38005 Hwy 18 #29

Prairie du Chien, WI 53821

$13,500C-

2 bd · 1.0 ba · 980 sqft · Built 1979 · SingleFamily · Active · 226 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $820/mo
• Mortgage (P&I): −$71
• Tax + insurance: −$22
• HOA: −$0
• Vac / Maint / Mgmt: −$172
• Net cashflow: $554/mo
• Annual: $6,653/yr
• Cap rate: 55.57%
• Cash-on-cash: 175.99%
• DSCR: 8.83
• 1% rule: 6.07%
• Cash to close: $3,780

Investor read

• This is a 2-bed/1.0-bath single-family listed at $14k.
• At list price, monthly cash flow is $554 ($7k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($820 rent vs $14k).
• It's been on market 226 days — a 12% lower offer ($12k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $12k (12.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $93 of loan paydown is wiped out by about $405 of value loss. Plan a longer hold.
• Location reads 77/100 on livability (#123 in WI, #3,198 nationally) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A+, housing A; Watch: amenities F, commute F.
• Prairie Du Chien Area School District (town): math 43% / reading 40% proficiency, ranked #146 of 342 in WI (top 43%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Ba Kennedy School (222 students, 59% FRL); Prairie Du Chien High (math 32% / reading 37%, grade F, #144 of 483 statewide, top 36%, 322 students, 42% FRL).
• Market conditions: 42 active listings in the ZIP; 40 units permitted in Crawford County in 2024 (0 in 5+ unit buildings).
• Crawford County population projected at -15% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $4k cash investment doubles in ~1 year — after that, you're playing with house money.
• Cap rate 55.6% vs local median 3.0% in Prairie du Chien — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.

Questions for listing agent

• It's been on market 226 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Built in 1979 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are B-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
• What's the average days-on-market for RENTAL listings here right now (not sales)? A rising rental-DOM trend means longer vacancies and softer asking-rent achievability than the comps imply.
• What's the recent tenant-quality profile in this submarket — average credit score on applications, eviction rate, late-payment / NSF rate, and stable-employment percentage? A property-management company in the area should have these aggregated.
• How much new for-sale + rental construction is in the pipeline within 1–3 miles? Heavy new supply typically softens prices + rents 12–24 months out; constrained supply supports both.