79 - 81 W Enterprise St

Glen Lyon, PA 18617

$245,000C-

4 bd · 3.0 ba · 1,888 sqft · Built 1980 · MultiFamily · Pending · 18 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,108/mo
• Mortgage (P&I): −$1,285
• Tax + insurance: −$227
• HOA: −$0
• Vac / Maint / Mgmt: −$443
• Net cashflow: $153/mo
• Annual: $1,838/yr
• Cap rate: 7.04%
• Cash-on-cash: 2.68%
• DSCR: 1.12
• 1% rule: 0.86%
• Cash to close: $68,600

Investor read

• This is a 1×2.0bd/1.5ba + 1×3.0bd/1.5ba units multifamily listed at $245k.
• At list price, monthly cash flow is $153 ($2k/yr) — positive. Per door: $77/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 $211k (14.0% below list).
• It's been on market 18 days — a 2% lower offer ($241k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $211k (14.0% below list) — sets the bar for 1% rule.
• In year one you build about $15k of equity ($2k loan paydown + $14k appreciation (5.6% local appreciation)).
• Location reads 61/100 on livability (#1,432 in PA) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing B+; Watch: amenities F, commute F, employment D-.
• Greater Nanticoke Area SD (suburban): math 14% / reading 34% proficiency, ranked #479 of 539 in PA (top 89%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Gna El Ctr (math 15% / reading 36%, grade F, #1,172 of 1,518 statewide, top 77%, 505 students, 100% FRL); Greater Nanticoke Area Ed Ctr (math 4% / reading 32%, grade F, #453 of 512 statewide, top 89%, 539 students, 100% FRL); Greater Nanticoke Area Shs (math 52%, 714 students, 89% FRL) — zoned schools average 96% FRL vs 52% district-wide (44 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 20 active listings in the ZIP; 3 comparable units currently listed for rent nearby; rentals at typical pace (median 16d on market — plan ~3-4 weeks tenant-placement turnaround); 349 units permitted in Luzerne County in 2024 (16 in 5+ unit buildings).
• Luzerne County population projected at +4% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• Current owner paid $40k; list at $245k implies a 512% gain — meaningful room to come down on a strong offer.
• At projected returns (5.6% appreciation + 3.0% rent growth), your $69k cash investment doubles in ~4 years — after that, you're playing with house money.
• By year 3, paydown + projected appreciation supports a ~$38k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Questions for listing agent

• 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?
• 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 apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.