137 S Miles St

Fremont, IA 52561

$109,999D+

2 bd · 1.5 ba · 780 sqft · Built 1951 · SingleFamily · Active · 41 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $845/mo
• Mortgage (P&I): −$577
• Tax + insurance: −$121
• HOA: −$0
• Vac / Maint / Mgmt: −$177
• Net cashflow: $-30/mo
• Annual: $-364/yr
• Cap rate: 5.96%
• Cash-on-cash: -1.18%
• DSCR: 0.95
• 1% rule: 0.77%
• Cash to close: $30,800

Investor read

• This is a 2-bed/1.5-bath single-family listed at $110k.
• At list price, monthly cash flow is $-30 ($-364/yr) — negative.
• To cash-flow at today's rent, offer at most $105k (4.9% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $84k (23.2% below list).
• It's been on market 41 days — a 3% lower offer ($107k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $84k (23.2% below list) — sets the bar for 1% rule.
• In year one you build about $6k of equity ($760 loan paydown + $5k appreciation (5.0% local appreciation)).
• Location reads 62/100 on livability (#716 in IA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: health & safety D, amenities F, commute F.
• Eddyville-Blakesburg- Fremont CSD (rural): math 58% / reading 57% proficiency, ranked #253 of 289 in IA (top 88%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Fremont Elementary (math 64% / reading 54%, grade B-, #390 of 616 statewide, top 69%, 126 students, 43% FRL); Eddyville-Blakesburg-Fremont Jr/Sr High (math 48% / reading 56%, grade D+, #299 of 336 statewide, top 91%, 423 students, 35% FRL).
• Watch-outs: built in 1951 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 3 active listings in the ZIP; 13 units permitted in Mahaska County in 2024 (0 in 5+ unit buildings).
• Mahaska County population projected at -10% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (5.0% appreciation + 3.0% rent growth), your $31k cash investment doubles in ~5 years — after that, you're playing with house money.
• By year 6, paydown + projected appreciation supports a ~$34k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

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?
• It's been on market 41 days. Have you received any prior offers? Is the seller open to a 23% concession, seller financing, or rate buy-down credit?
• Built in 1951 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• 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.