218 8th Ave

Hampton, IL 61256

$350,000D

4 bd · 3.5 ba · 2,039 sqft · Built 2003 · SingleFamily · Pending · 8 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,217/mo
• Mortgage (P&I): −$1,835
• Tax + insurance: −$985
• HOA: −$0
• Vac / Maint / Mgmt: −$676
• Net cashflow: $-279/mo
• Annual: $-3,347/yr
• Cap rate: 5.56%
• Cash-on-cash: -2.60%
• DSCR: 0.88
• 1% rule: 0.92%
• Cash to close: $98,000

Investor read

• This is a 4-bed/3.5-bath single-family listed at $350k.
• At list price, monthly cash flow is $-279 ($-3k/yr) — negative.
• To cash-flow at today's rent, offer at most $301k (14.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $322k (8.1% below list).
• Only 8 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $301k (14.1% below list) — sets the bar for cash-flow.
• In year one you build about $12k of equity ($2k loan paydown + $9k appreciation (2.7% local appreciation)).
• Location reads 67/100 on livability (#508 in IL) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F, health & safety F.
• United Twp Hsd 30 (suburban): math 12% / reading 15% proficiency, ranked #536 of 620 in IL (top 86%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: United Twp High School (math 12% / reading 15%, grade F, #498 of 693 statewide, top 72%, 1,789 students, 0% FRL).
• Watch-outs: property tax is 2.6% of price; flood insurance adds $66/mo.
• Market conditions: 16 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 116 units permitted in Rock Island County in 2024 (50 in 5+ unit buildings).
• Rock Island County population projected at -12% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 4 sale attempts since 23y 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 $215k; list at $350k implies a 63% gain — meaningful room to come down on a strong offer.
• By year 4, paydown + projected appreciation supports a ~$40k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major flood risk — expect insurance premiums to compound above CPI over the hold.

Questions for listing agent

• 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?
• Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
• What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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?
• 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.