8177 West Rd

Salem, OH 44460

$24,900B

2 bd · 1.0 ba · 960 sqft · Built 1900 · SingleFamily · Active · 77 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $942/mo
• Mortgage (P&I): −$131
• Tax + insurance: −$143
• HOA: −$0
• Vac / Maint / Mgmt: −$198
• Net cashflow: $470/mo
• Annual: $5,642/yr
• Cap rate: 31.63%
• Cash-on-cash: 90.48%
• DSCR: 5.03
• 1% rule: 3.78%
• Cash to close: $6,972

Investor read

• This is a 2-bed/1.0-bath single-family listed at $25k.
• At list price, monthly cash flow is $470 ($6k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($942 rent vs $25k).
• It's been on market 77 days — a 6% lower offer ($23k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $23k (6.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $172 of loan paydown is wiped out by about $747 of value loss. Plan a longer hold.
• Location reads 68/100 on livability (#538 in OH) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A, schools B+; Watch: amenities F, commute F, employment F.
• South Range Local (rural): math 83% / reading 84% proficiency, ranked #39 of 656 in OH (top 6%) — strong family-tenant draw, lease renewals of 3-5y typical.
• Watch-outs: property tax is 3.7% of price; flood insurance adds $56/mo; built in 1900 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 86 active listings in the ZIP; 147 units permitted in Mahoning County in 2024 (0 in 5+ unit buildings).
• Mahoning County population projected at -14% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 8 sale attempts since 24y ago; this cycle's ask has dropped $4k (14%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $14k; list at $25k implies a 78% gain — meaningful room to come down on a strong offer.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $7k cash investment doubles in ~2 years — after that, you're playing with house money.
• Climate carrying-cost: severe flood risk — expect insurance premiums to compound above CPI over the hold.
• Cap rate 31.6% vs local median 3.0% in Salem — 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 77 days. Have you received any prior offers? Is the seller open to a 6% concession, seller financing, or rate buy-down credit?
• Built in 1900 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
• What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
• 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?
• 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.