12 Cross Street #201, Concord, NH 03303 — 2.6% Cash-on-Cash

About this property

12 Cross Street #201 is a 2-bedroom, 2-bath townhouse-style condo spanning 1,385 square feet across the second and third floors of a converted historic schoolhouse in Concord, NH.

The conversion origin is the property's most distinctive physical feature. Eleven-foot ceilings on the main level and oversized energy-efficient windows are structural artifacts of the original building, not cosmetic upgrades. The kitchen was built for the condo market: white shaker cabinetry, granite countertops, and a center island. Bamboo flooring runs through the main living level; luxury vinyl plank covers the upper floor. Both are low-maintenance choices that hold up well in rental use.

Private basement storage is included, a meaningful differentiator for a unit-style property. The HOA covers the building envelope and common areas at $250 per month, which is the cost of that storage, exterior maintenance, and FHA/VA approval status that broadens the future buyer pool.

At 109 days on market with a $5,000 price reduction from the original ask, the listing has sat. That's a signal worth reading: either the price still has room to negotiate, or the HOA fee is creating friction for owner-occupant buyers. The tax-assessed value of $254,500 against a $314,900 list price puts the ask at roughly 24% above assessed value, which is common in appreciated markets but worth factoring into any offer strategy. The property is flagged as non-owner occupied, confirming it's already been treated as an investment asset.

The investment case

A 2.6% cash-on-cash return sounds modest in isolation, but in Concord's current market it's a genuine outlier — the city's tenth-best deal on the leaderboard clears only 0.5%.

List Price

$314,900

Monthly Payment (PITI+HOA)

$2,492

Principal & Interest

$1,591

Property Tax

$546

Insurance

$105

HOA

$250

PMI

$0

Est. Monthly Rent

$2,627

Estimated rent based on automated valuation of comparable listings.

Cash-on-Cash Return

2.6%

Cap Rate

8.7%

Monthly Cash Flow

$135

Gross Rent Multiplier

10.0

DSCR

1.4

The city average cash-on-cash sits at -10.0%. Most Concord properties at today's rates and prices are cash-flow negative from day one. This property generates $135 per month in positive cash flow at a 6.55% mortgage rate with 20% down, which puts it in a different category than the typical local listing.

The numbers behind that cash flow: estimated monthly rent of $2,627 against a total monthly payment of $2,492 (principal and interest $1,591, property tax $546, insurance $105, HOA $250). The HOA is the largest single non-debt line item and the one that most compresses returns. Without it, the CoC would look considerably stronger. Investors should verify what the HOA covers and whether any special assessments are pending.

The cap rate of 8.7% is the metric that stands out most cleanly. Net operating income of $2,272 per month against a $314,900 purchase price produces a cap rate that would be competitive in many secondary markets, let alone a New England capital city. The debt service coverage ratio of 1.4 means the property generates 40% more income than needed to cover the mortgage, a comfortable cushion against vacancy or short-term rent softness.

The gross rent multiplier of 10.0 is on the favorable side for the region. Figures exclude depreciation tax benefits, which vary by individual tax situation.

For a Concord investor, this property's financial profile is rare — positive cash flow, a sub-10 GRM, and a DSCR that provides real vacancy buffer.

Annual return outlook

The 10.9% projected total annual ROI breaks into three components, with mortgage paydown and appreciation doing as much work as the cash flow itself.

Cash flow contributes 2.6% of that 10.9% figure. Mortgage paydown adds another 4.1% — at a $1,591 principal-and-interest payment, meaningful equity builds annually even in the early amortization years. The third leg is an estimated 4.2% annual appreciation, which is an LLM-derived projection rather than a scraped market data point, so treat it as directional rather than precise.

What the breakdown reveals is that this isn't purely a cash-flow play. The appreciation and paydown contributions (combined 8.3%) outweigh the cash-flow contribution (2.6%). That's typical for New England markets, where price floors tend to hold but rent yields are structurally compressed by high property taxes and HOA costs.

The $5,000 price reduction and 109 days on market suggest some negotiating room. Every dollar shaved off the purchase price improves all three return components simultaneously — lower principal means lower monthly payment, higher cash flow, and a better entry basis for appreciation math.

