1565 Highway 66 #20

Estes Park, CO 80517

$2,600D

2 bd · 2.0 ba · 1,100 sqft · Built 1990 · Townhouse · Active · 27 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,975/mo
• Mortgage (P&I): −$14
• Tax + insurance: −$4
• HOA: −$86
• Vac / Maint / Mgmt: −$415
• Net cashflow: $1,456/mo
• Annual: $17,475/yr
• Cap rate: 678.42%
• Cash-on-cash: 2400.46%
• DSCR: 107.81
• 1% rule: 75.96%
• Cash to close: $728

Investor read

• This is a 2-bed/2.0-bath townhouse listed at $3k.
• At list price, monthly cash flow is $1k ($17k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $3k).
• It's been on market 27 days — a 2% lower offer ($3k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $3k (1.5% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $18 of loan paydown is wiped out by about $78 of value loss. Plan a longer hold.
• Location reads 72/100 on livability (#58 in CO) — a middle-class / working-renter tenant base. Strengths: amenities A+, crime A-, health & safety B+; Watch: commute F, cost of living F.
• Estes Park School District R-3 (town): math 26% / reading 47% proficiency, ranked #34 of 86 in CO (top 40%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Estes Park K-5 School (math 15% / reading 37%, grade F, #581 of 966 statewide, top 61%, 471 students, 36% FRL); Estes Park High School (math 47% / reading 67%, grade C, #70 of 381 statewide, top 18%, 323 students, 27% FRL) — zoned schools at 31% FRL track the district average.
• Market conditions: 201 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 1,786 units permitted in Larimer County in 2024 (402 in 5+ unit buildings).
• Larimer County population projected at +51% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 3 sale attempts since 8y 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.
• Current owner paid $1k; list at $3k implies a 160% gain — meaningful room to come down on a strong offer.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $728 cash investment doubles in ~1 year — after that, you're playing with house money.
• Climate carrying-cost: major wildfire risk — expect insurance premiums to compound above CPI over the hold.
• Cap rate 678.4% vs local median 1.7% in Estes Park — 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

• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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.