1191 N County Road 157 Lot #1

Strasburg, CO 80136

$128,000B-

2 bd · 2.0 ba · 1,232 sqft · Built 2016 · SingleFamily · Active · 94 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,536/mo
• Mortgage (P&I): −$671
• Tax + insurance: −$83
• HOA: −$800
• Vac / Maint / Mgmt: −$532
• Net cashflow: $448/mo
• Annual: $5,380/yr
• Cap rate: 10.50%
• Cash-on-cash: 15.01%
• DSCR: 1.67
• 1% rule: 1.98%
• Cash to close: $35,840

Investor read

• This is a 2-bed/2.0-bath single-family listed at $128k.
• At list price, monthly cash flow is $448 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($3k rent vs $128k).
• It's been on market 94 days — a 9% lower offer ($116k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $116k (9.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $885 of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
• Location reads 60/100 on livability (#238 in CO) — a middle-class / working-renter tenant base. Strengths: housing A+, crime A, employment A; Watch: amenities F, commute F, cost of living F.
• Strasburg School District 31J (rural): math 36% / reading 47% proficiency, ranked #32 of 176 in CO (top 18%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; only 17% free/reduced lunch — higher-income household profile.
• Zoned schools: Strasburg Elementary School (math 30% / reading 42%, grade F, #420 of 966 statewide, top 44%, 562 students, 33% FRL); Hemphill Middle School (math 24% / reading 34%, grade F, #129 of 270 statewide, top 51%, 255 students, 36% FRL); Strasburg High School (math 27% / reading 67%, grade D-, #132 of 381 statewide, top 36%, 379 students, 29% FRL) — zoned schools average 33% FRL vs 17% district-wide (16 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: HOA is 32% of rent.
• Market conditions: 119 active listings in the ZIP; 3,927 units permitted in Arapahoe County in 2024 (1,525 in 5+ unit buildings).
• Arapahoe County population projected at +39% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $36k cash investment doubles in ~8 years — after that, you're playing with house money.
• Cap rate 10.5% vs local median 4.4% in Strasburg — 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

• It's been on market 94 days. Have you received any prior offers? Is the seller open to a 9% 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?
• 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.
• 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.