Condo & Townhome Financing in Gardner, KS

Condo & Townhome investing in Gardner

Condos and townhomes are the lowest-basis way into the Gardner rental market, and the trade is that a second set of underwriting rules applies to the building, not just to you. Every DSCR condo file in Kansas runs a project review: owner-occupancy ratio, investor concentration, HOA delinquency rate, reserve funding, and any pending litigation or special assessment.

At the Gardner median of $320,000, a condo or townhome prices near $230,400, roughly a quarter under the detached median. Minimum down is 20% ($46,080), leaving a loan of $184,320. Estimated all-in PITIA runs about $1,892 per month, and that figure already carries an HOA allowance of $240/month — HOA dues count in the DSCR denominator, which is exactly why condo files that look cheap on price often ratio worse than a detached comp.

Returns and structure

Return metrics at the Gardner median for this product: an estimated cap rate of 4.40%, and monthly cash flow of $529 negative at 20% down. Negative cash flow at the minimum down payment is common in appreciation-led markets; investors close the gap with a larger down payment, a purchase below median, an added unit, or a rate buydown.