25 4th Ave SE · Clara City, MN 56222

$265,000

5 bd · 3.0 ba · 2,670 sqft · SingleFamily · 30 Days on market

Built 1967 9,365 sqft 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 +9.3/10.0
• 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

If you are looking for a five bedroom home with two finished living rooms but the ability to live on one level, then this is your home. It has had many updates including a main level open floor plan with recessed lighting, many new windows, new kitchen cabinets and new flooring just to name a few things. You can sit on the rear deck overlooking Hawk Creek. The home has an attached single care garage that is insulated and sheet rocked. Beside the two finished basement bedrooms, there is a nice 3/4 bath, finished laundry room and large family room with fireplace. This is a must see to appreciate how beautiful this home really is.

Key facts

• New flooring
• New gutters
• Finished basement

Tags

• NEW ROOF
• NEW GUTTERS
• FINISHED BASEMENT
• UPGRADED STRUCTURE
• NEW BASEMENT WALLS
• NEW FLOORING

What this means for you Summary

Snapshot

• This is a 5-bed/3.0-bath single-family listed at $265k.

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 $265k).
• Recommended offer: $261k (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.
• 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 $74k cash investment doubles in ~7 years — after that, you're playing with house money.

Negotiation context

• It's been on market 30 days — a 2% lower offer ($261k) is reasonable based on typical stale-listing flexibility.
• 11 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.
• Current owner paid $230k; 15% above their basis — modest negotiation headroom, anchor on the comps not their cost.

Risks & watch-outs

• Climate carrying-cost: major flood risk — expect insurance premiums to compound above CPI over the hold.

Recommended offer $261,025 (1.5% below list)

Questions for the listing agent

1. Built in 1967 — 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: 1.43% ✓
• Cap rate: 11.71%
• Cash-on-cash: 19.36%
• DSCR: 1.86
• GRM: 5.8

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: 11.3%
• Equity multiple: 1.45×
• Total profit: $33,352
• Equity at exit: $39,512

10-year hold

• IRR: 20.4%
• Equity multiple: 2.72×
• Total profit: $127,395
• Equity at exit: $22,912

Cash invested: $74,200 (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: 5.8×

Monthly cashflow live

• Estimated rent: $3,800 medium
• Mortgage (P&I): −$1,390
• Tax from tax record: −$305 /mo · $3,656/yr
• Insurance: −$110
• HOA: −$0
• Vacancy / Maint / Mgmt: −$798
• Net cashflow: $1,197

Break-even live

Break-even rent $2,285

Max offer price $265,000

Occupancy floor 63%

Sensitivity live

Price	-10% $1,347	-5% $1,272	+0% $1,197	+5% $1,122	+10% $1,047
Rent	-10% $897	-5% $1,047	+0% $1,197	+5% $1,347	+10% $1,497
Rate	-1.0pp $1,331	-0.5pp $1,265	base $1,197	+0.5pp $1,129	+1.0pp $1,059

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: $66,250
• Closing costs: $7,950
• 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	44d	1	0.42mi

Listing history 26 events

1. 2026-04-23
   status Pending
2. 2026-04-02
   historical Contingent - Inspection
3. 2026-03-24
   listed $265,000 Active
4. 2025-05-05
   soldstatus $230,000
5. 2025-05-02
   soldstatus $230,000 Sold 635-char remark

   Show marketing remark (635 chars)

   If you are looking for a five bedroom home with two finished living rooms but the ability to live on one level, then this is your home. It has had many updates including a main level open floor plan with recessed lighting, many new windows, new kitchen cabinets and new flooring just to name a few things. You can sit on the rear deck overlooking Hawk Creek. The home has an attached single care garage that is insulated and sheet rocked. Beside the two finished basement bedrooms, there is a nice 3/4 bath, finished laundry room and large family room with fireplace. This is a must see to appreciate how beautiful this home really is.

