725 W 5th St · Walsenburg, CO 81089

$64,900

3 bd · 1.0 ba · 1,185 sqft · SingleFamily public records · 378 Days on market

Built 1912 6,970 sqft lot

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Why this score? — see what drove the B- grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Cash flow +30.0/30.0
• 1% rule +10.0/10.0
• DSCR +10.0/10.0
• ARV discount +7.5/15.0
• Livability +3.6/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Appreciation +2.2/10.0
• Schools +1.7/10.0

Listing remarks

Fantastic opportunity to remodel your own home in Walsenburg! This 3-bedroom, 1-bath home offers 1,258 square feet of potential on a spacious corner lot towards the end of 5th Street. The property is an ideal project for investors, flippers, or anyone looking for a value-add opportunity. With spacious rooms and solid bones, this home is ready for someone to bring it back to life. Gorgeous hardwood flooring throughout the home. Two additional small rooms upstairs could be used as office space, storage, or bedrooms! The elongated, fenced yard offers space for pets, gardening, and outdoor activities. The lot has plenty of space for additional storage, workshop possibilities, or room for a gara

Key facts

• Hardwood flooring
• Fenced yard
• Spacious corner lot

Tags

• SPACIOUS CORNER LOT
• HARDWOOD FLOORING
• FENCED YARD
• VALUE-ADD OPPORTUNITY
• ADDITIONAL STORAGE

Property features AI

Exterior

• Utilities: Public water
• Home design: Single-family residence; Residential zoning
• Construction: Frame and stucco construction
• Exterior features: Composition roof; Shed(s); Corner lot; Rectangular lot; Paved road access

Interior

• Bedrooms: Total rooms: 10
• Flooring: Wood
• Bathrooms: 1 full bathroom
• Heating & cooling: Baseboard heating; Hot water heating
• Interior features: Wood flooring; Partial, unfinished basement

What this means for you Summary

Snapshot

• This is a 3-bed/1.0-bath single-family listed at $65k.

Deal economics

• At list price, monthly cash flow is $446 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $65k).
• Recommended offer: $57k (12.0% below list) — sets the bar for market timing.
• Cap rate 14.5% vs local median 1.7% in Walsenburg — 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.

Location & tenants

• Location reads 71/100 on livability (#80 in CO) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A+, housing A; Watch: amenities F, commute F, employment F.
• Huerfano School District Re-1 (town): math 9% / reading 24% proficiency, ranked #163 of 176 in CO (top 93%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 69% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Peakview School (math 5% / reading 17%, grade F, #879 of 966 statewide, top 94%, 244 students, 84% FRL); John Mall Jr/Sr High School (math 24% / reading 24%, grade F, #266 of 381 statewide, top 79%, 171 students, 81% FRL).
• Market conditions: 360 active listings in the ZIP; 51 units permitted in Huerfano County in 2024 (0 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $449 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Huerfano County population projected at -36% 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 $18k cash investment doubles in ~5 years — after that, you're playing with house money.

Negotiation context

• It's been on market 378 days — a 12% lower offer ($57k) is reasonable based on typical stale-listing flexibility.
• Current owner paid $47k; 38% above their basis — modest negotiation headroom, anchor on the comps not their cost.

Risks & watch-outs

• Watch-outs: built in 1912 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: moderate wildfire risk — expect insurance premiums to compound above CPI over the hold.

Recommended offer $57,112 (12.0% below list)

Questions for the listing agent

1. It's been on market 378 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
2. Built in 1912 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
4. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
5. Schools are F-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
6. 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.
7. 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.
8. 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.

