670 Ruby Lake Dr

Hiawassee, GA 30546

$125,000B-

2 bd · 1.5 ba · 1,376 sqft · Built 1971 · SingleFamily · Active · 18 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,637/mo
• Mortgage (P&I): −$656
• Tax + insurance: −$95
• HOA: −$0
• Vac / Maint / Mgmt: −$344
• Net cashflow: $542/mo
• Annual: $6,509/yr
• Cap rate: 11.50%
• Cash-on-cash: 18.60%
• DSCR: 1.83
• 1% rule: 1.31%
• Cash to close: $35,000

Investor read

• This is a 2-bed/1.5-bath single-family listed at $125k.
• At list price, monthly cash flow is $542 ($7k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $125k).
• It's been on market 18 days — a 2% lower offer ($123k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $123k (1.5% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $864 of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
• Location reads 77/100 on livability (#22 in GA, #3,192 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, health & safety A+, housing A-; Watch: amenities F, commute F.
• Towns County (rural): math 40% / reading 44% proficiency, ranked #40 of 174 in GA (top 23%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Towns County Elementary School (math 42% / reading 42%, grade F, #380 of 1,228 statewide, top 33%, 500 students, 67% FRL); Towns County Middle School (math 48% / reading 49%, grade C-, #75 of 470 statewide, top 17%, 206 students, 61% FRL); Towns County High School (math 12% / reading 37%, grade F, #184 of 424 statewide, top 48%, 296 students, 49% FRL).
• Market conditions: 349 active listings in the ZIP; 108 units permitted in Towns County in 2024 (0 in 5+ unit buildings).
• Towns County population projected at +20% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 2 sale attempts 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 $35k cash investment doubles in ~7 years — after that, you're playing with house money.
• Cap rate 11.5% vs local median 2.0% in Hiawassee — 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

• Built in 1971 — 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.
• 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.