Is 861 N Iris Ave in Sequim, WA a good investment?

CashFlowRE grades it D with a 3.9% cap rate and $-584/mo modeled cash flow at a $289,000 list price. See the full underwriting and recommended offer on the page.

What is the cap rate for 861 N Iris Ave?

The modeled cap rate is 3.9% — annual NOI divided by price, using CashFlowRE's rent and expense estimates.

What would this property rent for?

Estimated market rent is $1,788/month, from CashFlowRE's rent model.

D Composite 40.69

Why this score? — see what drove the D grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

Cash flow +10.4/30.0
ARV discount +10.4/15.0
Schools +5.3/10.0
Condition / age +4.0/5.0
Livability +3.5/5.0
1% rule +3.1/10.0
DSCR +2.6/10.0
Appreciation +2.5/10.0
Rent growth +2.5/5.0
Manufactured-home adj. -3.5

$289,000

861 N Iris Ave · Sequim, WA 98382

2 bd · 2.0 ba · 1,350 sqft · Manufactured · 91 Days on market

Manufactured home 55+ age-restricted Built 2025 Good condition 4,740 sqft lot $214/sqft · 6% below area Est $309k · 6% under

🖨 Deal sheet (PDF) 📄 Offer letter ✓ Due diligence

Listing remarks MLS

Experience quality living in Lavender Meadows, a private, pet friendly, 55+ community located in beautiful downtown Sequim. Residents enjoy miles of level interior sidewalks, pickle ball courts, horseshoe pits, bocce ball, pocket parks, dog parks, and a clubhouse. Beautifully landscaped with irrigation and an over sized 1-car garage. https://pr. transactiondesk.com/FormBackground/1778103577//NWMLS19500005Floor plan: The Cottage-cozy new 2 bdrm + den home, tons of natural light, covered entry, nicely landscaped, kitchen island, wood cabinets, large primary bdrm w/ walk-in closet. Beautifully landscaped with irrigation and an oversized 1-car detached garage. Garage can be finished & electricity can be added. $25,000 buyer credit for a limited time. Up to 30% seller financing available with an interest rate of 3%.

Key facts

Dog parks
Pickle ball courts
Pocket parks

What this means for you Summary

Snapshot

This is a 2-bed/2.0-bath manufactured listed at $289k. Condition is rated good.

Deal economics

At list price, monthly cash flow is $-584 ($-7k/yr) — negative.
To cash-flow at today's rent, offer at most $204k (29.3% below list).
To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $179k (38.1% below list).
Recommended offer: $179k (38.1% below list) — sets the bar for 1% rule.
Cap rate 3.9% vs local median 2.5% in Sequim — 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.

Location & tenants

Location reads 70/100 on livability (#245 in WA) — a middle-class / working-renter tenant base. Strengths: health & safety A+, crime B, cost of living B; Watch: employment D, amenities D-, commute F.
Sequim School District (town): math 55% / reading 66% proficiency, ranked #64 of 291 in WA (top 22%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
Zoned schools: Helen Haller Elementary School (541 students, 70% FRL); Sequim Middle School (568 students, 52% FRL); Sequim Senior High (794 students, 50% FRL) — zoned schools average 57% FRL vs 38% district-wide (20 pts higher); higher-poverty schools than district average — tighter screening recommended.
Market conditions: 773 active listings in the ZIP; 4 comparable units currently listed for rent nearby; rentals lingering (median 93d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 100% of comp listings sitting > 30 days — soft ceiling on asking rent; 166 units permitted in Clallam County in 2024 (0 in 5+ unit buildings).

Forward outlook

Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $9k of value loss. Plan a longer hold.
Clallam County population projected at +5% by 2050 — modest demand growth; plan on rents tracking national, not racing it.

Negotiation context

It's been on market 91 days — a 9% lower offer ($263k) is reasonable based on typical stale-listing flexibility.
2 sale attempts 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.

Recommended offer $178,844 (38.1% below list)

Questions for the 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 91 days. Have you received any prior offers? Is the seller open to a 38% 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.
Schools are B-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.
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.