6. 2025-03-13
   status Pending 635-char remark

   Show marketing remark (635 chars)

   If you are looking for a five bedroom home with two finished living rooms but the ability to live on one level, then this is your home. It has had many updates including a main level open floor plan with recessed lighting, many new windows, new kitchen cabinets and new flooring just to name a few things. You can sit on the rear deck overlooking Hawk Creek. The home has an attached single care garage that is insulated and sheet rocked. Beside the two finished basement bedrooms, there is a nice 3/4 bath, finished laundry room and large family room with fireplace. This is a must see to appreciate how beautiful this home really is.

7. 2025-02-19
   price $227,000 635-char remark

   Show marketing remark (635 chars)

   If you are looking for a five bedroom home with two finished living rooms but the ability to live on one level, then this is your home. It has had many updates including a main level open floor plan with recessed lighting, many new windows, new kitchen cabinets and new flooring just to name a few things. You can sit on the rear deck overlooking Hawk Creek. The home has an attached single care garage that is insulated and sheet rocked. Beside the two finished basement bedrooms, there is a nice 3/4 bath, finished laundry room and large family room with fireplace. This is a must see to appreciate how beautiful this home really is.

8. 2025-01-22
   status Active 635-char remark

   Show marketing remark (635 chars)

   If you are looking for a five bedroom home with two finished living rooms but the ability to live on one level, then this is your home. It has had many updates including a main level open floor plan with recessed lighting, many new windows, new kitchen cabinets and new flooring just to name a few things. You can sit on the rear deck overlooking Hawk Creek. The home has an attached single care garage that is insulated and sheet rocked. Beside the two finished basement bedrooms, there is a nice 3/4 bath, finished laundry room and large family room with fireplace. This is a must see to appreciate how beautiful this home really is.

9. 2024-11-12
   historical Contingent - Inspection 635-char remark

   Show marketing remark (635 chars)

   If you are looking for a five bedroom home with two finished living rooms but the ability to live on one level, then this is your home. It has had many updates including a main level open floor plan with recessed lighting, many new windows, new kitchen cabinets and new flooring just to name a few things. You can sit on the rear deck overlooking Hawk Creek. The home has an attached single care garage that is insulated and sheet rocked. Beside the two finished basement bedrooms, there is a nice 3/4 bath, finished laundry room and large family room with fireplace. This is a must see to appreciate how beautiful this home really is.

10. 2024-10-14
    listed $235,000 Active 635-char remark

    Show marketing remark (635 chars)

    If you are looking for a five bedroom home with two finished living rooms but the ability to live on one level, then this is your home. It has had many updates including a main level open floor plan with recessed lighting, many new windows, new kitchen cabinets and new flooring just to name a few things. You can sit on the rear deck overlooking Hawk Creek. The home has an attached single care garage that is insulated and sheet rocked. Beside the two finished basement bedrooms, there is a nice 3/4 bath, finished laundry room and large family room with fireplace. This is a must see to appreciate how beautiful this home really is.

11. 2019-02-02
    historical 262-char remark

    Show marketing remark (262 chars)

    This home is a beautiful, spacious, updated and move-in ready, rambler w/3 bedrooms, 1 full bath & 2 half baths with single attached garage on a large lot with 12x20 deck overlooking beautiful backyard. Large basement family room with wood burning fireplace.

12. 2019-02-02
    historical

    Show marketing remark (262 chars)

    This home is a beautiful, spacious, updated and move-in ready, rambler w/3 bedrooms, 1 full bath & 2 half baths with single attached garage on a large lot with 12x20 deck overlooking beautiful backyard. Large basement family room with wood burning fireplace.

13. 2019-02-02
    historical

    Show marketing remark (262 chars)

    This home is a beautiful, spacious, updated and move-in ready, rambler w/3 bedrooms, 1 full bath & 2 half baths with single attached garage on a large lot with 12x20 deck overlooking beautiful backyard. Large basement family room with wood burning fireplace.

