1917 E Azalea Ct

Gilbert, AZ 85298

$777,000D+

4 bd · 6.0 ba · 3,268 sqft · Built 2011 · SingleFamily · Active · 37 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $4,453/mo
• Mortgage (P&I): −$4,075
• Tax + insurance: −$619
• HOA: −$173
• Vac / Maint / Mgmt: −$935
• Net cashflow: $-1,349/mo
• Annual: $-16,190/yr
• Cap rate: 4.21%
• Cash-on-cash: -7.44%
• DSCR: 0.67
• 1% rule: 0.57%
• Cash to close: $217,560

Investor read

• This is a 4-bed/6.0-bath single-family listed at $777k.
• At list price, monthly cash flow is $-1k ($-16k/yr) — negative.
• To cash-flow at today's rent, offer at most $539k (30.7% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $445k (42.7% below list).
• It's been on market 37 days — a 3% lower offer ($754k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $445k (42.7% below list) — sets the bar for 1% rule.
• In year one you build about $70k of equity ($5k loan paydown + $65k appreciation (8.4% local appreciation)).
• Location reads 87/100 on livability (#1 in AZ, #240 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, employment A+, housing A+; Watch: health & safety C-, cost of living F.
• Chandler Unified District #80 (4242) (suburban): math 49% / reading 57% proficiency, ranked #31 of 249 in AZ (top 12%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Robert J.C. Rice Elementary School (math 65% / reading 70%, grade B+, #67 of 1,109 statewide, top 6%, 760 students, 11% FRL); Willie & Coy Payne Jr. High (math 47% / reading 53%, grade C, #26 of 218 statewide, top 12%, 1,143 students, 11% FRL); Perry High School (math 48% / reading 50%, grade D, #43 of 381 statewide, top 11%, 2,822 students, 12% FRL).
• Market conditions: Rents rising fast (+4.3%/yr); 339 active listings in the ZIP; 19 comparable units currently listed for rent nearby; rentals at typical pace (median 18d on market — plan ~3-4 weeks tenant-placement turnaround); high-income renter base; 36,011 units permitted in Maricopa County in 2024 (12,801 in 5+ unit buildings).
• Maricopa County population projected at +38% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 3 sale attempts since 10y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• Current owner paid $380k; list at $777k implies a 104% gain — meaningful room to come down on a strong offer.
• By year 2, paydown + projected appreciation supports a ~$113k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: extreme-heat days projected 7→19/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 4.2% vs local median 3.2% in Gilbert — 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 34% of the median local income ($156k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Questions for listing agent

• What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
• It's been on market 37 days. Have you received any prior offers? Is the seller open to a 43% concession, seller financing, or rate buy-down credit?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are A-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
• 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.