1107 4th St NW · Clara City, MN 56222

$260,000

4 bd · 2.0 ba · 2,278 sqft · SingleFamily · 19 Days on market

Built 1974 0.38 ac lot

---

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
• DSCR +10.0/10.0
• 1% rule +9.6/10.0
• ARV discount +7.5/15.0
• Schools +3.8/10.0
• Livability +3.7/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Appreciation +1.2/10.0

Listing remarks MLS

Opportunities abound with this spacious split level home! Update it to make it your own or flip it! The eat-in kitchen has plenty of cabinets, built-in appliances and opens into the main floor living room. Upstairs are three bedrooms and bath. The lower level has a large updated family room with a patio door to the back yard. The lower level and basement have a separate entrance from the garage, a second kitchen, bathroom and could be rented out or turned into a duplex. You'll enjoy the privacy of the back yard facing a field! Home is being sold "AS IS".

Key facts

• Newer shingles
• Second kitchenette
• Updated flooring

Tags

• UPDATED FLOORING
• UPDATED LIGHTING
• NEWER SHINGLES
• NEW WINDOWS
• PRIVATE LIVING AREA
• SECOND KITCHENETTE

Property features AI

Finance

• Other: Above grade finished living area and total living area provided; Below grade finished area and additional below grade space noted

Exterior

• Parking: Attached 2-car garage (24x26) with 16' wide doors and 7' door height
• Utilities: City water (connected); City sewer (connected); 200+ amp electric service; Electric fuel for heating systems; Sump pump and drain tile/ drainage system in basement
• Home design: Residential property; Four-or-more level split; Block foundation; Walkout basement; Daylight/lookout windows in basement
• Construction: Frame construction; Block foundation; Roof replaced within last 8 years
• Exterior features: Patio; Metal exterior; Corner lot; City street frontage; Publicly maintained road

Interior

• Kitchen: Range; Refrigerator; Exhaust fan; Kitchen/Dining combination
• Bedrooms: 4 bedrooms (includes bedrooms on upper and lower levels)
• Bathrooms: 1 full bath (upper level); 1 three-quarter bath (basement)
• Heating & cooling: Baseboard heating; Radiant heat; Window air conditioning unit(s)
• Interior features: Ceiling fan(s); Kitchen window; City view; Renovated; All living facilities on one level; 3 bedrooms on one level
• Laundry & utility: Washer/dryer hookup; Washer; Dryer; Utility room

What this means for you Summary

Snapshot

• This is a 4-bed/2.0-bath single-family listed at $260k.

Deal economics

• At list price, monthly cash flow is $1k ($14k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($4k rent vs $260k).
• Recommended offer: $256k (1.5% below list) — sets the bar for market timing.

Location & tenants

• Location reads 73/100 on livability (#244 in MN) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F, employment D-.
• Maccray School District (rural): math 41% / reading 46% proficiency, ranked #188 of 301 in MN (top 62%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Maccray West Elementary (math 57% / reading 52%); Maccray Secondary (math 27% / reading 42%, grade F, #306 of 471 statewide, top 70%, 366 students, 49% FRL) — zoned schools average 49% FRL vs 30% district-wide (18 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 7 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 13 units permitted in Chippewa County in 2024 (0 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $8k of value loss. Plan a longer hold.
• Chippewa County population projected at -12% 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 $73k cash investment doubles in ~7 years — after that, you're playing with house money.

Negotiation context

• It's been on market 19 days — a 2% lower offer ($256k) is reasonable based on typical stale-listing flexibility.
• 2 sale attempts since 5y 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 $100k; list at $260k implies a 160% gain — meaningful room to come down on a strong offer.

Recommended offer $256,100 (1.5% below list)

Questions for the listing agent

1. Built in 1974 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
2. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
3. 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.
4. 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.
5. 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: 1.46% ✓
• Cap rate: 11.82%
• Cash-on-cash: 19.75%
• DSCR: 1.88
• GRM: 5.7

CMA / ARV

No comps found within radius.

