641 Sugar Valley Rd

Friendly, WV 26146

$10,000C-

2 bd · 1.0 ba · 651 sqft · Built 1989 · Other · Pending · 1 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $806/mo
• Mortgage (P&I): −$52
• Tax + insurance: −$445
• HOA: −$0
• Vac / Maint / Mgmt: −$169
• Net cashflow: $139/mo
• Annual: $1,672/yr
• Cap rate: 74.20%
• Cash-on-cash: 242.51%
• DSCR: 11.79
• 1% rule: 8.06%
• Cash to close: $2,800

Investor read

• This is a 2-bed/1.0-bath other listed at $10k.
• At list price, monthly cash flow is $139 ($2k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($806 rent vs $10k).
• Only 1 days on market — expect competitive offers; lowballing is unlikely to land.
• In year one you build about $536 of equity ($69 loan paydown + $467 appreciation (4.7% local appreciation)).
• Location reads 58/100 on livability (#240 in WV) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A+; Watch: crime C-, health & safety D, schools F.
• Pleasants County Schools (town): math 30% / reading 40% proficiency, ranked #15 of 55 in WV (top 27%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Watch-outs: flood insurance adds $427/mo.
• Market conditions: 2 active listings in the ZIP; 1 units permitted in Pleasants County in 2024 (0 in 5+ unit buildings).
• Pleasants County population projected to shrink 4% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• At projected returns (4.7% appreciation + 3.0% rent growth), your $3k cash investment doubles in ~2 years — after that, you're playing with house money.
• Climate carrying-cost: in FEMA flood zone AE (mandatory federal flood insurance) — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are F-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• 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 for-sale + rental construction is in the pipeline within 1–3 miles? Heavy new supply typically softens prices + rents 12–24 months out; constrained supply supports both.