1020 Mountain #24

Monrovia, CA 91016

$168,000B

2 bd · 2.0 ba · 1,248 sqft · Built 1964 · Manufactured · Active · 88 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,219/mo
• Mortgage (P&I): −$881
• Tax + insurance: −$280
• HOA: −$0
• Vac / Maint / Mgmt: −$676
• Net cashflow: $1,382/mo
• Annual: $16,579/yr
• Cap rate: 16.16%
• Cash-on-cash: 35.25%
• DSCR: 2.57
• 1% rule: 1.92%
• Cash to close: $47,040

Investor read

• This is a 2-bed/2.0-bath manufactured listed at $168k. Condition is rated fair.
• At list price, monthly cash flow is $1k ($17k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($3k rent vs $168k).
• It's been on market 88 days — a 6% lower offer ($158k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $158k (6.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $5k of value loss. Plan a longer hold.
• Location reads 52/100 on livability (#993 in CA) — a working-class tenant base; expect higher turnover. Strengths: employment A+, health & safety A-; Watch: schools C-, crime C-, amenities F.
• Monrovia Unified (suburban): math 39% / reading 48% proficiency, ranked #182 of 517 in CA (top 35%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: Rents rising (+3.4%/yr); 76 active listings in the ZIP; 40 comparable units currently listed for rent nearby; rentals at typical pace (median 18d on market — plan ~3-4 weeks tenant-placement turnaround); solid renter incomes; 19,697 units permitted in Los Angeles County in 2024 (9,426 in 5+ unit buildings).
• Los Angeles County population projected at +9% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• 2 sale attempts since 4y ago; this cycle's ask has dropped $42k (20%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• At projected returns (-3.0% appreciation + 3.4% rent growth), your $47k cash investment doubles in ~4 years — after that, you're playing with house money.
• Climate carrying-cost: major wildfire risk; extreme-heat days projected 7→19/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 16.2% vs local median 2.1% in Monrovia — 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.
• This rent runs 40% of the median local income ($97k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Questions for listing agent

• It's been on market 88 days. Have you received any prior offers? Is the seller open to a 6% 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 1964 — 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.
• 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.

Repairs flagged (vision-AI assessment)

• Minor: Kitchen cabinets — Yellow cabinets are visible, but their condition is not clear.
• Minor: Kitchen appliances — Stove and oven are visible, but their condition is not clear.
• Minor: Kitchen countertops — White countertops are visible, but their condition is not clear.
• Minor: Kitchen flooring — Wooden flooring is visible, but its condition is not clear.
• Minor: Kitchen paint — Walls appear painted, but the paint quality is not clear.
• Unknown: Kitchen windows — No windows are visible in the provided photos.