1111 2nd Ave SW · Austin, MN 55912

$89,500

1 bd · 2.0 ba · 814 sqft · Other public records · 14 Days on market

Built 1925 6,534 sqft lot

---

Why this score? — see what drove the C+ 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 +26.4/30.0
• DSCR +9.0/10.0
• ARV discount +7.5/15.0
• 1% rule +6.5/10.0
• Rent growth +5.0/5.0
• Livability +4.0/5.0
• Schools +2.5/10.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks

Affordable opportunity with upside potential! This 1-bedroom home sits on a desirable corner lot and offers plenty of room to grow your investment. The oversized bedroom provides comfortable space, while both the living room and bedroom feature generous dimensions rarely found at this price point. Downstairs, you'l1 find a finished basement room that could become a legal second bedroom with the addition of an egress window-adding instant value and functionality. Whether you're looking for your first home, rental property, or a project with quick equity potential, this property is packed with possibilities. Photos have been AI enhanced to show rooms emptied of personal property that is curre

Key facts

• 6,534 sq ft lot
• 2 garage spots
• Built 1925

Property features AI

Exterior

• Parking: Attached garage with garage door opener (2 car)
• Utilities: City water (connected); City sewer (connected); Natural gas; Electric with circuit breakers and 100 amp service
• Home design: Residential property; One story; Main level entry
• Construction: Block and frame construction; Asphalt pitched roof; Block foundation (foundation area 924)
• Exterior features: Corner lot; Light tree coverage; City street frontage; Public maintained road

Interior

• Kitchen: Range; Refrigerator
• Bedrooms: Main floor primary bedroom; Bedroom (20 x 13) — Main level; Bedroom 2 (12 x 8) — Lower level; Bonus room (5 x 5) — Lower level
• Bathrooms: Main floor 3/4 bathroom; Lower level half bathroom
• Heating & cooling: Forced air heating; Central air conditioning
• Interior features: Ceiling fan(s); Kitchen window; Main floor primary bedroom; Water softener (owned); Partially finished basement; Block basement
• Laundry & utility: Washer hookup; Electric dryer hookup (lower level); Laundry room (12 x 13) — Lower level; Utility room (18 x 17) — Lower level

What this means for you Summary

Snapshot

• This is a 1-bed/2.0-bath other listed at $90k.

Deal economics

• At list price, monthly cash flow is $234 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $90k).
• Cap rate 9.4% vs local median 4.5% in Austin — 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 80/100 on livability (#77 in MN, #1,829 nationally) — a professional / high-income tenant draw. Strengths: cost of living A+, housing A+, health & safety A+; Watch: schools C-, commute F.
• Austin Public School District (town): math 24% / reading 34% proficiency, ranked #267 of 301 in MN (top 89%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Market conditions: Rents rising fast (+11.6%/yr); 188 active listings in the ZIP; 7 comparable units currently listed for rent nearby; rentals lingering (median 45d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 100% of comp listings sitting > 30 days — soft ceiling on asking rent; 53 units permitted in Mower County in 2024 (0 in 5+ unit buildings).
• This rent is only 18% of the median local income ($70k/yr) — well below the 30% rent-burden line; pricing power to push rent on renewal without tenant pushback.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $619 of loan paydown is wiped out by about $3k of value loss. Plan a longer hold.
• At projected returns (-3.0% appreciation + 8.0% rent growth), your $25k cash investment doubles in ~7 years — after that, you're playing with house money.

Negotiation context

• Only 14 days on market — expect competitive offers; lowballing is unlikely to land.
• 3 sale attempts since 19y 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.

Risks & watch-outs

• Watch-outs: built in 1925 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: major flood risk — expect insurance premiums to compound above CPI over the hold.

Recommended offer $89,500

Questions for the listing agent

1. Built in 1925 — 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: 1.15% ✓
• Cap rate: 9.43%
• Cash-on-cash: 11.20%
• DSCR: 1.50
• GRM: 7.2

CMA / ARV

No comps found within radius.

Projected returns pro-forma

-3.0% appreciation · 8.0% rent growth · sell at horizon

5-year hold

• IRR: 5.7%
• Equity multiple: 1.23×
• Total profit: $5,840
• Equity at exit: $13,345

10-year hold

• IRR: 19.1%
• Equity multiple: 2.96×
• Total profit: $49,057
• Equity at exit: $7,738

Cash invested: $25,060 (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 55912

• Home prices YoY: -34.4%
• Rents YoY: 11.6%
• Active inventory: 188
• Price-to-rent: 7.2×

Monthly cashflow live

• Estimated rent: $1,032 high
• Mortgage (P&I): −$469
• Tax from tax record: −$75 /mo · $896/yr
• Insurance: −$37
• HOA: −$0
• Vacancy / Maint / Mgmt: −$217
• Net cashflow: $234

Break-even live

Break-even rent $736

Max offer price $89,500

Occupancy floor 72%

Sensitivity live

Price	-10% $285	-5% $259	+0% $234	+5% $209	+10% $183
Rent	-10% $152	-5% $193	+0% $234	+5% $275	+10% $315
Rate	-1.0pp $279	-0.5pp $257	base $234	+0.5pp $211	+1.0pp $187

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: $22,375
• Closing costs: $2,685
• Reserves months: —
• Total cash needed: —

