3506 Rosedale Rd, Baltimore, MD 21215 — 35.3% Cash-on-Cash

About this property

3506 Rosedale Rd is a 3-bedroom, 3-bathroom single-family property in Baltimore's 21215 ZIP code, listed as-is at $185,000 after a $25,000 price reduction.

The listing calls for moderate renovation throughout, and the price reflects that honestly. What the property brings structurally is notable: a wood-burning fireplace, separate formal living and dining rooms, and a primary suite with an enclosed balcony and private access — details that are increasingly rare at this price point in the ZIP. The eat-in kitchen includes a built-in refrigerator and enough space to function as a genuine gathering room rather than a pass-through.

At 1,695 square feet on a 6,840-square-foot lot, the footprint is solid for a 3/3 configuration. Public records place the tax-assessed value at $183,700 — nearly identical to the asking price — which limits the downside argument that the seller is overreaching. The property has been on the market 49 days, and the $25,000 reduction signals a seller willing to deal. Non-owner-occupied status confirms this is already framed as an investment asset, not a primary residence sale. No HOA, no pre-foreclosure flag, and no PMI at 20% down keeps the cost structure clean.

The investment case

The numbers at 3506 Rosedale Rd are unusually strong for Baltimore: a 35.3% cash-on-cash return that leads the entire 21215 ZIP, against a zip average of 15.8%.

List Price

$185,000

Monthly Payment (PITI+HOA)

$1,418

Principal & Interest

$1,010

Property Tax

$346

Insurance

$62

HOA

$0

PMI

$0

Est. Monthly Rent

$2,505

Estimated rent based on automated valuation of comparable listings.

Cash-on-Cash Return

35.3%

Cap Rate

15.8%

Monthly Cash Flow

$1,087

Gross Rent Multiplier

6.2

DSCR

2.4

At a $185,000 purchase price with 20% down, the all-in monthly payment lands at $1,418 — principal and interest of $1,010 at the current 30-year fixed rate of 6.66%, plus $346 in property taxes and $62 in insurance. Estimated monthly rent comes in at $2,505, producing a monthly cash flow of $1,087 and a net operating income of $2,443.

The cap rate of 15.8% is the figure that anchors this deal's standalone merit — it measures return on the asset itself, independent of financing. A gross rent multiplier of 6.2 means the property pays for itself in just over six years of gross rents, a threshold most markets don't approach. The debt service coverage ratio of 2.4 is the cushion number: the property generates 2.4 times the debt it carries, which gives meaningful room for vacancy, repairs, or rent softness without flipping into negative territory.

Against Baltimore's city-wide cash-on-cash average of 0.0%, the 35.3% here isn't a marginal outperformance — it's a different category of deal. Even against the 21215 ZIP average of 15.8%, this property more than doubles the local benchmark. Figures exclude depreciation tax benefits, which vary by individual tax situation.

The financial case here is straightforward: the rent-to-price ratio is high, the debt load is manageable, and the coverage ratio leaves room for the renovation reality that comes with an as-is purchase.

Annual return outlook

The 5-year total ROI of 45.3% is built on three distinct components, with cash flow doing the heaviest lifting by a wide margin.

Cash flow contributes 35.3 percentage points of the 45.3% five-year total — meaning the rent spread alone accounts for roughly 78% of the projected return. Mortgage paydown adds another 6.1 points as the tenant's rent chips away at the principal balance. Appreciation rounds out the picture at an estimated 3.9% annually, though that figure is a modeled projection rather than a market-observed data series, so it warrants softer weighting in underwriting.

The practical implication: even if Baltimore appreciation comes in flat over five years, the cash flow and paydown components alone produce a return north of 41%. That's a meaningful margin of safety for an investor who isn't counting on price appreciation to make the deal work. Conversely, if the 3.9% annual appreciation estimate holds, it adds a compounding equity kicker on top of an already strong cash-on-cash position.

One honest caveat: the as-is condition means renovation costs will reduce early cash flow. An investor who underwrites $20,000 to $40,000 in upfront work should remodel the year-one CoC figure accordingly before treating the 35.3% as a day-one reality. The five-year horizon absorbs that drag — but the first 12 months will look different from the stabilized run rate.

