306 W Russell St

North Plains, MI 48845

$275,000B

9 bd · 6.9 ba · 15,225 sqft · Built 1973 · MultiFamily · Active · 377 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,786/mo
• Mortgage (P&I): −$1,442
• Tax + insurance: −$458
• HOA: −$0
• Vac / Maint / Mgmt: −$795
• Net cashflow: $1,090/mo
• Annual: $13,086/yr
• Cap rate: 11.05%
• Cash-on-cash: 16.99%
• DSCR: 1.76
• 1% rule: 1.38%
• Cash to close: $77,000

Investor read

• This is a 3 × 3-bed/?-bath units multifamily listed at $275k.
• At list price, monthly cash flow is $1k ($13k/yr) — positive. Per door: $363/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($4k rent vs $275k).
• It's been on market 377 days — a 12% lower offer ($242k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $242k (12.0% below list) — sets the bar for market timing.
• In year one you build about $7k of equity ($2k loan paydown + $6k appreciation (2.0% local appreciation)).
• Location reads: area grade B — affects rentability + tenant quality, not the cash-flow math above.
• Carson City-Crystal Area Schools (rural): math 17% / reading 27% proficiency, ranked #449 of 540 in MI (top 83%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Carson City Elementary School (math 34% / reading 34%, grade F, #744 of 1,397 statewide, top 57%, 224 students, 55% FRL); Carson Citycrystal Upper Elementarymiddle School (math 15% / reading 24%, grade F, #425 of 493 statewide, top 87%, 256 students, 55% FRL); Carson Citycrystal High School (math 17% / reading 37%, grade F, #462 of 713 statewide, top 66%, 218 students, 49% FRL).
• Market conditions: 4 active listings in the ZIP; 94 units permitted in Ionia County in 2024 (0 in 5+ unit buildings).
• Ionia County population projected to shrink 8% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• 4 sale attempts since 5y ago; this cycle's ask has dropped $275k (50%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $90k; list at $275k implies a 206% gain — meaningful room to come down on a strong offer.
• At projected returns (2.0% appreciation + 3.0% rent growth), your $77k cash investment doubles in ~4 years — after that, you're playing with house money.
• By year 5, paydown + projected appreciation supports a ~$33k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Questions for listing agent

• It's been on market 377 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• 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 1973 — 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.