1404 Woodland Dr

Richmond Heights, MO 63117

$515,000B-

8 bd · 4.0 ba · 3,720 sqft · Built 1936 · MultiFamily · Active · 6 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $5,644/mo
• Mortgage (P&I): −$2,701
• Tax + insurance: −$637
• HOA: −$0
• Vac / Maint / Mgmt: −$1,185
• Net cashflow: $1,121/mo
• Annual: $13,457/yr
• Cap rate: 8.91%
• Cash-on-cash: 9.33%
• DSCR: 1.42
• 1% rule: 1.10%
• Cash to close: $144,200

Investor read

• This is a 4 × 2-bed/1.0-bath units multifamily listed at $515k.
• At list price, monthly cash flow is $1k ($13k/yr) — positive. Per door: $280/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($6k rent vs $515k).
• Only 6 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-3.0%/yr); year-one equity from $4k of loan paydown is wiped out by about $15k of value loss. Plan a longer hold.
• Location reads 84/100 on livability (#4 in MO, #652 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, commute A+, employment A+; Watch: crime F.
• Maplewood-Richmond Heights (suburban): math 40% / reading 56% proficiency, ranked #63 of 324 in MO (top 19%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Mrh Elementary (math 40% / reading 57%, grade D, #334 of 1,115 statewide, top 30%, 417 students, 26% FRL); Maplewood-Richmond Hgts. High (math 62% / reading 67%, grade B-, #19 of 521 statewide, top 4%, 413 students, 32% FRL).
• Watch-outs: built in 1936 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents rising fast (+4.9%/yr); 58 active listings in the ZIP; solid renter incomes; 920 units permitted in St. Louis County in 2024 (250 in 5+ unit buildings).
• 4 sale attempts since 7y 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.
• Current owner paid $273k; list at $515k implies a 89% gain — meaningful room to come down on a strong offer.
• At projected returns (-3.0% appreciation + 4.9% rent growth), your $144k cash investment doubles in ~10 years — after that, you're playing with house money.
• Climate carrying-cost: extreme-heat days projected 7→21/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 8.9% vs local median 3.6% in Richmond Heights — 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.
• At $5,644/mo this rent would consume 74% of the median local household income ($91k/yr) (locally 285% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• Built in 1936 — 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 F 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.