409 Bluebird St

Mora, MN 55051

$237,000D

2 bd · 2.0 ba · 1,200 sqft · Built 2004 · Townhouse · Active · 94 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,775/mo
• Mortgage (P&I): −$1,243
• Tax + insurance: −$426
• HOA: −$0
• Vac / Maint / Mgmt: −$373
• Net cashflow: $-267/mo
• Annual: $-3,202/yr
• Cap rate: 4.94%
• Cash-on-cash: -4.83%
• DSCR: 0.79
• 1% rule: 0.75%
• Cash to close: $66,360

Investor read

• This is a 2-bed/2.0-bath townhouse listed at $237k.
• At list price, monthly cash flow is $-267 ($-3k/yr) — negative.
• To cash-flow at today's rent, offer at most $190k (19.9% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $178k (25.1% below list).
• It's been on market 94 days — a 9% lower offer ($216k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $178k (25.1% below list) — sets the bar for 1% rule.
• In year one you build about $16k of equity ($2k loan paydown + $15k appreciation (6.2% local appreciation)).
• Location reads 74/100 on livability (#207 in MN, #4,362 nationally) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, crime A; Watch: employment D+, health & safety D+, amenities F.
• Mora Public School District (town): math 44% / reading 58% proficiency, ranked #115 of 301 in MN (top 38%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Mora Elementary School (math 51% / reading 63%, grade C+, #265 of 857 statewide, top 35%, 832 students, 49% FRL); Mora Middle Level Alc (math 10% / reading 10%, 15 students, 80% FRL); Mora Secondary (math 37% / reading 54%, grade D-, #186 of 471 statewide, top 39%, 737 students, 42% FRL) — zoned schools average 57% FRL vs 32% district-wide (24 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Zoned-school proficiency averages 38% at this address vs 51% district-wide (-14 pts) — the specific schools serving this property underperform the Mora Public School District average; the district grade overstates school quality for this exact location.
• Market conditions: 108 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 59 units permitted in Kanabec County in 2024 (0 in 5+ unit buildings).
• Kanabec County population projected at -25% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 8 sale attempts since 21y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• Current owner paid $122k; list at $237k implies a 93% gain — meaningful room to come down on a strong offer.
• By year 3, paydown + projected appreciation supports a ~$40k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Cap rate 4.9% vs local median 4.1% in Mora — meaningfully above typical; check what's discounted (condition, days-on-market, listing class) to confirm the premium yield is real.

Questions for listing agent

• What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
• It's been on market 94 days. Have you received any prior offers? Is the seller open to a 25% concession, seller financing, or rate buy-down credit?
• 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?
• The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?
• 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.