781 4th Ave SE · Wells, MN 56097

$100,000

3 bd · 2.0 ba · 1,376 sqft · SingleFamily public records · 9 Days on market

Built 1958 9,583 sqft lot Est $133k · 25% under

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Why this score? — see what drove the A- 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 +26.7/30.0
• ARV discount +15.0/15.0
• Appreciation +10.0/10.0
• DSCR +9.1/10.0
• 1% rule +7.0/10.0
• Schools +4.2/10.0
• Livability +3.8/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0

Key facts

• 9,583 sq ft lot
• Built 1958
• Listed 8 days

Property features AI

Finance

• Other: Lot approximately 0.22 acres (approx. 150x65); Main level finished area and foundation area provided
• Financial info: Conventional financing available

Exterior

• Parking: No parking indicated
• Utilities: City water (in street); City sewer (in street); Natural gas
• Home design: Residential property; One level; Block foundation
• Construction: Wood construction
• Exterior features: Wood exterior

Interior

• Kitchen: Kitchen on Main level (approx. 10x11)
• Bedrooms: 3 bedrooms (all on Main level)
• Bathrooms: 1 full bathroom (Main level, approx. 9x5)
• Heating & cooling: Forced air heating; Central air conditioning
• Interior features: Sun room; Unfinished basement

What this means for you Summary

Snapshot

• This is a 3-bed/2.0-bath single-family listed at $100k.

Deal economics

• At list price, monthly cash flow is $269 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $100k).

Location & tenants

• Location reads 76/100 on livability (#149 in MN, #3,328 nationally) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A+, crime A; Watch: amenities D, employment D, commute F.
• United South Central School District (rural): math 46% / reading 53% proficiency, ranked #130 of 301 in MN (top 43%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: 28 active listings in the ZIP; 4 units permitted in Faribault County in 2024 (0 in 5+ unit buildings).

Forward outlook

• In year one you build about $11k of equity ($691 loan paydown + $10k appreciation (10.0% local appreciation)).
• Faribault County population projected at -11% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (10.0% appreciation + 3.0% rent growth), your $28k cash investment doubles in ~2 years — after that, you're playing with house money.
• By year 4, paydown + projected appreciation supports a ~$38k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Negotiation context

• Only 9 days on market — expect competitive offers; lowballing is unlikely to land.
• Current owner paid $83k; 20% above their basis — modest negotiation headroom, anchor on the comps not their cost.

Risks & watch-outs

• Watch-outs: built in 1958 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $100,000

Questions for the listing agent

1. Built in 1958 — 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: 1.20% ✓
• Cap rate: 9.53%
• Cash-on-cash: 11.55%
• DSCR: 1.51
• GRM: 6.9

CMA / ARV

• ARV (on-the-fly): $133,472
• Comps found: 2

Show comp detail 2 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
384 5th St St SW	0.58mi	3/1.0	1,359 (-1%)	1mo	$132,000	$97	66
291 NW 1st St	0.71mi	3/1.0	1,304 (-5%)	8mo	$81,000	$62	48

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

10.0% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: 32.8%
• Equity multiple: 3.56×
• Total profit: $71,635
• Equity at exit: $90,088

10-year hold

• IRR: 28.3%
• Equity multiple: 8.05×
• Total profit: $197,485
• Equity at exit: $194,278

Cash invested: $28,000 (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 56097

• Home prices YoY: 4.6%
• Active inventory: 28
• Price-to-rent: 6.9×

Monthly cashflow live

• Estimated rent: $1,204 medium
• Mortgage (P&I): −$524
• Tax from tax record: −$116 /mo · $1,390/yr
• Insurance: −$42
• HOA: −$0
• Vacancy / Maint / Mgmt: −$253
• Net cashflow: $269

Break-even live

Break-even rent $863

Max offer price $100,000

Occupancy floor 73%

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: $25,000
• Closing costs: $3,000
• Reserves months: —
• Total cash needed: —

Listing history 11 events

1. 2026-06-19
   days on market $100,000 Active 9 DOM
2. 2026-06-18
   days on market $100,000 Active 8 DOM
3. 2026-06-17
   days on market $100,000 Active 7 DOM
4. 2026-06-16
   days on market $100,000 Active 6 DOM
5. 2026-06-15
   days on market $100,000 Active 5 DOM
6. 2026-06-14
   days on market $100,000 Active 3 DOM
7. 2026-06-12
   statusdays on market $100,000 Active 2 DOM
8. 2026-06-09
   days on market $100,000 Coming Soon 4 DOM
9. 2026-06-08
   days on market $100,000 Coming Soon 3 DOM
10. 2026-06-07
    days on market $100,000 Coming Soon 2 DOM
11. 2026-06-07
    listed $100,000 Coming Soon 1 DOM

ⓘ 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: $1,390 · $116/mo
• Projected year-2 tax: $1,390 · $116/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 4/10 Moderate 22% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 2/10 Low 7 d/yr ≥99°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: $14,451
• − Mortgage interest: −$5,602
• − Property taxes: −$1,390
• − Insurance: −$500
• − Repairs & maintenance: −$1,156
• − Management: −$1,156
• − Depreciation: −$2,909
• Taxable income: $1,738
• Est. tax owed @ 24.0%: −$417
• After-tax cash flow: $2,816/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: United South Central School District
• NCES district ID: 2700005
• Math proficiency: 46% ▼ -10.00%
• Reading proficiency: 53% ▼ -8.00%
• Median HH income: $46,722
• Composite: 42.03/100
• National rank: #3330
• State rank: #130 of 301 in MN

Livability — Wells

• Score: 76/100
• State rank: #149
• US rank: #3328

Category grades

Amenities D 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: Wells, MN
• Population (ZIP): 3,593

Population outlook (Faribault County) Hauer SSP2

• Today (2025): 13,474 people
• By 2030: 13,112 · -2.7%
• By 2040: 12,454 · -7.6%
• By 2050: 11,973 · -11.1%
• By 2075: 11,565 · -14.2%
• By 2100: 10,844 · -19.5%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (92%)
• Race & ethnicity: White 92% Two or more races 4% Hispanic / Latino 4%
• Common ancestry: Portuguese 13% Romanian 7% Lithuanian 2%
• Foreign-born: 1% · Canada
• Languages at home: 98% English-only · Spanish 2%

Political lean MEDSL · Faribault

• 2024 margin: Solid R (+37.4) · D 30.4% · R 67.8% · Other 1.8%
• 2008→2024 swing: -31.8pp toward R · 2008: -5.6pp · 2024: -37.4pp
• All cycles: 2024: R+37.4 2020: R+33.6 2016: R+34.1 2012: R+9.1 2008: R+5.6

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▲ 11.75%
• Current HPI: 267.13
• 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

+22.0% since first listed

4 events — show timeline

• 2026-06-06 Price Changed $100,000 NORTHSTARMLS as Distributed by MLS Grid
• 2026-06-05 Coming Soon $10,000 NORTHSTARMLS as Distributed by MLS Grid
• 2008-06-19 Sold (Public Records) $83,108 Public Records
• 2001-03-15 Sold (Public Records) $82,000 Public Records

Property tax history

+3.5%/yr

Latest (2025): $1,390 · -9.3% YoY. Source: county tax records.