1827 Rainbow Dr · Cedar Falls, IA 50613

$189,900

2 bd · 1.0 ba · 1,145 sqft · SingleFamily public records · 10 Days on market

Built 1945 9,000 sqft lot $166/sqft · at area comps Est $213k · 11% under

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Why this score? — see what drove the D- 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).

• ARV discount +12.3/15.0
• Cash flow +7.3/30.0
• Schools +6.6/10.0
• Livability +4.0/5.0
• Rent growth +3.0/5.0
• Condition / age +2.5/5.0
• 1% rule +1.8/10.0
• DSCR +1.4/10.0
• Appreciation +0.0/10.0

Listing remarks MLS

Amazing opportunity! Check out this wonderful 4 bedroom Cedar Heights home! This home offers a spacious main floor featuring beautiful hardwood flooring plus fireplace. The hardwood flooring continues into the large dining room which is located just off the kitchen with painted cabinetry. 2 bedrooms and a full bathroom with separate tub and shower complete the main floor. Upstairs you will find two good sized spare bedrooms. Enjoy the large deck overlooking the yard and take advantage of the two stall detached garage. Updates include: windows in 2016, furnace in 2013 and roof in 2010. Check out what this home has to offer today!

Key facts

• Newer roof
• Over 400 sq ft deck
• New water heater

Tags

• UPGRADES MOST WINDOWS
• NEW WATER HEATER
• NEWER ROOF
• OVER 400 SQ FT DECK
• ORIGINAL WOODWORK
• ARCHED DOOR

Property features AI

Exterior

• Parking: Detached carport; 2 carport spaces
• Utilities: Public water; Public sewer
• Home design: Single family residence; Multi/split levels
• Construction: Built with aluminum siding; Shingle/asphalt roof; Basement: block construction with walk-out access, interior and exterior entry
• Exterior features: Deck; Fenced yard

Interior

• Kitchen: Free-standing range; Refrigerator; Microwave
• Bathrooms: 1 full bathroom
• Heating & cooling: Forced air heating; Baseboard heating; Natural gas heating; Central air; Window unit(s); Ceiling fan(s)
• Interior features: Ceiling fans; Crown molding; Electric fireplace (1)
• Laundry & utility: Washer; Laundry on lower level; Gas water heater; Humidifier

What this means for you Summary

Snapshot

• This is a 2-bed/1.0-bath single-family listed at $190k.

Deal economics

• At list price, monthly cash flow is $-255 ($-3k/yr) — negative.
• To cash-flow at today's rent, offer at most $145k (23.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $129k (31.9% below list).
• Recommended offer: $129k (31.9% below list) — sets the bar for 1% rule.
• Cap rate 4.7% vs local median 3.1% in Cedar Falls — 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 81/100 on livability (#60 in IA, #1,357 nationally) — a professional / high-income tenant draw. Strengths: cost of living A+, housing A+, health & safety A+; Watch: amenities D, commute F.
• Cedar Falls Community School District (urban): math 76% / reading 79% proficiency, ranked #45 of 289 in IA (top 16%) — strong family-tenant draw, lease renewals of 3-5y typical; only 18% free/reduced lunch — higher-income household profile.
• Zoned schools: Cedar Heights Elementary School (math 70% / reading 74%, grade A-, #181 of 616 statewide, top 34%, 474 students, 40% FRL); Peet Junior High School (math 79% / reading 80%, grade A+, #35 of 246 statewide, top 16%, 670 students, 27% FRL); Cedar Falls High School (math 74% / reading 78%, grade A-, #75 of 336 statewide, top 23%, 1,302 students, 24% FRL).
• Market conditions: Rents rising (+2.0%/yr); 387 active listings in the ZIP; 12 comparable units currently listed for rent nearby; rentals lingering (median 45d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 75% of comp listings sitting > 30 days — soft ceiling on asking rent; solid renter incomes; 287 units permitted in Black Hawk County in 2024 (67 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $6k of value loss. Plan a longer hold.
• Black Hawk County population projected at +10% by 2050 — modest demand growth; plan on rents tracking national, not racing it.

Negotiation context

• Only 10 days on market — expect competitive offers; lowballing is unlikely to land.
• 2 sale attempts since 7y 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 $137k; 39% above their basis — modest negotiation headroom, anchor on the comps not their cost.

