12843 Garvey Ave #06

Baldwin Park, CA 91706

$134,900B-

1 bd · 1.0 ba · 480 sqft · Built 2021 · Manufactured · Coming Soon · 8 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,973/mo
• Mortgage (P&I): −$707
• Tax + insurance: −$225
• HOA: −$0
• Vac / Maint / Mgmt: −$414
• Net cashflow: $626/mo
• Annual: $7,516/yr
• Cap rate: 11.86%
• Cash-on-cash: 19.90%
• DSCR: 1.89
• 1% rule: 1.46%
• Cash to close: $37,772

Investor read

• This is a 1-bed/1.0-bath manufactured listed at $135k.
• At list price, monthly cash flow is $626 ($8k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $135k).
• Only 8 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-3.0%/yr); year-one equity from $933 of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
• Location reads 66/100 on livability (#357 in CA) — a middle-class / working-renter tenant base. Strengths: commute A+, employment B+; Watch: crime C-, cost of living F, health & safety F.
• Baldwin Park Unified (suburban): math 20% / reading 37% proficiency, ranked #359 of 517 in CA (top 69%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 74% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: De Anza Elementary (math 19% / reading 31%, grade F, #959 of 1,571 statewide, top 62%, 419 students, 89% FRL); Sierra Vista Middle (math 30% / reading 44%, grade F, #170 of 498 statewide, top 35%, 803 students, 88% FRL); Sierra Vista High (math 25% / reading 58%, grade F, #498 of 1,170 statewide, top 43%, 1,752 students, 84% FRL).
• Market conditions: 53 active listings in the ZIP; 2 comparable units currently listed for rent nearby; solid renter incomes; 19,697 units permitted in Los Angeles County in 2024 (9,426 in 5+ unit buildings).
• Los Angeles County population projected at +9% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• Current owner paid $54k; list at $135k implies a 150% gain — meaningful room to come down on a strong offer.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $38k cash investment doubles in ~7 years — after that, you're playing with house money.
• Cap rate 11.9% vs local median 2.8% in Baldwin Park — 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.

Questions for listing agent

• 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?
• 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.