4325 Issaquah Pine Lake Rd SE #704

Sammamish, WA 98075

$290,400D

1 bd · 1.0 ba · 903 sqft · Built 2002 · Townhouse · Active · 290 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,355/mo
• Mortgage (P&I): −$1,523
• Tax + insurance: −$416
• HOA: −$400
• Vac / Maint / Mgmt: −$495
• Net cashflow: $-478/mo
• Annual: $-5,734/yr
• Cap rate: 4.32%
• Cash-on-cash: -7.05%
• DSCR: 0.69
• 1% rule: 0.81%
• Cash to close: $81,312

Investor read

• This is a 1-bed/1.0-bath townhouse listed at $290k.
• At list price, monthly cash flow is $-478 ($-6k/yr) — negative.
• To cash-flow at today's rent, offer at most $206k (29.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $236k (18.9% below list).
• It's been on market 290 days — a 12% lower offer ($256k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $206k (29.1% below list) — sets the bar for cash-flow.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $9k of value loss. Plan a longer hold.
• Location reads 87/100 on livability (#13 in WA, #254 nationally) — a professional / high-income tenant draw. Strengths: crime A+, commute A+, employment A+; Watch: amenities F, cost of living F.
• Issaquah School District (suburban): math 77% / reading 81% proficiency, ranked #4 of 291 in WA (top 1%) — strong family-tenant draw, lease renewals of 3-5y typical; only 7% free/reduced lunch — higher-income household profile.
• Zoned schools: Sunny Hills Elementary (559 students, 10% FRL); Pine Lake Middle School (900 students, 5% FRL); Skyline High School (2,170 students, 7% FRL) — zoned schools at 7% FRL track the district average.
• Market conditions: Rents soft (-1.4%/yr); 169 active listings in the ZIP; 13 comparable units currently listed for rent nearby; rentals leasing fast (median 7d on market — plan ~1-2 weeks tenant-placement turnaround); high-income renter base; 10,555 units permitted in King County in 2024 (7,119 in 5+ unit buildings).
• King County population projected at +44% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 3 sale attempts since 23y ago; this cycle's ask has dropped $62k (18%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Cap rate 4.3% vs local median 1.3% in Sammamish — 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.
• This rent is only 11% of the median local income ($250k/yr) — well below the 30% rent-burden line; pricing power to push rent on renewal without tenant pushback.

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 290 days. Have you received any prior offers? Is the seller open to a 29% concession, seller financing, or rate buy-down credit?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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 A-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?
• 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.