at list price ($1k rent vs $94k).
• It's been on market 214 days — a 12% lower offer ($83k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $83k (12.0% below list) — sets the bar for market timing.
• In year one you build about $8k of equity ($653 loan paydown + $7k appreciation (7.4% local appreciation)).
• Location reads 60/100 on livability (#431 in VA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A; Watch: schools C-, crime C-, amenities F.
• Augusta County Public School District (rural): math 55% / reading 69% proficiency, ranked #52 of 131 in VA (top 40%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Watch-outs: flood insurance adds $460/mo; built in 1876 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 16 active listings in the ZIP; 357 units permitted in Augusta County in 2024 (50 in 5+ unit buildings).
• 2 sale attempts; this cycle's ask has dropped $6k (6%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• At projected returns (7.4% appreciation + 3.0% rent growth), your $26k cash investment doubles in ~4 years — after that, you're playing with house money.
• By year 5, paydown + projected appreciation supports a ~$34k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: in FEMA flood zone AE (mandatory federal flood insurance) — expect insurance premiums to compound above CPI over the hold.

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 214 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Built in 1876 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
• 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.
• 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.