Investment metrics

1% rule: 0.62% ✗
Cap rate: 3.87%
Cash-on-cash: -8.67%
DSCR: 0.61
GRM: 13.5

CMA / ARV

ARV (median comp): $309,000
List price: $289,000
Delta: -6.47%
Verdict: FAIR
Comps: 7 within 1.0 mi

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
876 N Rock Rose Ave	0.06mi	2/2.0	1,296 (-4%)	5mo	$309,000	$238	87
896 N Rock Rose Ave	0.07mi	2/2.0	1,458 (+8%)	0mo	$344,000	$236	83
936 N Rock Rose Ave	0.10mi	2/2.0	1,354 (+0%)	17mo	$372,500	$275	81
931 N Iris Ave	0.28mi	2/2.0	1,350 (0%)	12mo	$312,000	$231	77
270 E Camelia St	0.12mi	2/2.0	1,404 (+4%)	15mo	$429,000	$306	75
895 N Violet Ave	0.17mi	2/2.0	1,354 (+0%)	20mo	$329,000	$243	75
905 N Violet Ave	0.18mi	2/2.0	1,296 (-4%)	15mo	$359,500	$277	73
946 N Rock Rose Ave	0.11mi	2/2.0	1,296 (-4%)	19mo	$343,287	$265	72
923 N Rock Rose Ave	0.09mi	3/2.0 (+1)	1,333 (-1%)	22mo	$357,250	$268	70
911 N Iris Ave	0.29mi	2/2.0	1,354 (+0%)	20mo	$299,000	$221	69
1050 N Malia Ln	0.41mi	3/2.0 (+1)	1,440 (+7%)	0mo	$420,000	$292	64
225 N Matriotti Ave	0.65mi	3/2.0 (+1)	1,425 (+6%)	1mo	$430,000	$302	54

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

-3.0% appreciation · 3.0% rent growth · sell at horizon

5-year hold

IRR: -31.6%
Equity multiple: -0.04×
Total profit: $-84,021
Equity at exit: $43,091

10-year hold

IRR: -35.6%
Equity multiple: -0.50×
Total profit: $-120,977
Equity at exit: $24,987

Cash invested: $80,920 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

Overall (STATE): 28 Tenant-Leaning
State Washington: 28 Tenant-Leaning · D+8
County: — inherits STATE
City: — inherits STATE

Just-cause statewide (2021); Seattle layers rent control restrictions + relocation assistance; very tenant-friendly.

Methodology + full state rankings →

Buyer's market Market conditions within 1.0 mi — comparable homes for sale

Active competition Active MLS

For sale now: 21 active · 23 under contract
Months of supply: 7.4 mo (13%/mo absorbed)
Median asking: $218,950 ($154/sqft)
Median days on market: 50 d
This list price: 67% of active listings are priced below it
ARV vs active asking: +48.7% above current asking $/sqft

Closed sales set the value; these active listings set current market conditions and a practical price ceiling.

ZIP-level market 98382

Active inventory: 773
Price-to-rent: 13.5×

Monthly cashflow live

Estimated rent: $1,788 medium interval (Pro) →
Mortgage (P&I): −$1,516
Tax est. 1.5%: −$361 /mo · $4,335/yr
Insurance: −$120
HOA: −$0
Lot rent leased land?: −$0
Vacancy / Maint / Mgmt: −$376
Net cashflow: $-584

Break-even live

Break-even rent $2,528

Max offer price $204,444

Occupancy floor —

Sensitivity live

Price	-10% $-385	-5% $-484	+0% $-584	+5% $-684	+10% $-784
Rent	-10% $-726	-5% $-655	+0% $-584	+5% $-514	+10% $-443
Rate	-1.0pp $-439	-0.5pp $-511	base $-584	+0.5pp $-659	+1.0pp $-735

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

Down payment: $72,250
Closing costs: $8,670
Club membership (one-time): —
Reserves months: —
Total cash needed: —

Loan-product check · same deal, 3 products live

Conventional

25% down · 7.5% · 30yr

Cash invested: —
Monthly P&I: —
Monthly cashflow: —
DSCR: —
Eligible?: —

Personal DTI + credit; lowest rate.

DSCR

20% down · 8.5% · 30yr

Cash invested: —
Monthly P&I: —
Monthly cashflow: —
DSCR: —
Eligible?: —

No personal income docs; deal must DSCR.

Hard money

10% down · 12.0% · 12mo

Cash invested: —
Monthly P&I: —
Monthly cashflow: —
DSCR: —
Eligible?: —

Short-term bridge; refi at stabilization.

