1405 Park Ave, Washington, PA 15301 — 29.8% Cash-on-Cash

About this property

1405 Park Ave is a four-bedroom, two-bath single-family property in Washington, PA, sitting on nearly half an acre with 2,400 square feet of living space.

The listing describes the floor plan as functional and adaptable — spacious rooms, a kitchen and living area ready for a modern refresh, and four bedrooms that translate cleanly into a landlord-friendly layout. What stands out structurally is the large unfinished room above the parking space: raw square footage that a buyer could convert into a studio, workshop, or bonus suite without touching the primary living area. That's an expansion option most comparable properties at this price point don't carry.

The property is non-owner occupied and has been on the market 36 days, with a $5,000 price reduction from the original ask. Public records show a tax-assessed value of $128,600 against a listing price of $179,999 — a gap that signals either recent improvements or seller confidence in the income story. The 0.483-acre lot is generous for an in-town location. No HOA, no pre-foreclosure flag.

The investment case

Rent covering 1.7 times the monthly payment is an unusual margin — and the numbers behind it hold up across multiple metrics.

List Price

$179,999

Monthly Payment (PITI+HOA)

$1,220

Principal & Interest

$971

Property Tax

$189

Insurance

$60

HOA

$0

PMI

$0

Est. Monthly Rent

$2,115

Estimated rent based on automated valuation of comparable listings.

Cash-on-Cash Return

29.8%

Cap Rate

13.7%

Monthly Cash Flow

$895

Gross Rent Multiplier

7.1

DSCR

2.1

The monthly payment on a conventional loan at 6.55% breaks down to $971 in principal and interest, $189 in property taxes, and $60 in insurance, totaling $1,220. Against an estimated rent of $2,115, the property generates $895 in monthly cash flow before maintenance and vacancy. That's not a rounding error — it's structural.

The cap rate lands at 13.7%, with net operating income of $2,055 per month. The gross rent multiplier is 7.1, meaning the purchase price is recovered in gross rent in just over seven years. The debt service coverage ratio of 2.1 gives a lender — and an owner — meaningful cushion against vacancy or unexpected expenses.

The cash-on-cash return of 29.8% compares against a city average of -1.0%. Washington PA's broader for-sale market is priced at a median of $310,000; this property comes in at $179,999, well below that midpoint, which is a large part of why the income math works. The city's tenth-best cash-on-cash deal clocks in at 29.13%, meaning this property is right at the top of the local leaderboard — not just above average, but competing with the best income opportunities Washington currently offers.

Figures exclude depreciation tax benefits, which vary by individual tax situation.

Annual return outlook

The five-year total ROI of 39.8% is driven primarily by cash flow, with appreciation and mortgage paydown adding meaningful secondary contributions.

Cash flow does the heavy lifting here: the 29.8% cash-on-cash component accounts for the bulk of the 39.8% five-year total return. Mortgage paydown adds 6.2% as principal reduction builds equity passively over the hold period. Appreciation contributes 3.8% annually — cited from market data — and while it's the smallest of the three levers, it's additive to a return profile that doesn't need it to pencil.

That structure matters. Properties where the investment thesis depends on appreciation require the market to cooperate. Here, cash flow alone justifies the position. The appreciation and paydown components are upside, not load-bearing assumptions.

The one variable worth stress-testing is rent. The 3.8% projected appreciation applies to property value, not necessarily to rent growth. If rents in the 15301 zip stay flat, the cash flow figure doesn't compound — it holds. That's still a strong outcome at $895/month, but investors modeling aggressive rent escalation should treat that assumption conservatively given the thin rental comp sample in the area.

A 39.8% five-year ROI anchored by cash flow rather than appreciation is a durable structure — one that doesn't require a rising market to deliver returns.

How it compares to nearby for-sale listings

Five active four-bedroom listings in the 15301 zip provide a pricing framework — and 1405 Park Ave sits well below the group's median.

The for-sale comp median in this zip is $289,999. At $179,999, this property is 38% below that midpoint. On a price-per-square-foot basis, 2,400 square feet at $179,999 works out to roughly $75/sqft. The nearest size-comparable in the comp set — 1866 Henderson Ave at 2,405 sqft — is listed at $289,999, or approximately $121/sqft. That's a 61% premium for nearly identical square footage.

The comp at 231 S Lincoln St ($124,900, 2,322 sqft) is cheaper, but it hit the market one day ago and will likely move quickly, limiting its relevance as a pricing anchor. The upper end of the comp set — $415,000 and $479,990 — reflects either newer construction or substantially different condition, and those listings have been sitting longer relative to their ask.

1405 Park Ave has been on the market 36 days with one price reduction. That's not a distress signal, but it does suggest the seller has already adjusted expectations once. For a buyer, that history creates negotiating context even if the current ask is already competitively positioned against the comp set on a per-square-foot basis.

Rental demand in this zip

The rental comp picture for four-bedroom units in ZIP 15301 is thin — one comparable rental at $1,600/month — which introduces real uncertainty into the $2,115 rent estimate.

1 comparable rentals in ZIP 15301 — median $1,600/mo, range $1,600–$1,600/mo

The estimated monthly rent of $2,115 sits $515 above the single available rental comp at $1,600. That's a 32% premium over the only directly comparable data point in the zip. Investors should take that gap seriously. The $2,115 figure may reflect the property's larger footprint (2,400 sqft versus an unspecified comp size) or the potential value of the unfinished bonus room above the parking area — but with one comp in the dataset, the confidence interval is wide.

A conservative underwriting approach would stress-test cash flow at or near the $1,600 comp figure. At $1,600 in rent against $1,220 in monthly payment, the property still generates $380/month in cash flow before maintenance and vacancy — positive, but a materially different return profile than the headline numbers suggest. The cash-on-cash return compresses significantly under that scenario.

The debt service coverage ratio of 2.1 was calculated on the $2,115 estimate. Even at $1,600, coverage remains above 1.0, meaning the property doesn't go underwater on debt service. That's a meaningful floor. But investors building a financial model should run both scenarios before committing to a rent assumption.

Who this property suits + risks to weigh

This property fits a cash-flow-focused buyer comfortable with light renovation upside and willing to underwrite rent conservatively in a thin comp market.

Best fit

The buyer who extracts maximum value here is likely an experienced landlord or small portfolio investor who can self-manage or has a local property manager in place. The non-owner-occupied status means it's already positioned as a rental asset. The unfinished room above the parking space is a real option — a buyer with construction contacts could convert it into additional rentable square footage or a premium amenity that supports a rent ask above the current $1,600 comp. At $179,999 with no HOA and no PMI at 20% down, the capital requirements are manageable relative to the income potential.

Risks to weigh

The rental comp sample is the primary risk. One comparable rental in the zip is not enough data to anchor a $2,115/month rent estimate with confidence. A buyer who closes at full ask and then discovers the market clears at $1,600 will see cash-on-cash returns compress from 29.8% to something closer to 12-15% — still positive, but not the headline figure. The 36-day market time and prior price reduction also suggest the property hasn't attracted immediate competition, which could reflect condition issues not visible in the listing description. A thorough inspection — particularly of the unfinished bonus room and any deferred maintenance — is essential before closing. The tax-assessed value of $128,600 against a $179,999 ask is a data point worth understanding: it doesn't mean the property is overpriced, but it warrants a conversation with a local appraiser before financing is finalized.