Risks & watch-outs

• Watch-outs: built in 1945 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $129,245 (31.9% below list)

Questions for the listing agent

1. What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
2. Built in 1945 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
4. Schools are A-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
5. The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?
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: 0.68% ✗
• Cap rate: 4.68%
• Cash-on-cash: -5.76%
• DSCR: 0.74
• GRM: 12.2

CMA / ARV

• ARV (median comp): $212,662
• List price: $189,900
• Delta: -10.70%
• Verdict: UNDERPRICED
• Comps: 20 within 1.0 mi

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
1927 Ashland Ave Ave	0.07mi	2/2.0	1,033 (-10%)	6mo	$149,000	$144	71
1421 Madison St	0.25mi	3/2.0 (+1)	1,211 (+6%)	2mo	$240,000	$198	68
2309 California St	0.33mi	3/1.0 (+1)	1,200 (+5%)	4mo	$140,000	$117	68
1410 Madison St	0.26mi	3/2.0 (+1)	1,096 (-4%)	8mo	$152,900	$140	66
1810 Edwards Ave	0.33mi	3/1.0 (+1)	1,106 (-3%)	10mo	$225,000	$203	66
2023 Ashland Ave	0.11mi	3/1.5 (+1)	979 (-14%)	3mo	$151,000	$154	61
1724 Belle Ave	0.47mi	2/1.0	1,064 (-7%)	8mo	$175,000	$164	60
2723 Acorn Ln	0.45mi	3/1.0 (+1)	1,152 (+1%)	20mo	$198,900	$173	56
3103 Hillcrest Dr	0.69mi	2/1.5	1,230 (+7%)	2mo	$185,850	$151	51
903 Grand Blvd	0.67mi	2/2.0	1,220 (+7%)	5mo	$180,000	$148	49
1317 Hawthorne Drive Dr	0.38mi	3/2.0 (+1)	1,028 (-10%)	16mo	$194,000	$189	43
1410 Sunnyside Dr	0.27mi	3/2.0 (+1)	1,285 (+12%)	19mo	$210,000	$163	42

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 · 1.97% rent growth · sell at horizon

5-year hold

• IRR: -27.3%
• Equity multiple: 0.09×
• Total profit: $-48,370
• Equity at exit: $28,315

10-year hold

• IRR: -29.3%
• Equity multiple: -0.29×
• Total profit: $-68,408
• Equity at exit: $16,419

Cash invested: $53,172 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 83 Strongly Landlord-Friendly
• State Iowa: 83 Strongly Landlord-Friendly · R+6
• County: — inherits STATE
• City: — inherits STATE

3-day pay-or-quit; mostly landlord-friendly statewide.

Methodology + full state rankings →

ZIP-level market 50613

• Rents YoY: 2.0%
• Active inventory: 387
• Price-to-rent: 12.2×

Monthly cashflow live

• Estimated rent: $1,292 high
• Mortgage (P&I): −$996
• Tax from tax record: −$202 /mo · $2,418/yr
• Insurance: −$79
• HOA: −$0
• Vacancy / Maint / Mgmt: −$271
• Net cashflow: $-255

Break-even live

Break-even rent $1,616

Max offer price $144,774

Occupancy floor —

Sensitivity live

Price	-10% $-148	-5% $-202	+0% $-255	+5% $-309	+10% $-363
Rent	-10% $-358	-5% $-306	+0% $-255	+5% $-204	+10% $-153
Rate	-1.0pp $-160	-0.5pp $-207	base $-255	+0.5pp $-305	+1.0pp $-355

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: $47,475
• Closing costs: $5,697
• Reserves months: —
• Total cash needed: —

Rent comps 12 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
923 Maplewood Dr Unit C-102 Cedar Falls, IA	2.0	1.0	814	$1,060	$1.30	22d	1	0.95mi
923 Maplewood Dr Unit 6-211 Cedar Falls, IA	2.0	1.0	756	$1,160	$1.53	22d	1	0.95mi
1100 Grove St #31 Cedar Falls, IA	2.0	1.0	830	$1,100	$1.33	44d	1	1.03mi
1100 Grove St #2 Cedar Falls, IA	2.0	1.0	830	$1,000	$1.20	44d	1	1.03mi
3215 Terrace Dr #7 Cedar Falls, IA	2.0	1.0	792	$875	$1.10	44d	1	1.04mi
4711 University Ave Cedar Falls, IA	1.0	1.0	570	$1,200	$2.11	22d	9	1.05mi
1915 Main St Cedar Falls, IA	2.0	1.0	960	$1,050	$1.09	44d	1	1.13mi
1014 Main St Cedar Falls, IA	2.0	1.0	1400	$1,500	$1.07	44d	1	1.25mi
221 E 5th St #209 Cedar Falls, IA	2.0	2.0	1200	$2,000	$1.67	44d	1	1.37mi
309 W 10th St Cedar Falls, IA	3.0	1.5	852	$1,300	$1.53	44d	1	1.44mi
300 State St Cedar Falls, IA	2.0	1.0	1000	$1,650	$1.65	44d	2	1.48mi
2208 Walnut St Cedar Falls, IA	3.0	1.0	1380	$1,400	$1.01	44d	1	1.50mi

Listing history 5 events

1. 2026-05-13
   listed $189,900 Active 1319-char remark
2. 2019-12-26
   soldstatus $137,000
3. 2019-11-25
   soldstatus $137,000 636-char remark

   Show marketing remark (636 chars)

   Amazing opportunity! Check out this wonderful 4 bedroom Cedar Heights home! This home offers a spacious main floor featuring beautiful hardwood flooring plus fireplace. The hardwood flooring continues into the large dining room which is located just off the kitchen with painted cabinetry. 2 bedrooms and a full bathroom with separate tub and shower complete the main floor. Upstairs you will find two good sized spare bedrooms. Enjoy the large deck overlooking the yard and take advantage of the two stall detached garage. Updates include: windows in 2016, furnace in 2013 and roof in 2010. Check out what this home has to offer today!