Rent comps 4 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
522 W Evergreen Farm Way Sequim, WA	2.0	2.0	1336	$2,450	$1.83	93d	1	0.61mi
246 W Maple St Sequim, WA	3.0	2.0	1200	$2,300	$1.92	93d	1	0.85mi
850 Tommy Ct Sequim, WA	3.0	2.0	1350	$2,300	$1.70	93d	1	1.08mi
1045 S 3rd Ave Unit 33 Sequim, WA	2.0	1.5	956	$2,100	$2.20	93d	1	1.39mi

Property features AI

Finance

Other: Buyer to verify school assignments
Financial info: Land lease: $695/monthListing terms: Cash and FHA
HOA & community: Located in Lavender Meadows (manufactured home park)Park amenities include BBQs, clubhouse, common area, and sidewalks217 homes in the parkSenior community

Exterior

Parking: Details not provided
Security: Details not provided
Utilities: Public water (City of Sequim)Public sewer (City of Sequim)PUD powerElectric water heaterCable: AstoundInternet: Astound
Home design: Manufactured home (double wide)One storyEast-facingModel: 210EV28502EMake: FleetwoodVery good conditionHas a viewEntry level: One
Construction: Cement plank constructionComposition roofConcrete ribbon foundationSkirting: Block and concreteManufactured after 06/15/1976
Exterior features: Cement planked exteriorPatio/porch/deckPaved lotSidewalksCommon area

Interior

Kitchen: DishwasherGarbage disposalRefrigeratorStove/Range
Bedrooms: 2 bedrooms
Flooring: Vinyl
Bathrooms: 2 full bathrooms1 bathtub2 showers
Heating & cooling: Forced air heatingElectric energy source
Interior features: Water heaterVaulted ceilingsWalk-in closetDen/officeEntryLiving roomKitchen with eating spaceUtility room
Laundry & utility: Utility room

Listing history 50 events

2026-08-08

days on market $289,000 Active 91 DOM
2026-08-07

days on market $289,000 Active 90 DOM
2026-08-06

days on market $289,000 Active 89 DOM
2026-08-05

days on market $289,000 Active 88 DOM
2026-08-04

days on market $289,000 Active 87 DOM
2026-08-03

days on market $289,000 Active 86 DOM
2026-07-31

days on market $289,000 Active 83 DOM
2026-07-30

days on market $289,000 Active 82 DOM
2026-07-29

days on market $289,000 Active 81 DOM
2026-07-27

days on market $289,000 Active 79 DOM
2026-07-25

days on market $289,000 Active 77 DOM
2026-07-24

days on market $289,000 Active 76 DOM
2026-07-23

days on market $289,000 Active 75 DOM
2026-07-22

days on market $289,000 Active 74 DOM
2026-07-21

days on market $289,000 Active 73 DOM
2026-07-18

days on market $289,000 Active 70 DOM
2026-07-17

days on market $289,000 Active 68 DOM
2026-07-15

days on market $289,000 Active 67 DOM
2026-07-14

days on market $289,000 Active 66 DOM
2026-07-13

days on market $289,000 Active 65 DOM
2026-07-12

days on market $289,000 Active 64 DOM
2026-07-11

days on market $289,000 Active 63 DOM
2026-07-11

days on market $289,000 Active 62 DOM
2026-07-09

days on market $289,000 Active 61 DOM
2026-07-08

days on market $289,000 Active 60 DOM
2026-07-07

days on market $289,000 Active 59 DOM
2026-07-06

days on market $289,000 Active 58 DOM
2026-07-05

days on market $289,000 Active 57 DOM
2026-07-04

days on market $289,000 Active 56 DOM
2026-07-03

days on market $289,000 Active 55 DOM
2026-07-02

days on market $289,000 Active 54 DOM
2026-07-01

days on market $289,000 Active 53 DOM
2026-06-30

days on market $289,000 Active 52 DOM
2026-06-29

days on market $289,000 Active 51 DOM
2026-06-28

days on market $289,000 Active 50 DOM
2026-06-27

days on market $289,000 Active 49 DOM
2026-06-26

days on market $289,000 Active 47 DOM
2026-06-23

price $289,000 Active 44 DOM
2026-06-22

days on market $299,000 Active 44 DOM
2026-06-19

days on market $299,000 Active 41 DOM
2026-06-18

days on market $299,000 Active 40 DOM
2026-06-17

days on market $299,000 Active 39 DOM
2026-06-16

days on market $299,000 Active 38 DOM
2026-06-15

days on market $299,000 Active 37 DOM
2026-06-14

days on market $299,000 Active 35 DOM
2026-06-12

days on market $299,000 Active 34 DOM
2026-06-09

days on market $299,000 Active 31 DOM
2026-06-08

days on market $299,000 Active 30 DOM
2026-06-07

days on market $299,000 Active 29 DOM
2026-06-05

days on market $299,000 Active 26 DOM

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Climate risk First Street

🌊 Flood 1/10 Low FEMA zone X · 0% chance over 30 yrs
🔥 Wildfire 1/10 Low
🌡 Heat 3/10 Moderate 8 d/yr ≥83°F today · 18 d/yr by 30 yrs out
💨 Wind 1/10 Low
🫁 Air quality 6/10 Major 7 unhealthy d/yr today · 8 by 30 yrs out