Investment metrics

• 1% rule: 1.63% ✓
• Cap rate: 14.54%
• Cash-on-cash: 29.45%
• DSCR: 2.31
• GRM: 5.1

CMA / ARV

• ARV (on-the-fly): $137,460
• Comps found: 11

Show comp detail 11 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
309 Sproull Ave	0.40mi	2/1.0 (-1)	1,186 (+0%)	11mo	$33,000	$28	68
623 W 6th St	0.15mi	3/2.0	1,337 (+13%)	13mo	$125,000	$93	56
47 W 3rd St	0.60mi	2/1.0 (-1)	1,280 (+8%)	4mo	$37,000	$29	50
110 W 10th St	0.71mi	3/2.0	1,252 (+6%)	4mo	$255,000	$204	50
323 W 7th St	0.43mi	2/1.0 (-1)	1,008 (-15%)	2mo	$160,000	$159	49
26 W 3rd St	0.65mi	3/1.0	1,036 (-13%)	1mo	$120,000	$116	48
125 Kansas Ave	0.72mi	3/1.0	1,160 (-2%)	20mo	$60,000	$52	47
302-304 W 7th St	0.47mi	2/1.0 (-1)	1,032 (-13%)	11mo	$135,000	$131	42
211 W 3rd St	0.53mi	2/1.0 (-1)	1,316 (+11%)	14mo	$155,000	$118	40
110 Kansas Ave	0.70mi	2/1.0 (-1)	1,025 (-14%)	5mo	$55,000	$54	36
204 W 9th St	0.59mi	2/1.0 (-1)	1,008 (-15%)	20mo	$155,000	$154	26

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

-3.0% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: 23.9%
• Equity multiple: 1.98×
• Total profit: $17,870
• Equity at exit: $9,677

10-year hold

• IRR: 31.8%
• Equity multiple: 3.86×
• Total profit: $52,059
• Equity at exit: $5,611

Cash invested: $18,172 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 38 Tenant-Leaning
• State Colorado: 38 Tenant-Leaning · D+4
• County: — inherits STATE
• City: — inherits STATE

2023 reforms: 10-day cure, mandated notice, source-of-income protected. Courts backlogged in Denver.

Methodology + full state rankings →

ZIP-level market 81089

• Home prices YoY: -2.4%
• Active inventory: 360
• Price-to-rent: 5.1×

Monthly cashflow live

• Estimated rent: $1,059 medium
• Mortgage (P&I): −$340
• Tax from tax record: −$23 /mo · $277/yr
• Insurance: −$27
• HOA: −$0
• Vacancy / Maint / Mgmt: −$222
• Net cashflow: $446

Break-even live

Break-even rent $494

Max offer price $64,900

Occupancy floor 53%

Sensitivity live

Price	-10% $483	-5% $464	+0% $446	+5% $428	+10% $409
Rent	-10% $362	-5% $404	+0% $446	+5% $488	+10% $530
Rate	-1.0pp $479	-0.5pp $463	base $446	+0.5pp $429	+1.0pp $412

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $16,225
• Closing costs: $1,947
• Reserves months: —
• Total cash needed: —

Listing history 22 events

1. 2026-06-21
   days on market $64,900 Active 378 DOM
2. 2026-06-21
   days on market $64,900 Active 377 DOM
3. 2026-06-18
   days on market $64,900 Active 375 DOM
4. 2026-06-17
   days on market $64,900 Active 374 DOM
5. 2026-06-16
   days on market $64,900 Active 373 DOM
6. 2026-06-15
   days on market $64,900 Active 372 DOM
7. 2026-06-13
   days on market $64,900 Active 370 DOM
8. 2026-06-12
   days on market $64,900 Active 369 DOM
9. 2026-06-09
   days on market $64,900 Active 366 DOM
10. 2026-06-08
    days on market $64,900 Active 365 DOM
11. 2026-06-07
    days on market $64,900 Active 364 DOM
12. 2026-06-07
    days on market $64,900 Active 363 DOM
13. 2026-06-04
    days on market $64,900 Active 360 DOM
14. 2026-06-02
    days on market $64,900 Active 359 DOM
15. 2026-06-01
    days on market $64,900 Active 358 DOM
16. 2026-05-31
    days on market $64,900 Active 357 DOM
17. 2026-05-31
    days on market $64,900 Active 356 DOM
18. 2026-04-04
    price $64,900
19. 2025-08-26
    price $69,000
20. 2025-07-11
    price $79,000
21. 2025-06-08
    listed $89,000 Active
22. 2024-09-20
    soldstatus $47,000

