25501 Surry Ave

Matoaca, VA 23803

$109,500B-

2 bd · 1.0 ba · 520 sqft · Built 1945 · SingleFamily · Pending · 50 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,201/mo
• Mortgage (P&I): −$574
• Tax + insurance: −$73
• HOA: −$0
• Vac / Maint / Mgmt: −$252
• Net cashflow: $302/mo
• Annual: $3,621/yr
• Cap rate: 9.60%
• Cash-on-cash: 11.81%
• DSCR: 1.53
• 1% rule: 1.10%
• Cash to close: $30,660

Investor read

• This is a 2-bed/1.0-bath single-family listed at $110k.
• At list price, monthly cash flow is $302 ($4k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $110k).
• It's been on market 50 days — a 3% lower offer ($106k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $106k (3.0% below list) — sets the bar for market timing.
• In year one you build about $2k of equity ($757 loan paydown + $2k appreciation (1.4% local appreciation)).
• Location reads 73/100 on livability (#178 in VA) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F.
• Dinwiddie County Public School District (rural): math 45% / reading 64% proficiency, ranked #81 of 131 in VA (top 62%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Sutherland Elementary (math 42% / reading 62%, grade C-, #696 of 1,108 statewide, top 66%, 554 students, 83% FRL); Dinwiddie County Middle (math 34% / reading 62%, grade C-, #247 of 342 statewide, top 74%, 958 students, 84% FRL); Dinwiddie County High (math 51% / reading 70%, grade C+, #244 of 319 statewide, top 77%, 1,290 students, 83% FRL) — zoned schools average 83% FRL vs 46% district-wide (38 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: built in 1945 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents rising fast (+5.9%/yr); 294 active listings in the ZIP; 82 units permitted in Dinwiddie County in 2024 (0 in 5+ unit buildings).
• Dinwiddie County population projected at -12% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 10 sale attempts since 19y ago; this cycle's ask has dropped $10k (8%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $35k; list at $110k implies a 213% gain — meaningful room to come down on a strong offer.
• At projected returns (1.4% appreciation + 5.9% rent growth), your $31k cash investment doubles in ~5 years — after that, you're playing with house money.
• Climate carrying-cost: major wind risk, 45% chance of damaging wind over 30y; extreme-heat days projected 7→16/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 9.6% vs local median 3.8% in Matoaca — 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 50 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
• Built in 1945 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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?
• 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.