1102 Q St

Franklin, NE 68939

$165,000D-

3 bd · 2.0 ba · 1,092 sqft · Built 1910 · SingleFamily · Active · 44 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,094/mo
• Mortgage (P&I): −$865
• Tax + insurance: −$128
• HOA: −$0
• Vac / Maint / Mgmt: −$230
• Net cashflow: $-129/mo
• Annual: $-1,543/yr
• Cap rate: 5.36%
• Cash-on-cash: -3.34%
• DSCR: 0.85
• 1% rule: 0.66%
• Cash to close: $46,200

Investor read

• This is a 3-bed/2.0-bath single-family listed at $165k.
• At list price, monthly cash flow is $-129 ($-2k/yr) — negative.
• To cash-flow at today's rent, offer at most $142k (13.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $109k (33.7% below list).
• It's been on market 44 days — a 3% lower offer ($160k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $109k (33.7% below list) — sets the bar for 1% rule.
• In year one you build about $12k of equity ($1k loan paydown + $11k appreciation (6.6% local appreciation)).
• Location reads 75/100 on livability (#102 in NE, #4,120 nationally) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: employment D+, amenities F, commute F.
• Franklin Public Schools (rural): math 75% / reading 65% proficiency, ranked #19 of 245 in NE (top 8%) — strong family-tenant draw, lease renewals of 3-5y typical.
• Zoned schools: Franklin Elementary School (math 77% / reading 67%, grade A-, #27 of 502 statewide, top 7%, 141 students, 45% FRL); Franklin Middle School (71 students, 59% FRL); Franklin High School (math 34% / reading 44%, grade F, #184 of 261 statewide, top 76%, 78 students, 47% FRL).
• Zoned-school proficiency averages 56% at this address vs 70% district-wide (-14 pts) — the specific schools serving this property underperform the Franklin Public Schools average; the district grade overstates school quality for this exact location.
• Watch-outs: built in 1910 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 5 active listings in the ZIP; 7 units permitted in Franklin County in 2024 (0 in 5+ unit buildings).
• Franklin County population projected at -19% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• By year 4, paydown + projected appreciation supports a ~$41k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: moderate wildfire 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?
• It's been on market 44 days. Have you received any prior offers? Is the seller open to a 34% concession, seller financing, or rate buy-down credit?
• Built in 1910 — 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 B-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?
• 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.