Nearby sold comps map

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Walkable amenities ~0.75 mi

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Taxation est. · year 1

Rental income: $21,461
− Mortgage interest: −$16,188
− Property taxes: −$4,335
− Insurance: −$1,445
− Repairs & maintenance: −$1,717
− Management: −$1,717
− Depreciation: −$8,407
Taxable loss: −$12,348

Your marginal tax rate % combined federal + state — saved on this device

Est. tax savings @ 24.0%: +$2,964
After-tax cash flow: $-4,049/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Condition & rehab AI · 10 photos

Good 80/100 Cosmetic rehab Est. rehab $6,750–$20,250 screening

This manufactured home is in good condition with modern updates and a good curb appeal. It has a good foundation and structure, and the interior is well-maintained. The home is move-in ready and has a good resale and rental potential with some minor updates.

Value-add opportunities

Both Painting the exterior siding — Enhances curb appeal and can increase both resale and rental value. ↑
Both Landscaping improvements — Enhances curb appeal and can increase both resale and rental value. ↑
Resale New flooring in bathrooms — Modernizes the bathrooms and can increase resale value. ↑
Both New lighting fixtures in kitchen and bathrooms — Enhances the aesthetic and can increase both resale and rental value. ↑

ⓘ Rehab cost is a screening estimate — Cosmetic scope × the home's square footage at US $/sqft rules of thumb (the same model as the Flip Finder). Get contractor quotes + a written scope before underwriting.

Zoned Schools

Elementary Helen Haller Elementary School Middle Sequim Middle School High Sequim Senior High

Schools (NCES district)

District: Sequim School District
NCES district ID: 5307830
Math proficiency: 55% ▼ -1.00%
Reading proficiency: 66% ▲ 1.00%
Median HH income: $46,969
Composite: 52.77/100
National rank: #3312
State rank: #64 of 291 in WA

B Composite livability gradescore 70/100

Livability — Sequim

Score: 70/100
State rank: #245
US rank: #7845

Category grades

Amenities D- Commute F Cost of living B Crime B Employment D Housing C Health & safety A+ User ratings D+

Schools grade is shown separately in the Schools card above.

Census & demographics

Census place: Sequim, WA
County: Clallam County · 76,817 people
City population: 31,052
Metro: Port Angeles, WA
Population (ZIP): 31,052
Household income: $74,189
Rent vs Own: 18.9% rent · 81.1% own
Severe rent burden: 16% of renters

Population outlook (Clallam County) Hauer SSP2

Today (2025): 76,817 people
By 2030: 78,177 · +1.8%
By 2040: 79,795 · +3.9%
By 2050: 80,890 · +5.3%
By 2075: 83,933 · +9.3%
By 2100: 82,141 · +6.9%

Race, ethnicity, and origin ACS 2023

Neighborhood character: Predominantly White (85%)
Race & ethnicity: White 85% Two or more races 7% Hispanic / Latino 4% Asian 2%
Common ancestry: Portuguese 5% Slovak 5% Italian 4%
Foreign-born: 6% · Canada
Languages at home: 95% English-only · Spanish 2% German/W. Germanic 1% Other Indo-European 1%

Political lean MEDSL · Clallam

2024 margin: Lean D (+7.9) · D 52.6% · R 44.7% · Other 2.7%
2008→2024 swing: +4.6pp toward D · 2008: 3.3pp · 2024: 7.9pp
All cycles: 2024: D+7.9 2020: D+3.4 2016: R+1.6 2012: D+0.4 2008: D+3.3

Not yet ingested

Civics: —

Market trends

HPI YoY: ▼ -225.89%
Current HPI: 181.4372
Rent YoY: —
Metro: Port Angeles, WA
State GDP YoY: ▲ 4.65%
F500 in state: 22

Industry mix (Fortune 500 HQ in WA)

Industry	F500 HQs	Revenue
Retail	2	$269B
#12 Costco Wholesale Issaquah $254.5B #236 Nordstrom Seattle $14.9B
Technology / Retail	1	$638B
#2 Amazon Seattle $638.0B
Technology	1	$245B
#14 Microsoft Redmond $245.1B
Telecommunications	1	$38B
#113 T-Mobile US Bellevue $38.3B
Food / Beverage	1	$36B
#230 Starbucks Seattle $36.2B
Automotive / Trucks	1	$34B
#123 PACCAR Bellevue $33.7B

Price history

+0.0% since first listed

2 events — show timeline

2026-05-08 Listed $299,000 NWMLS as Distributed by MLS Grid
2026-05-08 Listed $299,000 OLS

Cash-flow waterfall

monthly

Sold comps — $/sqft

last 12 mo · ≤1 mi

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