201 Montana St

Westby, MT 59275

$60,000B

1 bd · 1.0 ba · 704 sqft · Built 1915 · SingleFamily · Active · 9 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $823/mo
• Mortgage (P&I): −$315
• Tax + insurance: −$66
• HOA: −$0
• Vac / Maint / Mgmt: −$173
• Net cashflow: $269/mo
• Annual: $3,229/yr
• Cap rate: 11.67%
• Cash-on-cash: 19.22%
• DSCR: 1.86
• 1% rule: 1.37%
• Cash to close: $16,800

Investor read

• This is a 1-bed/1.0-bath single-family listed at $60k.
• At list price, monthly cash flow is $269 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($823 rent vs $60k).
• Only 9 days on market — expect competitive offers; lowballing is unlikely to land.
• In year one you build about $733 of equity ($415 loan paydown + $318 appreciation (0.5% local appreciation)).
• Location reads 68/100 on livability (#97 in MT) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, employment B; Watch: health & safety D, crime D-, amenities F.
• Westby K-12 Schools (rural): math 40% / reading 40% proficiency, ranked #144 of 339 in MT (top 42%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; only 19% free/reduced lunch — higher-income household profile.
• Watch-outs: built in 1915 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 3 active listings in the ZIP; 5 units permitted in Sheridan County in 2024 (0 in 5+ unit buildings).
• Sheridan County population projected at +62% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 3 sale attempts since 3y 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.
• At projected returns (0.5% appreciation + 3.0% rent growth), your $17k cash investment doubles in ~4 years — after that, you're playing with house money.

Questions for listing agent

• Built in 1915 — 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?
• Crime grade is D in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
• 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.