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Tax reassessment forecast CO · Resets to sale price

• Current annual tax: $277 · $23/mo
• Projected year-2 tax: $357 · $30/mo
• Expected delta: +$80/yr (+$7/mo · 29.0%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

• 🌊 Flood 1/10 Low FEMA zone X · 0% chance over 30 yrs
• 🔥 Wildfire 5/10 Major
• 🌡 Heat 3/10 Moderate 6 d/yr ≥91°F today · 15 d/yr by 30 yrs out
• 💨 Wind 1/10 Low
• 🫁 Air quality 2/10 Low 0 unhealthy d/yr today · 1 by 30 yrs out

Taxation est. · year 1

• Rental income: $12,706
• − Mortgage interest: −$3,635
• − Property taxes: −$277
• − Insurance: −$324
• − Repairs & maintenance: −$1,016
• − Management: −$1,016
• − Depreciation: −$1,888
• Taxable income: $4,548
• Est. tax owed @ 24.0%: −$1,092
• After-tax cash flow: $4,261/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Schools (NCES district)

• District: Huerfano School District Re-1
• NCES district ID: 0807080
• Math proficiency: 9% ▼ -3.00%
• Reading proficiency: 24% ▼ -4.00%
• Median HH income: $31,069
• Composite: 16.56/100
• National rank: #14243
• State rank: #163 of 176 in CO

Livability — Walsenburg

• Score: 71/100
• State rank: #80
• US rank: #7234

Category grades

Amenities F Commute F Cost of living A+ Crime B- Employment F Housing A Health & safety A+ User ratings B+

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Walsenburg, CO
• Population (ZIP): 4,810

Population outlook (Huerfano County) Hauer SSP2

• Today (2025): 5,963 people
• By 2030: 5,550 · -6.9%
• By 2040: 4,598 · -22.9%
• By 2050: 3,849 · -35.5%
• By 2075: 2,906 · -51.3%
• By 2100: 2,156 · -63.8%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Diverse neighborhood (Simpson 0.55)
• Race & ethnicity: White 56% Hispanic / Latino 36% Two or more races 9% Native American 3%
• Hispanic origin (detail): Mexican 17%
• Common ancestry: Scottish 2% Serbian 1% Romanian 1%
• Foreign-born: 0% · Canada
• Languages at home: 93% English-only · Spanish 6%

Political lean MEDSL · Huerfano

• 2024 margin: Lean R (+8.6) · D 44.3% · R 52.9% · Other 2.9%
• 2008→2024 swing: -19.8pp toward R · 2008: 11.2pp · 2024: -8.6pp
• All cycles: 2024: R+8.6 2020: R+2.9 2016: R+6.5 2012: D+7.8 2008: D+11.2

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -5.61%
• Current HPI: 227.112
• Rent YoY: —
• Metro: —
• State GDP YoY: ▲ 1.95%
• F500 in state: 14

Industry mix (Fortune 500 HQ in CO)

Industry	F500 HQs	Revenue
▸Technology Distribution	1	$31B
▸Food / Agriculture	1	$18B
▸Packaging	1	$14B
▸Healthcare	1	$13B
▸Energy	1	$10B
▸Technology	1	$4B

Price history

+38.1% since first listed

5 events — show timeline

• 2026-04-04 Price Changed $64,900 SPMLS
• 2025-08-26 Price Changed $69,000 SPMLS
• 2025-07-11 Price Changed $79,000 SPMLS
• 2025-06-08 Listed $89,000 SPMLS
• 2024-09-20 Sold (Public Records) $47,000 Public Records

Property tax history

-2.7%/yr

Latest (2025): $277 · +130.4% YoY. Source: county tax records.