The Norwood II Plan

Villa Rica, GA 30180

$235,990F

3 bd · 2.5 ba · 1,807 sqft · Built — · SingleFamily · Active · 460 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,970/mo
• Mortgage (P&I): −$1,669
• Tax + insurance: −$531
• HOA: −$0
• Vac / Maint / Mgmt: −$414
• Net cashflow: $-643/mo
• Annual: $-7,718/yr
• Cap rate: 3.87%
• Cash-on-cash: -8.66%
• DSCR: 0.61
• 1% rule: 0.62%
• Cash to close: $89,124

Investor read

• This is a 3-bed/2.5-bath single-family listed at $236k. Condition is rated excellent.
• At list price, monthly cash flow is $-643 ($-8k/yr) — negative.
• To cash-flow at today's rent, offer at most $225k (4.6% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $197k (16.5% below list).
• It's been on market 460 days — a 12% lower offer ($208k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $197k (16.5% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $10k of value loss. Plan a longer hold.
• Location reads 65/100 on livability (#224 in GA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, employment B; Watch: amenities F, commute F, health & safety F.
• Carroll County (rural): math 42% / reading 41% proficiency, ranked #38 of 174 in GA (top 22%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Ithica Elementary (math 66% / reading 52%, grade B-, #138 of 1,228 statewide, top 11%, 778 students, 49% FRL); Bay Springs Middle School (math 42% / reading 42%, grade D-, #126 of 470 statewide, top 28%, 930 students, 57% FRL); Villa Rica High School (math 16% / reading 34%, grade F, #181 of 424 statewide, top 43%, 1,807 students, 56% FRL) — zoned schools at 54% FRL track the district average.
• Market conditions: Rents rising (+2.4%/yr); 968 active listings in the ZIP; 29 comparable units currently listed for rent nearby; rentals lingering (median 77d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 62% of comp listings sitting > 30 days — soft ceiling on asking rent; solid renter incomes; 876 units permitted in Carroll County in 2024 (150 in 5+ unit buildings).
• Carroll County population projected at +12% by 2050 — modest demand growth; plan on rents tracking national, not racing it.

Questions for 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 460 days. Have you received any prior offers? Is the seller open to a 17% 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.
• 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.