2 bd · 1.0 ba ·
1,026 sqft ·
Built 1925
· SingleFamily
· Pending
· 34 DOM
Cashflow @ list (25.0% down · 7.5%)
Estimated rent
$1,289/mo
Mortgage (P&I)
−$152
Tax + insurance
−$48
HOA
−$0
Vac / Maint / Mgmt
−$271
Net cashflow
$818/mo
Annual
$9,813/yr
Cap rate
40.13%
Cash-on-cash
120.85%
DSCR
6.38
1% rule
4.44%
Cash to close
$8,120
Investor read
This is a 2-bed/1.0-bath single-family listed at $29k.
At list price, monthly cash flow is $818 ($10k/yr) — positive.
The deal already cash-flows at list — no discount required.
Meets the 1% rule at list price ($1k rent vs $29k).
It's been on market 34 days — a 3% lower offer ($28k) is reasonable based on typical stale-listing flexibility.
Recommended offer: $28k (3.0% below list) — sets the bar for market timing.
Local home prices are declining (-3.0%/yr); year-one equity from $200 of loan paydown is wiped out by about $870 of value loss. Plan a longer hold.
Location reads 67/100 on livability (#406 in MI) — a middle-class / working-renter tenant base. Strengths: commute A+, cost of living A+, housing A+; Watch: health & safety D, schools F, crime F.
Westwood Community School District (suburban): math 6% / reading 11% proficiency, ranked #529 of 540 in MI (top 98%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 81% free/reduced lunch — lower-income household profile, screen leases tightly.
Watch-outs: built in 1925 — expect roof / HVAC / electrical / plumbing capex.
Market conditions: Rents rising (+3.0%/yr); 142 active listings in the ZIP; 23 comparable units currently listed for rent nearby; rentals at typical pace (median 18d on market — plan ~3-4 weeks tenant-placement turnaround); lower-income renter base — watch delinquency; 2,639 units permitted in Wayne County in 2024 (1,216 in 5+ unit buildings).
Wayne County population projected at -17% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
2 sale attempts since 3y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
At projected returns (-3.0% appreciation + 3.0% rent growth), your $8k cash investment doubles in ~1 year — after that, you're playing with house money.
Cap rate 40.1% vs local median 9.8% in Inkster — 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 runs 39% of the median local income ($39k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.
Questions for listing agent
It's been on market 34 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
Built in 1925 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
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?
Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
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.
CashFlowRE · CFR-XTPRW608ESSW0Q
· Data 2 weeks agocashflowre.app · 2026-05-29