806 11th St

Corning, IA 50841

$125,000C+

4 bd · 1.0 ba · 1,773 sqft · Built 1925 · Other · Active · 164 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,214/mo
• Mortgage (P&I): −$656
• Tax + insurance: −$172
• HOA: −$0
• Vac / Maint / Mgmt: −$255
• Net cashflow: $132/mo
• Annual: $1,578/yr
• Cap rate: 7.56%
• Cash-on-cash: 4.51%
• DSCR: 1.20
• 1% rule: 0.97%
• Cash to close: $35,000

Investor read

• This is a 4-bed/1.0-bath other listed at $125k.
• At list price, monthly cash flow is $132 ($2k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $121k (2.9% below list).
• It's been on market 164 days — a 12% lower offer ($110k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $110k (12.0% below list) — sets the bar for market timing.
• In year one you build about $594 of equity ($864 loan paydown + $-270 appreciation (-0.2% local appreciation)).
• Location reads 77/100 on livability (#167 in IA, #3,006 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, health & safety A+; Watch: employment C-, amenities F, commute F.
• Corning Community School District (rural): math 60% / reading 66% proficiency, ranked #221 of 289 in IA (top 76%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Corning Elementary School (math 72% / reading 67%, grade A-, #224 of 616 statewide, top 42%, 211 students, 44% FRL); Southwest Valley High School (math 52% / reading 62%, grade C, #279 of 336 statewide, top 85%, 209 students, 43% FRL).
• Watch-outs: built in 1925 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 8 active listings in the ZIP; 5 units permitted in Adams County in 2024 (0 in 5+ unit buildings).
• Adams County population projected at -30% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (-0.2% appreciation + 3.0% rent growth), your $35k cash investment doubles in ~10 years — after that, you're playing with house money.

Questions for listing agent

• It's been on market 164 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Built in 1925 — 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.
• 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.