208 W Garfield St

Pearl City, IL 61062

$119,900B+

3 bd · 1.0 ba · 1,064 sqft · Built 1974 · SingleFamily · Pending · 8 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,461/mo
• Mortgage (P&I): −$629
• Tax + insurance: −$219
• HOA: −$0
• Vac / Maint / Mgmt: −$307
• Net cashflow: $307/mo
• Annual: $3,681/yr
• Cap rate: 9.36%
• Cash-on-cash: 10.96%
• DSCR: 1.49
• 1% rule: 1.22%
• Cash to close: $33,572

Investor read

• This is a 3-bed/1.0-bath single-family listed at $120k.
• At list price, monthly cash flow is $307 ($4k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $120k).
• Only 8 days on market — expect competitive offers; lowballing is unlikely to land.
• In year one you build about $9k of equity ($829 loan paydown + $8k appreciation (6.9% local appreciation)).
• Location reads 69/100 on livability (#437 in IL) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, employment A-; Watch: crime D+, amenities F, commute F.
• Pearl City CUSD 200 (rural): math 35% / reading 33% proficiency, ranked #191 of 620 in IL (top 31%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Pearl City High School (math 34% / reading 15%, grade F, #252 of 693 statewide, top 37%, 137 students, 0% FRL) — zoned schools average 0% FRL vs 22% district-wide (22 pts lower); this property's tenant base skews higher-income than the district average.
• Market conditions: 9 active listings in the ZIP; 7 units permitted in Stephenson County in 2024 (0 in 5+ unit buildings).
• Stephenson County population projected at -29% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 2 sale attempts since 12y 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 $41k; list at $120k implies a 192% gain — meaningful room to come down on a strong offer.
• At projected returns (6.9% appreciation + 3.0% rent growth), your $34k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 4, paydown + projected appreciation supports a ~$31k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Questions for listing agent

• Built in 1974 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Crime grade is D in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
• 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.