Projected returns pro-forma

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

5-year hold

• IRR: 11.9%
• Equity multiple: 1.47×
• Total profit: $34,255
• Equity at exit: $38,767

10-year hold

• IRR: 20.8%
• Equity multiple: 2.76×
• Total profit: $128,359
• Equity at exit: $22,480

Cash invested: $72,800 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 46 Balanced
• State Minnesota: 46 Balanced · D+2
• County: — inherits STATE
• City: — inherits STATE

2024 reforms strengthened tenant protections; ramsey/hennepin courts paced moderate to slow.

Methodology + full state rankings →

ZIP-level market 56222

• Home prices YoY: -3.3%
• Active inventory: 7
• Price-to-rent: 5.7×

Monthly cashflow live

• Estimated rent: $3,800 medium
• Mortgage (P&I): −$1,363
• Tax from tax record: −$332 /mo · $3,982/yr
• Insurance: −$108
• HOA: −$0
• Vacancy / Maint / Mgmt: −$798
• Net cashflow: $1,198

Break-even live

Break-even rent $2,283

Max offer price $260,000

Occupancy floor 63%

Sensitivity live

Price	-10% $1,346	-5% $1,272	+0% $1,198	+5% $1,125	+10% $1,051
Rent	-10% $898	-5% $1,048	+0% $1,198	+5% $1,348	+10% $1,499
Rate	-1.0pp $1,329	-0.5pp $1,264	base $1,198	+0.5pp $1,131	+1.0pp $1,062

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: $65,000
• Closing costs: $7,800
• Reserves months: —
• Total cash needed: —

Rent comps 1 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
27 Division St S Clara City, MN	5.0	3.0	2686	$3,800	$1.41	45d	1	0.79mi

Listing history 23 events

1. 2026-06-21
   days on market $260,000 Active 19 DOM
2. 2026-06-21
   days on market $260,000 Active 18 DOM
3. 2026-06-18
   days on market $260,000 Active 16 DOM
4. 2026-06-17
   days on market $260,000 Active 15 DOM
5. 2026-06-16
   days on market $260,000 Active 14 DOM
6. 2026-06-15
   days on market $260,000 Active 13 DOM
7. 2026-06-13
   days on market $260,000 Active 11 DOM
8. 2026-06-12
   days on market $260,000 Active 10 DOM
9. 2026-06-09
   days on market $260,000 Active 7 DOM
10. 2026-06-08
    days on market $260,000 Active 6 DOM
11. 2026-06-07
    days on market $260,000 Active 5 DOM
12. 2026-06-05
    days on market $260,000 Active 3 DOM
13. 2026-06-03
    remarks 699-char remark
14. 2026-06-03
    days on marketlisting id $260,000 Active 1 DOM
15. 2026-06-02
    days on market $260,000 Active 21 DOM
16. 2026-06-01
    days on market $260,000 Active 20 DOM
17. 2026-05-31
    days on market $260,000 Active 19 DOM
18. 2026-05-31
    days on market $260,000 Active 18 DOM
19. 2026-05-12
    listed $260,000 Active 729-char remark
20. 2021-04-26
    soldstatus $100,000
21. 2021-04-20
    soldstatus $100,000 Sold 574-char remark

    Show marketing remark (574 chars)

    Opportunities abound with this spacious split level home! Update it to make it your own or flip it! The eat-in kitchen has plenty of cabinets, built-in appliances and opens into the main floor living room. Upstairs are three bedrooms and bath. The lower level has a large updated family room with a patio door to the back yard. The lower level and basement have a separate entrance from the garage, a second kitchen, bathroom and could be rented out or turned into a duplex. You'll enjoy the privacy of the back yard facing a field! Home is being sold "AS IS".

22. 2021-03-12
    status Pending 574-char remark

    Show marketing remark (574 chars)

    Opportunities abound with this spacious split level home! Update it to make it your own or flip it! The eat-in kitchen has plenty of cabinets, built-in appliances and opens into the main floor living room. Upstairs are three bedrooms and bath. The lower level has a large updated family room with a patio door to the back yard. The lower level and basement have a separate entrance from the garage, a second kitchen, bathroom and could be rented out or turned into a duplex. You'll enjoy the privacy of the back yard facing a field! Home is being sold "AS IS".

