2403 Parker Ave

Northwest Harborcreek, PA 16510

$149,900D

5 bd · 2.0 ba · 2,845 sqft · Built 1947 · MultiFamily · Pending · 7 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,490/mo
• Mortgage (P&I): −$786
• Tax + insurance: −$388
• HOA: −$0
• Vac / Maint / Mgmt: −$313
• Net cashflow: $3/mo
• Annual: $32/yr
• Cap rate: 6.31%
• Cash-on-cash: 0.08%
• DSCR: 1.00
• 1% rule: 0.99%
• Cash to close: $41,972

Investor read

• This is a 5-bed/2.0-bath multifamily listed at $150k.
• At list price, monthly cash flow is $3 ($32/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $149k (0.6% below list).
• Only 7 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $149k (0.6% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
• Location reads 89/100 on livability (#25 in PA, #149 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, commute A+, cost of living A+.
• Harbor Creek SD (suburban): math 54% / reading 73% proficiency, ranked #53 of 539 in PA (top 10%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Rolling Ridge El Sch (math 53% / reading 79%, grade B+, #238 of 1,518 statewide, top 16%, 474 students, 40% FRL); Harbor Creek Junior Hs (math 33% / reading 64%, grade C-, #146 of 512 statewide, top 30%, 388 students, 36% FRL); Harbor Creek Senior Hs (math 92%, 614 students, 31% FRL).
• Watch-outs: property tax is 2.6% of price; built in 1947 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 77 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 364 units permitted in Erie County in 2024 (188 in 5+ unit buildings).
• Erie County population projected at -14% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• Current owner paid $80k; list at $150k implies a 87% gain — meaningful room to come down on a strong offer.

Questions for listing agent

• Built in 1947 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?
• 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.