12 Hethlon Road, Canterbury, NH 03224 — 2.6% Cash-on-Cash

About this property

12 Hethlon Road is a 3-bedroom, 2-bath single-family on 1.14 acres in Canterbury, NH, listed at $459,900 with 2,036 square feet of living space.

The property sits on a wooded 1.14-acre lot that includes an in-ground swimming pool, hot tub, and a cabana — amenities that are uncommon at this price point and carry meaningful weight for tenant appeal in a rural-suburban market. That outdoor package alone differentiates this listing from comparably priced inventory in the area.

Access is a practical selling point. The property is close to Interstate 93 via Exit 17, putting downtown Concord and the Lakes Region within reasonable commuting distance. Everyday retail, medical offices, and dining along Merchants Way are minutes away — the kind of convenience that typically commands a rental premium in otherwise rural settings.

The listing hit the market at day zero with no price reduction from the original ask, and public records show a tax-assessed value of $270,400 against the $459,900 list price. That gap between assessed and asking is common in New Hampshire's assessment cycle but is worth tracking as a due-diligence signal. Delayed showings begin July 18th, which suggests the seller expects early competitive interest. Figures exclude depreciation tax benefits, which vary by individual tax situation.

The investment case

At a 2.6% cash-on-cash return and $200 in monthly cash flow, this property outperforms Canterbury's city average by a wide margin — though the margin itself reveals how thin the local market is.

List Price

$459,900

Monthly Payment (PITI+HOA)

$3,235

Principal & Interest

$2,297

Property Tax

$785

Insurance

$153

HOA

$0

PMI

$0

Est. Monthly Rent

$3,435

Estimated rent based on automated valuation of comparable listings.

Cash-on-Cash Return

2.6%

Cap Rate

8.6%

Monthly Cash Flow

$200

Gross Rent Multiplier

11.2

DSCR

1.4

The city average cash-on-cash sits at -10.0%. Against that baseline, a 2.6% CoC isn't just positive — it's structurally rare in Canterbury. The tenth-best deal on the local leaderboard returns only 0.5% CoC, which means this property clears even the city's top-tier threshold. Cash flow in Canterbury is thin by any standard, but this listing is one of the strongest available locally.

The numbers behind the $200 monthly cash flow: estimated rent of $3,435 against a total monthly payment of $3,235, which includes $2,297 in principal and interest at the current 6.55% 30-year fixed rate, $785 in property taxes, and $153 in insurance. No HOA, no PMI. The effective property tax rate of 2.21% is the single largest cost drag — at $785/month, taxes consume more than 24% of the gross rent estimate.

The cap rate of 8.6% and net operating income of $3,282/month are the stronger signals here. A debt service coverage ratio of 1.4 means the property generates 40% more income than it needs to cover debt — a cushion that most lenders view favorably and that provides some buffer against vacancy or rent softness. The gross rent multiplier of 11.2 is reasonable for a New Hampshire single-family at this price point.

The investment case is real but narrow: positive cash flow in a market where most deals lose money on paper, backed by a cap rate that suggests the income stream is priced sensibly relative to the ask.

Annual return outlook

The 10.6% projected 5-year total ROI draws from three sources, with mortgage paydown and appreciation doing more of the work than cash flow alone.

Cash flow contributes 2.6% of the 10.6% total — meaningful, but not the lead driver. Mortgage paydown adds 3.8%, a mechanical return that compounds as the loan balance decreases over time regardless of market conditions. The largest single contributor is an estimated 4.2% annual appreciation, which adds 4.2% to the blended figure.

That appreciation estimate carries a soft framing caveat: it's an analytical estimate rather than a figure derived from recorded transaction data, so it should be treated as a directional input rather than a forecast. Canterbury's rural character and I-93 access have historically supported steady demand from Concord-area buyers and renters, but appreciation in smaller New Hampshire towns can be uneven across cycles.

For an investor holding five years, the paydown component is the most predictable of the three. At a 6.55% fixed rate on a standard amortization schedule, principal reduction in the early years is modest but consistent. The 3.8% paydown contribution assumes the loan runs as scheduled without refinancing.