23. 2021-02-03
    listed $119,500 Active 574-char remark

    Show marketing remark (574 chars)

    Opportunities abound with this spacious split level home! Update it to make it your own or flip it! The eat-in kitchen has plenty of cabinets, built-in appliances and opens into the main floor living room. Upstairs are three bedrooms and bath. The lower level has a large updated family room with a patio door to the back yard. The lower level and basement have a separate entrance from the garage, a second kitchen, bathroom and could be rented out or turned into a duplex. You'll enjoy the privacy of the back yard facing a field! Home is being sold "AS IS".

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

Tax reassessment forecast MN · Partial reset (capped growth)

• Current annual tax: $3,982 · $332/mo
• Projected year-2 tax: $3,982 · $332/mo
• Expected delta: $0/yr ($0/mo · 0.0%)

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

Climate risk First Street

• 🌊 Flood 1/10 Low 0% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 2/10 Low 7 d/yr ≥99°F today · 13 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 2/10 Low 2 unhealthy d/yr today · 2 by 30 yrs out

Taxation est. · year 1

• Rental income: $45,600
• − Mortgage interest: −$14,564
• − Property taxes: −$3,982
• − Insurance: −$1,300
• − Repairs & maintenance: −$3,648
• − Management: −$3,648
• − Depreciation: −$7,564
• Taxable income: $10,894
• Est. tax owed @ 24.0%: −$2,615
• After-tax cash flow: $11,766/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: Maccray School District
• NCES district ID: 2700091
• Math proficiency: 41% ▼ -10.00%
• Reading proficiency: 46% ▼ -7.00%
• Median HH income: $52,637
• Composite: 37.64/100
• National rank: #4374
• State rank: #188 of 301 in MN

Livability — Clara City

• Score: 73/100
• State rank: #244
• US rank: #5251

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Clara City, MN
• Population (ZIP): 2,012

Population outlook (Chippewa County) Hauer SSP2

• Today (2025): 11,593 people
• By 2030: 11,294 · -2.6%
• By 2040: 10,715 · -7.6%
• By 2050: 10,229 · -11.8%
• By 2075: 9,600 · -17.2%
• By 2100: 8,500 · -26.7%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (88%)
• Race & ethnicity: White 88% Hispanic / Latino 9% Two or more races 4% Native American 2%
• Hispanic origin (detail): Mexican 8%
• Common ancestry: Portuguese 25% Iranian 12% Lithuanian 2%
• Foreign-born: 4% · Canada
• Languages at home: 94% English-only · Spanish 5%

Political lean MEDSL · Chippewa

• 2024 margin: Solid R (+34.1) · D 32.2% · R 66.3% · Other 1.6%
• 2008→2024 swing: -40.0pp toward R · 2008: 5.9pp · 2024: -34.1pp
• All cycles: 2024: R+34.1 2020: R+30.6 2016: R+28.9 2012: D+1.9 2008: D+5.9

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -7.61%
• Current HPI: 220.8934
• Rent YoY: —
• Metro: —
• State GDP YoY: ▲ 2.41%
• F500 in state: 34

Industry mix (Fortune 500 HQ in MN)

Industry	F500 HQs	Revenue
▸Healthcare	2	$407B
▸Retail	2	$150B
▸Consumer Goods	2	$32B
▸Industrial Machinery	2	$6B
▸Agriculture	1	$40B
▸Healthcare / Medical Devices	1	$32B

Price history

+117.6% since first listed

5 events — show timeline

• 2026-06-02 Listed $260,000 NORTHSTARMLS as Distributed by MLS Grid
• 2021-04-26 Sold (Public Records) $100,000 Public Records
• 2021-04-20 Sold (MLS) $100,000 NORTHSTARMLS as Distributed by MLS Grid
• 2021-03-12 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2021-02-03 Listed $119,500 NORTHSTARMLS as Distributed by MLS Grid

Property tax history

+5.8%/yr

Latest (2026): $3,982 · -2.4% YoY. Source: county tax records.