The FHA and VA approval status is a liquidity consideration worth flagging for the five-year exit. A broader buyer pool on resale — including owner-occupants using government-backed financing — typically supports price realization, particularly in a market where the for-sale comp median is $375,000 against this property's $314,900 ask.

How it compares to nearby for-sale listings

Five for-sale comps in the ZIP 03303 area show a wide price range, with this property priced below the $375,000 median.

At $314,900, this property comes in at roughly 16% below the for-sale comp median of $375,000. On a price-per-square-foot basis, the picture sharpens: 1,385 square feet at $314,900 works out to approximately $227 per square foot. The comp set includes a 972-square-foot unit at $255,000 ($262/sqft) and a 1,372-square-foot property at $444,900 ($324/sqft). By that measure, this property is priced at the lower end of the per-square-foot range despite offering the second-largest footprint in the comp set.

The 109 days on market is the longest in the visible comp set — most comps listed within the past two weeks. That duration gap is the honest flag. It doesn't necessarily mean the property is overpriced, but it does mean the market hasn't moved on it at the current ask. The $5,000 reduction from the original list price is a small concession relative to the total price; sellers flagging closing cost assistance suggests they may have more flexibility than the list price implies.

For an investor, a longer DOM can be an advantage at the negotiating table. The tax-assessed value of $254,500 provides a rough floor reference — the ask is 24% above it, which leaves room for a lower offer without insulting the seller's position.

Rental demand in this zip

No active rental comps were identified in ZIP 03303 for 2-bedroom units, which means the $2,627 monthly rent estimate carries meaningful uncertainty.

The estimated monthly rent of $2,627 is the single biggest variable in this investment case. With zero comparable rentals to validate against in the immediate ZIP code, that figure is a model output rather than a market-confirmed number. Investors should treat it as a starting point and do independent legwork before underwriting a purchase.

That said, the property has structural features that support the higher end of the rent range for the area. The converted schoolhouse design, 11-foot ceilings, and 1,385 square feet of finished space are differentiators from a standard condo unit. In-unit laundry (the LG All-in-One washer/dryer) and private basement storage are tangible amenities that support rent premiums in the tenant market.

The FHA and VA approval status matters less for rental demand directly, but it signals that the building meets baseline habitability and financial health standards, which is relevant for tenant quality and building stability over time.

The DSCR of 1.4 means the property can absorb a rent shortfall of roughly $800 per month before cash flow turns negative — a meaningful buffer if the market rent comes in below $2,627. At $1,800 in actual rent, the deal still covers its debt service. That downside cushion is worth quantifying before closing.

No local rental comps means the $2,627 estimate needs field verification, but the DSCR buffer gives the numbers room to breathe even if rent comes in lower.

Who this property suits + risks to weigh

This property fits an investor who wants positive cash flow in a market that rarely produces it, and is comfortable with a thin rent data set and an active HOA.

Best fit

The ideal buyer here is a buy-and-hold investor with a 5-plus-year horizon who wants exposure to New Hampshire real estate without absorbing negative cash flow from day one. The 2.6% CoC is modest, but it's real — and in a city where the average deal loses money on a monthly basis, that's not a trivial distinction. Investors already comfortable with HOA-governed properties and who can verify rent demand through local property managers before closing are best positioned to underwrite this confidently.

Veterans eligible for VA financing have a specific angle here: the property carries VA Approval ID #003055, and a $0-down VA loan changes the cash-on-cash math entirely by eliminating the down payment from the denominator. That's worth modeling separately if applicable.

Risks to weigh

The HOA fee of $250 per month is the deal's structural compression point. It can't be reduced, and any special assessments from the HOA would hit cash flow directly. Prospective buyers should request the HOA's reserve study and meeting minutes before committing.

The 109-day DOM is the other flag. Extended market time in a property that's been flagged as non-owner occupied suggests either a pricing mismatch or a buyer pool that's thinner than the listing implies. The absence of rental comps in the ZIP means the $2,627 rent estimate is unvalidated — the most important due-diligence step before closing is a local property manager's opinion of achievable rent. If actual rent comes in at $2,200, the cash flow turns slightly negative and the investment thesis shifts entirely to appreciation and paydown.