How it compares to nearby for-sale listings

Five active 3-bedroom listings in ZIP 21215 provide a price anchor, with a comp median of $279,999 — $94,999 above this property's asking price.

3506 Rosedale Rd is priced 34% below the for-sale comp median of $279,999 in the same ZIP. That gap is significant, but it's not a mystery: the as-is condition and required renovation work are priced into the ask, and the comp set includes properties in finished condition. The closest comparable by size and configuration — 5104 Sunset Rd at $195,000 for 3 beds, 2 baths, and 1,710 square feet — is the most relevant data point, and even that property carries a 2-bath count versus this property's 3, which typically commands a premium.

On a price-per-square-foot basis, 3506 Rosedale Rd comes in at roughly $109/sqft. The comp at 5808 Highgate Dr — 1,040 sqft at $279,999 — implies $269/sqft, more than double. Even the most affordable finished comp in the set trades at a significant premium per square foot, which frames the renovation upside: a completed property at this address could plausibly close the gap toward the $240,000–$280,000 range that finished 3-bedroom product is commanding in 21215.

The 49-day DOM here is longer than the freshest comps but not an outlier — two comps in the set have been listed over 50 days, suggesting the ZIP itself moves at a measured pace rather than a hot-market clip.

Rental demand in this zip

No directly comparable rentals were identified in ZIP 21215 for 3-bedroom properties, which limits the precision of the rent estimate but doesn't eliminate it.

The estimated monthly rent of $2,505 is the figure driving the cash-flow math, and with zero rental comps pulled from the immediate ZIP, the confidence interval around that number is wider than an investor would prefer. That's a real limitation to acknowledge up front.

What the absence of comps doesn't mean: it doesn't mean the rent is wrong. Thin rental comp databases in a ZIP often reflect low rental listing volume rather than low rental activity — particularly in a market where many rentals are leased informally or through property managers who don't list publicly. The debt service coverage ratio of 2.4 provides some cushion: even if actual achievable rent comes in 15% below the estimate — roughly $2,130/month — the property still covers its debt and produces positive cash flow.

An investor serious about this deal should conduct direct market research: call local property managers, check active rental listings in adjacent ZIPs with similar housing stock, and get a range before closing. The $2,505 estimate is a reasonable starting point, not a guaranteed outcome. Renovation quality will also directly influence achievable rent — a well-finished 3/3 at 1,695 square feet commands more than a functional-but-basic one.

Who this property suits + risks to weigh

This property suits an experienced value-add investor comfortable managing renovation scope and rent uncertainty in exchange for one of the highest cash-on-cash returns available in the ZIP.

Best fit

The investor profile here is someone who has renovated before, has a reliable contractor network, and can absorb the gap between purchase and stabilized rent without needing immediate cash flow. The as-is condition and third-party approval requirement (the listing notes subject-to approval) suggest this may involve a longer close timeline than a standard transaction. A buy-and-hold investor with a 5-plus-year horizon is better positioned than a short-term flipper, given that the cash flow thesis requires a stabilized tenant in place.

The 3-bathroom configuration on a 3-bedroom property is a genuine differentiator for tenant quality — families and house-sharers both prioritize bathroom count, and it supports the upper end of the rent range. The enclosed balcony on the primary suite and the formal room layout add livability that justifies above-median rent once renovated.

Risks to weigh

Renovation cost uncertainty is the primary risk. "Moderate renovations throughout" is listing language, not a contractor bid. Without a scope-of-work estimate, the true all-in basis is unknown. A $30,000 renovation budget changes the effective CoC; a $70,000 one changes the deal thesis entirely.

The zero rental comp count in ZIP 21215 means the $2,505 rent estimate is unvalidated by local market data. If achievable rent is closer to $2,100, the cash-on-cash return compresses meaningfully — still positive, but no longer the ZIP leader by the same margin.

Third-party approval adds closing timeline risk. Deals requiring external sign-off can fall through or extend unpredictably. Investors should factor that into their capital allocation and not treat this as a fast close.