Walton IV A Plan

Calhoun, GA 30701

$231,280F

4 bd · 2.0 ba · 1,564 sqft · Built — · SingleFamily · Active · 497 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,791/mo
• Mortgage (P&I): −$1,506
• Tax + insurance: −$479
• HOA: −$0
• Vac / Maint / Mgmt: −$376
• Net cashflow: $-570/mo
• Annual: $-6,841/yr
• Cap rate: 3.91%
• Cash-on-cash: -8.51%
• DSCR: 0.62
• 1% rule: 0.62%
• Cash to close: $80,429

Investor read

• This is a 4-bed/2.0-bath single-family listed at $231k.
• At list price, monthly cash flow is $-570 ($-7k/yr) — negative.
• To cash-flow at today's rent, offer at most $205k (11.5% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $179k (22.6% below list).
• It's been on market 497 days — a 12% lower offer ($204k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $179k (22.6% below list) — sets the bar for 1% rule.
• 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 68/100 on livability (#129 in GA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A+, housing A; Watch: crime C-, amenities F, commute F.
• Calhoun City (town): math 44% / reading 42% proficiency, ranked #39 of 174 in GA (top 22%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Calhoun Primary School (879 students, 66% FRL); Calhoun Middle School (math 47% / reading 48%, grade C-, #84 of 470 statewide, top 19%, 623 students, 58% FRL); Calhoun High School (math 21% / reading 43%, grade F, #110 of 424 statewide, top 28%, 1,274 students, 55% FRL).
• Market conditions: Rents rising (+1.5%/yr); 402 active listings in the ZIP; 414 units permitted in Gordon County in 2024 (0 in 5+ unit buildings).
• Climate carrying-cost: extreme-heat days projected 7→19/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• This rent runs 34% of the median local income ($64k/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 497 days. Have you received any prior offers? Is the seller open to a 23% concession, seller financing, or rate buy-down credit?
• 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.
• 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.