Rent comps 7 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
609 11th St NW Austin, MN	2.0	2.0	925	$1,300	$1.41	44d	1	0.48mi
600 14th St NW Apt 6 Austin, MN	2.0	1.0	700	$995	$1.42	44d	1	0.51mi
900 14th St NW Austin, MN	2.0	1.0	518	$875	$1.69	44d	18	0.71mi
711 1st Dr NW Apt A Austin, MN	2.0	1.0	696	$1,100	$1.58	45d	1	0.74mi
704 1st Dr NW Austin, MN	3.0	1.0–2.0	981	$1,651	$1.68	44d	96	0.79mi
1105 3rd St NW Austin, MN	1.0	1.0	720	$925	$1.28	44d	2	0.93mi
202 11th Ave NW Unit 602 Austin, MN	2.0	1.0	1000	$950	$0.95	44d	1	1.04mi

Listing history 11 events

1. 2026-05-13
   status Pending 805-char remark
2. 2026-04-27
   listed $89,500 Active 805-char remark
3. 2020-10-14
   soldstatus $52,000
4. 2018-12-10
   historical
5. 2018-02-28
   soldstatus $52,000
6. 2017-12-27
   soldstatus $45,000
7. 2012-05-01
   soldstatus $45,000
8. 2008-03-10
   soldstatus $64,000
9. 2007-10-04
   listed $69,900
10. 2007-10-04
    listed $69,900
11. 2007-06-11
    soldstatus $63,000

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

Tax reassessment forecast MN · Partial reset (capped growth)

• Current annual tax: $896 · $75/mo
• Projected year-2 tax: $949 · $79/mo
• Expected delta: +$53/yr (+$4/mo · 5.9%)

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

Climate risk First Street

• 🌊 Flood 6/10 Major FEMA zone X (unshaded) · 70% chance over 30 yrs
• 🔥 Wildfire 2/10 Low
• 🌡 Heat 1/10 Low 7 d/yr ≥98°F today · 16 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 1/10 Low 0 unhealthy d/yr today · 0 by 30 yrs out

Taxation est. · year 1

• Rental income: $12,383
• − Mortgage interest: −$5,013
• − Property taxes: −$896
• − Insurance: −$448
• − Repairs & maintenance: −$991
• − Management: −$991
• − Depreciation: −$2,604
• Taxable income: $1,441
• Est. tax owed @ 24.0%: −$346
• After-tax cash flow: $2,461/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: Austin Public School District
• NCES district ID: 2703450
• Math proficiency: 24% ▼ -12.00%
• Reading proficiency: 34% ▼ -9.00%
• Median HH income: $43,818
• Composite: 24.75/100
• National rank: #7604
• State rank: #267 of 301 in MN

Livability — Austin

• Score: 80/100
• State rank: #77
• US rank: #1829

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Austin, MN
• County: Mower County · 29,632 people
• City population: 29,632
• Metro: Austin, MN
• Population (ZIP): 29,632
• Household income: $70,177
• Rent vs Own: 26.0% rent · 74.0% own
• Severe rent burden: 759.0

Population outlook (Mower County) Hauer SSP2

• Today (2025): 39,967 people
• By 2030: 40,204 · +0.6%
• By 2040: 40,509 · +1.4%
• By 2050: 40,841 · +2.2%
• By 2075: 42,029 · +5.2%
• By 2100: 42,272 · +5.8%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (67%)
• Race & ethnicity: White 67% Hispanic / Latino 16% Asian 8% Two or more races 7% Black 5%
• Hispanic origin (detail): Mexican 12%
• Common ancestry: Portuguese 16% Lithuanian 2% Iranian 2%
• Foreign-born: 15% · Canada, Philippines, China
• Languages at home: 76% English-only · Spanish 14% Other Asian/Pacific 5% German/W. Germanic 1%

Political lean MEDSL · Mower

• 2024 margin: R (+10.5) · D 43.9% · R 54.4% · Other 1.7%
• 2008→2024 swing: -34.1pp toward R · 2008: 23.6pp · 2024: -10.5pp
• All cycles: 2024: R+10.5 2020: R+5.8 2016: R+7.8 2012: D+22.7 2008: D+23.6

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -142.60%
• Current HPI: 271.4199
• Rent YoY: ▲ 11.62%
• Metro: Austin, MN
• 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

+42.1% since first listed

13 events — show timeline

• 2026-06-05 Sold (Public Records) $89,500 Public Records
• 2026-06-03 Sold (MLS) $89,500 NORTHSTARMLS as Distributed by MLS Grid
• 2026-05-13 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2026-04-27 Listed $89,500 NORTHSTARMLS as Distributed by MLS Grid
• 2020-10-14 Sold (Public Records) $52,000 Public Records
• 2018-12-10 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2018-02-28 Sold (Public Records) $52,000 Public Records
• 2017-12-27 Sold (Public Records) $45,000 Public Records
• 2012-05-01 Sold (Public Records) $45,000 Public Records
• 2008-03-10 Sold (Public Records) $64,000 Public Records
• 2007-10-04 Listed $69,900 NORTHSTARMLS as Distributed by MLS Grid
• 2007-10-04 Listed $69,900 NORTHSTARMLS as Distributed by MLS Grid
• 2007-06-11 Sold (Public Records) $63,000 Public Records

Property tax history

+0.4%/yr

Latest (2025): $896 · -31.1% YoY. Source: county tax records.