1234 Ridge Ave

Coraopolis, PA 15108

$350,000B-

2 bd · 3.0 ba · 2,480 sqft · Built 1900 · MultiFamily · Active · 14 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $5,021/mo
• Mortgage (P&I): −$1,835
• Tax + insurance: −$438
• HOA: −$0
• Vac / Maint / Mgmt: −$1,054
• Net cashflow: $1,693/mo
• Annual: $20,317/yr
• Cap rate: 12.10%
• Cash-on-cash: 20.73%
• DSCR: 1.92
• 1% rule: 1.43%
• Cash to close: $98,000

Investor read

• This is a 2-bed/3.0-bath multifamily listed at $350k.
• At list price, monthly cash flow is $2k ($20k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($5k rent vs $350k).
• Only 14 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $10k of value loss. Plan a longer hold.
• Location reads 80/100 on livability (#193 in PA, #1,621 nationally) — a professional / high-income tenant draw. Strengths: cost of living A+, housing A+, amenities B+.
• Cornell SD (suburban): math 16% / reading 39% proficiency, ranked #461 of 539 in PA (top 86%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 66% free/reduced lunch — lower-income household profile, screen leases tightly.
• Watch-outs: built in 1900 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents rising fast (+4.1%/yr); 177 active listings in the ZIP; 2 comparable units currently listed for rent nearby; solid renter incomes; 2,996 units permitted in Allegheny County in 2024 (1,588 in 5+ unit buildings).
• 7 sale attempts since 22y ago; this cycle's ask has dropped $25k (7%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $103k; list at $350k implies a 241% gain — meaningful room to come down on a strong offer.
• At projected returns (-3.0% appreciation + 4.1% rent growth), your $98k cash investment doubles in ~6 years — after that, you're playing with house money.
• Cap rate 12.1% vs local median 5.7% in Coraopolis — 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 $5,021/mo this rent would consume 60% of the median local household income ($101k/yr) (locally 890% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• Built in 1900 — 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.
• 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 apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.