317 Potato Rd

Canaan, NH 03748

$325,000C-

3 bd · 1.5 ba · 1,228 sqft · Built 2002 · SingleFamily · Pending · 5 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,971/mo
• Mortgage (P&I): −$1,704
• Tax + insurance: −$609
• HOA: −$0
• Vac / Maint / Mgmt: −$624
• Net cashflow: $33/mo
• Annual: $398/yr
• Cap rate: 6.42%
• Cash-on-cash: 0.44%
• DSCR: 1.02
• 1% rule: 0.91%
• Cash to close: $91,000

Investor read

• This is a 3-bed/1.5-bath single-family listed at $325k.
• At list price, monthly cash flow is $33 ($398/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $297k (8.6% below list).
• Only 5 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $297k (8.6% below list) — sets the bar for 1% rule.
• In year one you build about $35k of equity ($2k loan paydown + $32k appreciation (10.0% local appreciation)).
• Location reads 48/100 on livability (#95 in NH) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, crime A; Watch: health & safety D, amenities F, commute F.
• Mascoma Valley Reg School District (rural): math 36% / reading 50% proficiency, ranked #56 of 98 in NH (top 57%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Enfield Village School (math 74% / reading 74%, grade A, #13 of 263 statewide, top 6%, 214 students, 22% FRL); Indian River School (math 27% / reading 46%, grade F, #53 of 96 statewide, top 56%, 313 students, 39% FRL); Mascoma Valley Regional High School (math 22% / reading 42%, grade F, #76 of 90 statewide, top 85%, 338 students, 29% FRL).
• Market conditions: 28 active listings in the ZIP; 487 units permitted in Grafton County in 2024 (127 in 5+ unit buildings).
• Grafton County population projected at -13% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (10.0% appreciation + 3.0% rent growth), your $91k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 2, paydown + projected appreciation supports a ~$56k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Cap rate 6.4% vs local median 2.7% in Canaan — 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

• 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.
• How much new for-sale + rental construction is in the pipeline within 1–3 miles? Heavy new supply typically softens prices + rents 12–24 months out; constrained supply supports both.