10919 Pioneer Blvd

Santa Fe Springs, CA 90670

$1,499,000C-

8 bd · 6.0 ba · 4,660 sqft · Built 1958 · MultiFamily · Active · 84 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $14,678/mo
• Mortgage (P&I): −$7,861
• Tax + insurance: −$1,567
• HOA: −$0
• Vac / Maint / Mgmt: −$3,082
• Net cashflow: $2,168/mo
• Annual: $26,012/yr
• Cap rate: 8.03%
• Cash-on-cash: 6.20%
• DSCR: 1.28
• 1% rule: 0.98%
• Cash to close: $419,720

Investor read

• This is a 6 × 1-bed/1-bath units multifamily listed at $1.50M.
• At list price, monthly cash flow is $2k ($26k/yr) — positive. Per door: $361/mo.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $1.47M (2.1% below list).
• It's been on market 84 days — a 6% lower offer ($1.41M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $1.41M (6.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $10k of loan paydown is wiped out by about $45k of value loss. Plan a longer hold.
• Location reads 46/100 on livability (#1,285 in CA) — a working-class tenant base; expect higher turnover. Strengths: employment B+; Watch: schools D, crime F, amenities F.
• Little Lake City Elementary (suburban): math 43% / reading 56% proficiency, ranked #417 of 1,400 in CA (top 30%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Watch-outs: built in 1958 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 14 active listings in the ZIP; 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.
• 4 sale attempts since 23y ago; this cycle's ask has dropped $101k (6%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $550k; list at $1.50M implies a 173% gain — meaningful room to come down on a strong offer.
• Climate carrying-cost: extreme-heat days projected 7→20/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 8.0% vs local median 3.2% in Santa Fe Springs — 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.
• At $14,678/mo this rent would consume 198% of the median local household income ($89k/yr) (locally 477% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• It's been on market 84 days. Have you received any prior offers? Is the seller open to a 6% 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 1958 — 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.
• 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?
• 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?