1 bd · 1.0 ba ·
832 sqft ·
Built 1910
· SingleFamily
· Active
· 77 DOM
Cashflow @ list (25.0% down · 7.5%)
Estimated rent
$1,049/mo
Mortgage (P&I)
−$309
Tax + insurance
−$86
HOA
−$0
Vac / Maint / Mgmt
−$220
Net cashflow
$434/mo
Annual
$5,203/yr
Cap rate
15.13%
Cash-on-cash
31.55%
DSCR
2.40
1% rule
1.78%
Cash to close
$16,492
Investor read
This is a 1-bed/1.0-bath single-family listed at $59k.
At list price, monthly cash flow is $434 ($5k/yr) — positive.
The deal already cash-flows at list — no discount required.
Meets the 1% rule at list price ($1k rent vs $59k).
It's been on market 77 days — a 6% lower offer ($55k) is reasonable based on typical stale-listing flexibility.
Recommended offer: $55k (6.0% below list) — sets the bar for market timing.
Local home prices are declining (-3.0%/yr); year-one equity from $407 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
Location reads 63/100 on livability (#333 in KY) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: employment C-, health & safety D+, schools D-.
Jefferson County (urban): math 19% / reading 35% proficiency, ranked #121 of 165 in KY (top 73%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
Watch-outs: built in 1910 — expect roof / HVAC / electrical / plumbing capex.
Market conditions: Rents rising fast (+6.1%/yr); 77 active listings in the ZIP; 40 comparable units currently listed for rent nearby; rentals at typical pace (median 24d on market — plan ~3-4 weeks tenant-placement turnaround); lower-income renter base — watch delinquency; 2,836 units permitted in Jefferson County in 2024 (1,558 in 5+ unit buildings).
Jefferson County population projected at +13% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
2 sale attempts since 5y ago; this cycle's ask has dropped $10k (15%) from the opening price — seller is motivated, your offer sets the floor, not the list.
At projected returns (-3.0% appreciation + 6.1% rent growth), your $16k cash investment doubles in ~4 years — after that, you're playing with house money.
Climate carrying-cost: extreme-heat days projected 7→20/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
Cap rate 15.1% vs local median 5.0% in Louisville — 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 32% of the median local income ($40k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.
Questions for listing agent
It's been on market 77 days. Have you received any prior offers? Is the seller open to a 6% concession, seller financing, or rate buy-down credit?
Built in 1910 — 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.
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?
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.
CashFlowRE · CFR-T1X3F03W56ZWPK
· Data 3 weeks agocashflowre.app · 2026-05-29