110 N Cty Rd 5578

Concho, AZ 85924

$72,500C

1 bd · 1.0 ba · 400 sqft · Built 2022 · Land · Active · 711 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $802/mo
• Mortgage (P&I): −$380
• Tax + insurance: −$121
• HOA: −$0
• Vac / Maint / Mgmt: −$168
• Net cashflow: $133/mo
• Annual: $1,593/yr
• Cap rate: 8.49%
• Cash-on-cash: 7.85%
• DSCR: 1.35
• 1% rule: 1.11%
• Cash to close: $20,300

Investor read

• This is a 1-bed/1.0-bath land listed at $72k.
• At list price, monthly cash flow is $133 ($2k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($802 rent vs $72k).
• It's been on market 711 days — a 12% lower offer ($64k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $64k (12.0% below list) — sets the bar for market timing.
• In year one you build about $1k of equity ($501 loan paydown + $698 appreciation (1.0% local appreciation)).
• Location reads 36/100 on livability (#419 in AZ) — a limited-amenity area; tenant pool skews transient or value-seeking. Strengths: cost of living A+, crime A; Watch: amenities F, commute F, employment F.
• Concho Elementary District (4160) (rural): math 15% / reading 35% proficiency, ranked #340 of 501 in AZ (top 68%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 71% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Concho Elementary School (math 22% / reading 27%, grade F, #645 of 1,109 statewide, top 60%, 183 students, 82% FRL).
• Market conditions: 438 active listings in the ZIP; 99 units permitted in Apache County in 2024 (0 in 5+ unit buildings).
• Apache County population projected at -12% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 4 sale attempts since 2y 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 $33k; list at $72k implies a 120% gain — meaningful room to come down on a strong offer.
• At projected returns (1.0% appreciation + 3.0% rent growth), your $20k cash investment doubles in ~6 years — after that, you're playing with house money.
• Cap rate 8.5% vs local median 2.5% in Concho — 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 711 days. Have you received any prior offers? Is the seller open to a 12% 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 F-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.