4267 Hollywood Blvd

Pardeesville, PA 18202

$325,000D

3 bd · 2.5 ba · 4,242 sqft · Built 1845 · SingleFamily · Pending · 100 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,938/mo
• Mortgage (P&I): −$1,704
• Tax + insurance: −$578
• HOA: −$0
• Vac / Maint / Mgmt: −$407
• Net cashflow: $-751/mo
• Annual: $-9,016/yr
• Cap rate: 3.52%
• Cash-on-cash: -9.91%
• DSCR: 0.56
• 1% rule: 0.60%
• Cash to close: $91,000

Investor read

• This is a 3-bed/2.5-bath single-family listed at $325k.
• At list price, monthly cash flow is $-751 ($-9k/yr) — negative.
• To cash-flow at today's rent, offer at most $192k (40.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $194k (40.4% below list).
• It's been on market 100 days — a 9% lower offer ($296k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $192k (40.8% below list) — sets the bar for cash-flow.
• In year one you build about $35k of equity ($2k loan paydown + $32k appreciation (10.0% local appreciation)).
• Location reads 61/100 on livability (#1,411 in PA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A; Watch: schools F, amenities F, commute F.
• Hazleton Area SD (suburban): math 18% / reading 30% proficiency, ranked #476 of 539 in PA (top 88%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Watch-outs: built in 1845 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 270 active listings in the ZIP; 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.
• By year 2, paydown + projected appreciation supports a ~$56k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• This rent runs 42% of the median local income ($55k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

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 100 days. Have you received any prior offers? Is the seller open to a 41% concession, seller financing, or rate buy-down credit?
• Built in 1845 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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?
• 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.