4. 2019-10-22
   listed $139,900 636-char remark

   Show marketing remark (636 chars)

   Amazing opportunity! Check out this wonderful 4 bedroom Cedar Heights home! This home offers a spacious main floor featuring beautiful hardwood flooring plus fireplace. The hardwood flooring continues into the large dining room which is located just off the kitchen with painted cabinetry. 2 bedrooms and a full bathroom with separate tub and shower complete the main floor. Upstairs you will find two good sized spare bedrooms. Enjoy the large deck overlooking the yard and take advantage of the two stall detached garage. Updates include: windows in 2016, furnace in 2013 and roof in 2010. Check out what this home has to offer today!

5. 2012-08-14
   soldstatus $110,000

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

Tax reassessment forecast IA · Partial reset (capped growth)

• Current annual tax: $2,418 · $202/mo
• Projected year-2 tax: $2,700 · $225/mo
• Expected delta: +$282/yr (+$23/mo · 11.7%)

ⓘ 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 (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 2/10 Low
• 🌡 Heat 2/10 Low 7 d/yr ≥101°F today · 15 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: $15,509
• − Mortgage interest: −$10,637
• − Property taxes: −$2,418
• − Insurance: −$950
• − Repairs & maintenance: −$1,241
• − Management: −$1,241
• − Depreciation: −$5,524
• Taxable loss: −$6,501
• Est. tax savings @ 24.0%: +$1,560
• After-tax cash flow: $-1,505/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: Cedar Falls Community School District
• NCES district ID: 1906510
• Math proficiency: 76% ▼ -6.00%
• Reading proficiency: 79% ▼ -2.00%
• Median HH income: $53,634
• Composite: 65.93/100
• National rank: #443
• State rank: #45 of 289 in IA

Livability — Cedar Falls

• Score: 81/100
• State rank: #60
• US rank: #1357

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Cedar Falls, IA
• County: Black Hawk County · 112,933 people
• City population: 43,867
• Metro: Waterloo-Cedar Falls, IA
• Population (ZIP): 43,867
• Household income: $78,503
• Rent vs Own: 33.9% rent · 66.1% own
• Severe rent burden: 1514.0

Population outlook (Black Hawk County) Hauer SSP2

• Today (2025): 139,716 people
• By 2030: 142,853 · +2.2%
• By 2040: 147,843 · +5.8%
• By 2050: 153,247 · +9.7%
• By 2075: 167,977 · +20.2%
• By 2100: 177,320 · +26.9%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (90%)
• Race & ethnicity: White 90% Asian 3% Two or more races 3% Hispanic / Latino 3% Black 1%
• Common ancestry: Portuguese 6% Italian 3% Iranian 3%
• Foreign-born: 4% · Canada, South Korea
• Languages at home: 95% English-only · Spanish 2% Russian/Polish/Slavic 1% Other Indo-European 1%

Political lean MEDSL · Black Hawk

• 2024 margin: Toss-up / Even · D 50.0% · R 48.8% · Other 1.2%
• 2008→2024 swing: -21.3pp toward R · 2008: 22.4pp · 2024: 1.2pp
• All cycles: 2024: D+1.2 2020: D+9.0 2016: D+7.3 2012: D+20.0 2008: D+22.4

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -175.51%
• Current HPI: 169.0591
• Rent YoY: ▲ 1.97%
• Metro: Waterloo-Cedar Falls, IA
• State GDP YoY: ▲ 2.48%
• F500 in state: 4

Industry mix (Fortune 500 HQ in IA)

Industry	F500 HQs	Revenue
▸Financial Services	1	$16B
▸Retail / Convenience	1	$15B

Price history

+72.6% since first listed

6 events — show timeline

• 2026-05-24 Pending — NEIRBR as distributed by MLS GRID
• 2026-05-13 Listed $189,900 NEIRBR as distributed by MLS GRID
• 2019-12-26 Sold (Public Records) $137,000 Public Records
• 2019-11-25 Sold (MLS) $137,000 NEIRBR as distributed by MLS GRID
• 2019-10-22 Listed $139,900 NEIRBR as distributed by MLS GRID
• 2012-08-14 Sold (Public Records) $110,000 Public Records

Property tax history

+1.2%/yr

Latest (2025): $2,418 · +3.1% YoY. Source: county tax records.