800 Trout Creek Dr

Fairplay, CO 80440

$375,000D

3 bd · 2.0 ba · 1,305 sqft · Built 2005 · Manufactured · Active · 209 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,957/mo
• Mortgage (P&I): −$1,967
• Tax + insurance: −$330
• HOA: −$0
• Vac / Maint / Mgmt: −$621
• Net cashflow: $39/mo
• Annual: $468/yr
• Cap rate: 6.42%
• Cash-on-cash: 0.45%
• DSCR: 1.02
• 1% rule: 0.79%
• Cash to close: $105,000

Investor read

• This is a 3-bed/2.0-bath manufactured listed at $375k.
• At list price, monthly cash flow is $39 ($468/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 $296k (21.2% below list).
• It's been on market 209 days — a 12% lower offer ($330k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $296k (21.2% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $3k of loan paydown is wiped out by about $11k of value loss. Plan a longer hold.
• Location reads 73/100 on livability (#56 in CO) — a middle-class / working-renter tenant base. Strengths: employment A+, housing A+, cost of living A; Watch: commute D+, crime F, amenities F.
• Park County School District No. Re-2 (rural): math 25% / reading 39% proficiency, ranked #89 of 176 in CO (top 51%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Edith Teter Elementary School (math 15% / reading 34%, grade F, #604 of 966 statewide, top 63%, 211 students, 39% FRL); South Park Middle School (math 24% / reading 44%, grade F, #106 of 270 statewide, top 42%, 98 students, 36% FRL); South Park High School (math 10% / reading 70%, grade F, #167 of 381 statewide, top 46%, 124 students, 27% FRL) — zoned schools at 34% FRL track the district average.
• Market conditions: 353 active listings in the ZIP; high-income renter base; 144 units permitted in Park County in 2024 (0 in 5+ unit buildings).
• Park County population projected to shrink 7% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• 6 sale attempts since 16y ago; this cycle's ask has dropped $40k (10%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $256k; 46% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• Cap rate 6.4% vs local median 2.8% in Fairplay — 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 31% of the median local income ($116k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Questions for listing agent

• It's been on market 209 days. Have you received any prior offers? Is the seller open to a 21% concession, seller financing, or rate buy-down credit?
• 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.
• 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?
• 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 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.