Condo & Townhome Financing in Lovell, WY

Condo & Townhome investing in Lovell

Condos and townhomes are the lowest-basis way into the Lovell 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 Wyoming runs a project review: owner-occupancy ratio, investor concentration, HOA delinquency rate, reserve funding, and any pending litigation or special assessment.

At the Lovell median of $235,000, a condo or townhome prices near $169,200, roughly a quarter under the detached median. Minimum down is 20% ($33,840), leaving a loan of $135,360. Estimated all-in PITIA runs about $1,350 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 Lovell median for this product: an estimated cap rate of 6.43%, and monthly cash flow of $111 positive at 20% down. A file that cash-flows at the minimum down payment is the exception in Wyoming right now, and it gives you room to absorb an insurance renewal without going to the reserve account.