50 Pine Top Dr

Walton, KY 41094

$265,000F

3 bd · 2.5 ba · 1,028 sqft · Built 1994 · SingleFamily · Pending · 4 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,716/mo
• Mortgage (P&I): −$1,390
• Tax + insurance: −$287
• HOA: −$0
• Vac / Maint / Mgmt: −$360
• Net cashflow: $-321/mo
• Annual: $-3,852/yr
• Cap rate: 4.84%
• Cash-on-cash: -5.19%
• DSCR: 0.77
• 1% rule: 0.65%
• Cash to close: $74,200

Investor read

• This is a 3-bed/2.5-bath single-family listed at $265k.
• At list price, monthly cash flow is $-321 ($-4k/yr) — negative.
• To cash-flow at today's rent, offer at most $208k (21.4% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $172k (35.3% below list).
• Only 4 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $172k (35.3% 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 $8k of value loss. Plan a longer hold.
• Location reads 73/100 on livability (#115 in KY, #4,981 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F, health & safety F.
• Walton-Verona Independent (rural): math 37% / reading 48% proficiency, ranked #23 of 165 in KY (top 14%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Walton-Verona Elementary School (math 52% / reading 48%, grade D+, #98 of 676 statewide, top 15%, 734 students, 38% FRL); Walton-Verona Middle School (math 31% / reading 49%, grade F, #59 of 217 statewide, top 29%, 547 students, 34% FRL); Walton-Verona High School (math 37% / reading 42%, grade F, #40 of 254 statewide, top 19%, 549 students, 30% FRL) — zoned schools at 34% FRL track the district average.
• Market conditions: 181 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 1,430 units permitted in Boone County in 2024 (928 in 5+ unit buildings).
• Boone County population projected at +24% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 3 sale attempts since 26y 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 $126k; list at $265k implies a 110% gain — meaningful room to come down on a strong offer.
• Cap rate 4.8% vs local median 2.8% in Walton — 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 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?
• 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?
• 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.