Combined, the three components produce a return profile that isn't dependent on any single lever. Even if appreciation comes in below the 4.2% estimate, positive cash flow and paydown keep the total return positive — which is not a given for most Canterbury listings at this price tier.

How it compares to nearby for-sale listings

Five active listings in the surrounding area provide a pricing reference, though none are direct matches on bedroom count, lot size, or Canterbury's specific market.

The for-sale comp median sits at $439,000 — roughly $21,000 below the $459,900 ask at 12 Hethlon Road. That premium is defensible given the 1.14-acre lot, pool, and 2,036 square feet of living space, but it's worth examining on a per-square-foot basis.

At $459,900 across 2,036 square feet, this property prices at approximately $226 per square foot. The closest size comp in the set — a 1,972-square-foot 3-bedroom in Concord listed at $729,000 — prices at $370 per square foot, making Hethlon Road look conservatively priced by comparison. The lower-end comps are smaller (972 to 1,425 square feet) and in different municipalities, limiting direct comparability.

Days on market across the comp set range from one to six days, consistent with an active spring market. 12 Hethlon Road launched at zero days with delayed showings, a strategy that typically concentrates buyer traffic into a single weekend — suggesting the listing agent expects multiple-offer dynamics rather than a drawn-out negotiation. The list price shows no reduction from the original ask, which is consistent with a seller who has priced with confidence rather than tested the market high.

Rental demand in this zip

No comparable rental listings were identified in ZIP 03224 for 3-bedroom properties, which limits the precision of the rent estimate but doesn't eliminate it.

The estimated monthly rent of $3,435 is the primary income assumption underlying every cash-flow figure in this analysis. With zero rental comps recorded in the 03224 ZIP code for 3-bedroom units, that estimate carries wider uncertainty than a figure grounded in active market data. Investors should treat it as a starting point for underwriting, not a confirmed market rate.

Canterbury's rural character means the rental pool is smaller than a suburban market. Demand likely comes from Concord-area workers seeking more space, commuters priced out of tighter markets, or tenants who specifically value privacy and outdoor amenities — the pool and hot tub at this property could support a rent premium relative to a standard 3-bedroom in the area, but that premium is unverifiable without active comp data.

The DSCR of 1.4 provides a meaningful cushion: rent would need to fall roughly 28% from the $3,435 estimate before the property fails to cover its debt service. That's a wider buffer than most Canterbury deals offer. The absence of HOA fees also removes one variable from the expense side, keeping the break-even rent lower than it would be in a fee-encumbered property.

Rent confidence here is moderate at best — the income thesis holds if the estimate is directionally accurate, but a pre-purchase rent survey with a local property manager would sharpen the underwriting considerably.

Who this property suits + risks to weigh

This property suits a buy-and-hold investor comfortable with rural New Hampshire dynamics who wants positive cash flow in a market where most deals don't produce it.

Best fit

An investor targeting a 10%-plus total return with modest monthly cash flow and a long hold horizon fits this deal well. The 2.6% CoC won't fund a lifestyle, but $200/month in cash flow on a $459,900 asset in a negative-average market is a meaningful relative outcome. The DSCR of 1.4 gives a lender-friendly profile, and the absence of HOA or PMI keeps the cost structure clean.

The pool, hot tub, and acreage make this a stronger candidate for a premium long-term tenant than a standard 3-bedroom box — the kind of tenant who stays multiple years and treats the property carefully. That tenant profile reduces turnover cost, which matters in a rural market where vacancy can be harder to fill quickly.

An investor who also wants a future exit as a primary residence — a hybrid live-in-then-rent or rent-then-sell strategy — would find the I-93 access and Concord proximity useful for personal use as well.

Risks to weigh

The tax-assessed value of $270,400 against a $459,900 ask is a wide gap. New Hampshire reassessments can move assessed values closer to market over time, which could push the already-high $785/month tax line higher. The 2.21% effective rate is already one of the more significant cost items in the monthly stack.

The rent estimate rests on no local comp data. If the true market rent is closer to $3,000 than $3,435, cash flow turns negative. Pool and hot tub maintenance costs are real and recurring — they don't appear in the monthly payment breakdown but will reduce net income. Any investor should budget for those expenses explicitly before closing.