14. 2019-02-02
    historical

    Show marketing remark (262 chars)

    This home is a beautiful, spacious, updated and move-in ready, rambler w/3 bedrooms, 1 full bath & 2 half baths with single attached garage on a large lot with 12x20 deck overlooking beautiful backyard. Large basement family room with wood burning fireplace.

15. 2016-01-12
    soldstatus $100,500
16. 2016-01-05
    soldstatus $100,500 262-char remark

    Show marketing remark (262 chars)

    This home is a beautiful, spacious, updated and move-in ready, rambler w/3 bedrooms, 1 full bath & 2 half baths with single attached garage on a large lot with 12x20 deck overlooking beautiful backyard. Large basement family room with wood burning fireplace.

17. 2015-06-15
    listed $104,500 262-char remark

    Show marketing remark (262 chars)

    This home is a beautiful, spacious, updated and move-in ready, rambler w/3 bedrooms, 1 full bath & 2 half baths with single attached garage on a large lot with 12x20 deck overlooking beautiful backyard. Large basement family room with wood burning fireplace.

18. 2009-09-14
    soldstatus $78,500
19. 2009-05-09
    listed $89,900
20. 2009-05-09
    listed $89,900
21. 2008-12-31
    historical
22. 2008-06-30
    listed $104,900
23. 2008-06-30
    listed $104,900
24. 2008-06-30
    listed $104,900
25. 2007-09-14
    listed $114,900
26. 2007-09-14
    listed $114,900

ⓘ 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: $3,656 · $305/mo
• Projected year-2 tax: $3,656 · $305/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 6/10 Major 68% 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: −$14,844
• − Property taxes: −$3,656
• − Insurance: −$1,325
• − Repairs & maintenance: −$3,648
• − Management: −$3,648
• − Depreciation: −$7,709
• Taxable income: $10,770
• Est. tax owed @ 24.0%: −$2,585
• After-tax cash flow: $11,782/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

+130.6% since first listed

26 events — show timeline

• 2026-04-23 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2026-04-02 Contingent — NORTHSTARMLS as Distributed by MLS Grid
• 2026-03-24 Listed $265,000 NORTHSTARMLS as Distributed by MLS Grid
• 2025-05-05 Sold (Public Records) $230,000 Public Records
• 2025-05-02 Sold (MLS) $230,000 NORTHSTARMLS as Distributed by MLS Grid
• 2025-03-13 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2025-02-19 Price Changed $227,000 NORTHSTARMLS as Distributed by MLS Grid
• 2025-01-22 Relisted — NORTHSTARMLS as Distributed by MLS Grid
• 2024-11-12 Contingent — NORTHSTARMLS as Distributed by MLS Grid
• 2024-10-14 Listed $235,000 NORTHSTARMLS as Distributed by MLS Grid
• 2019-02-02 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2019-02-02 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2019-02-02 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2019-02-02 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2016-01-12 Sold (Public Records) $100,500 Public Records
• 2016-01-05 Sold (MLS) $100,500 NORTHSTARMLS as Distributed by MLS Grid
• 2015-06-15 Listed $104,500 NORTHSTARMLS as Distributed by MLS Grid
• 2009-09-14 Sold (Public Records) $78,500 Public Records
• 2009-05-09 Listed $89,900 NORTHSTARMLS as Distributed by MLS Grid
• 2009-05-09 Listed $89,900 NORTHSTARMLS as Distributed by MLS Grid
• 2008-12-31 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2008-06-30 Listed $104,900 NORTHSTARMLS as Distributed by MLS Grid
• 2008-06-30 Listed $104,900 NORTHSTARMLS as Distributed by MLS Grid
• 2008-06-30 Listed $104,900 NORTHSTARMLS as Distributed by MLS Grid
• 2007-09-14 Listed $114,900 NORTHSTARMLS as Distributed by MLS Grid
• 2007-09-14 Listed $114,900 NORTHSTARMLS as Distributed by MLS Grid

Property tax history

+9.9%/yr

Latest (2025): $3,656 · +17.3% YoY. Source: county tax records.