506 5th St · Armstrong, IA 50514

$109,000

2 bd · 1.5 ba · 864 sqft · SingleFamily public records · 13 Days on market

Built 1948 4,400 sqft lot

---

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).

• Cash flow +11.2/30.0
• ARV discount +7.5/15.0
• Appreciation +7.3/10.0
• Schools +6.4/10.0
• Livability +3.6/5.0
• DSCR +3.3/10.0
• 1% rule +2.8/10.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0

Listing remarks

Affordable, efficient, and full of charm. This adorable ranch-home offers comfortable living, thoughtful-updates, and a fenced yard. Open kitchen flows into open-living room; or living / dining combo - your choice! Two main-level bedrooms, full bath, and a bright-attached sunroom leading to your back yard greenspace. Future OPPORTUNITIES in the wide-open basement enhanced with the Beaver Sump System and structure secured support beams . . a GREAT future family room. The water softener is owned, and the water heater is new. Ongoing improvements over the years: siding, several windows, and an updated circuit breaker panel. The attached garage, and full lower-level additionally provided excell

Key facts

• Beaver sump system
• Fenced yard
• Wide open basement

Tags

• FENCED YARD
• OPEN KITCHEN
• BRIGHT ATTACHED SUNROOM
• WIDE OPEN BASEMENT
• BEAVER SUMP SYSTEM
• SECURED SUPPORT BEAMS

Property features AI

Exterior

• Parking: Attached garage with garage door opener (1 car)
• Utilities: Public water; Public sewer; Cable available
• Home design: Single family residence; One level; 1 story
• Construction: Aluminum siding; Metal siding; Asphalt roof
• Exterior features: Patio

Interior

• Kitchen: Dishwasher; Refrigerator; Water purifier
• Flooring: Hardwood
• Bathrooms: 1 full bathroom
• Heating & cooling: Natural gas forced air heating; Central air; Ceiling fan(s)
• Interior features: Eat-in kitchen; Full basement
• Laundry & utility: Gas water heater

What this means for you Summary

Snapshot

• This is a 2-bed/1.5-bath single-family listed at $109k.

Deal economics

• At list price, monthly cash flow is $-42 ($-503/yr) — negative.
• To cash-flow at today's rent, offer at most $102k (6.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $86k (21.5% below list).
• Recommended offer: $86k (21.5% below list) — sets the bar for 1% rule.

Location & tenants

• Location reads 71/100 on livability (#352 in IA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: employment D, amenities F, commute F.
• North Union Community School District (rural): math 68% / reading 83% proficiency, ranked #73 of 289 in IA (top 25%) — strong family-tenant draw, lease renewals of 3-5y typical.
• Market conditions: 6 active listings in the ZIP; 11 units permitted in Emmet County in 2024 (0 in 5+ unit buildings).

Forward outlook

• In year one you build about $6k of equity ($754 loan paydown + $5k appreciation (4.6% local appreciation)).
• Emmet County population projected at -23% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (4.6% 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 ~$31k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Negotiation context

• Only 13 days on market — expect competitive offers; lowballing is unlikely to land.
• Current owner paid $93k; 17% above their basis — modest negotiation headroom, anchor on the comps not their cost.

Risks & watch-outs

• Watch-outs: built in 1948 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $85,543 (21.5% 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 1948 — 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 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?
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: 0.78% ✗
• Cap rate: 5.83%
• Cash-on-cash: -1.65%
• DSCR: 0.93
• GRM: 10.6

CMA / ARV

• ARV (on-the-fly): $40,608
• Comps found: 1

Show comp detail 1 sale within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
807 S 3rd St	0.28mi	2/1.5	892 (+3%)	15mo	$42,000	$47	69

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

Projected returns pro-forma

4.64% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: 10.5%
• Equity multiple: 1.66×
• Total profit: $20,221
• Equity at exit: $59,403

10-year hold

• IRR: 12.0%
• Equity multiple: 3.11×
• Total profit: $64,536
• Equity at exit: $100,617

Cash invested: $30,520 (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 50514

• Home prices YoY: 2.8%
• Active inventory: 6
• Price-to-rent: 10.6×

Monthly cashflow live

• Estimated rent: $855 medium
• Mortgage (P&I): −$572
• Tax from tax record: −$101 /mo · $1,208/yr
• Insurance: −$45
• HOA: −$0
• Vacancy / Maint / Mgmt: −$180
• Net cashflow: $-42

Break-even live

Break-even rent $908

Max offer price $101,598

Occupancy floor 100%

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: $27,250
• Closing costs: $3,270
• Reserves months: —
• Total cash needed: —

Listing history 11 events

1. 2026-06-18
   days on market $109,000 Active 13 DOM
2. 2026-06-17
   days on market $109,000 Active 12 DOM
3. 2026-06-16
   days on market $109,000 Active 11 DOM
4. 2026-06-15
   days on market $109,000 Active 10 DOM
5. 2026-06-13
   days on market $109,000 Active 8 DOM
6. 2026-06-12
   days on market $109,000 Active 7 DOM
7. 2026-06-09
   days on market $109,000 Active 4 DOM
8. 2026-06-08
   days on market $109,000 Active 3 DOM
9. 2026-06-07
   days on market $109,000 Active 2 DOM
10. 2026-06-07
    remarks 699-char remark
11. 2026-06-07
    listed $109,000 Active 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 IA · Partial reset (capped growth)

• Current annual tax: $1,208 · $101/mo
• Projected year-2 tax: $1,460 · $122/mo
• Expected delta: +$252/yr (+$21/mo · 20.8%)

ⓘ 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 3/10 Moderate
• 🌡 Heat 2/10 Low 7 d/yr ≥100°F today · 16 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 2/10 Low 1 unhealthy d/yr today · 1 by 30 yrs out

Taxation est. · year 1

• Rental income: $10,265
• − Mortgage interest: −$6,106
• − Property taxes: −$1,208
• − Insurance: −$545
• − Repairs & maintenance: −$821
• − Management: −$821
• − Depreciation: −$3,171
• Taxable loss: −$2,407
• Est. tax savings @ 24.0%: +$578
• After-tax cash flow: $75/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: North Union Community School District
• NCES district ID: 1903850
• Math proficiency: 68% ▲ 8.00%
• Reading proficiency: 83% ▲ 8.00%
• Median HH income: $49,521
• Composite: 63.83/100
• National rank: #592
• State rank: #73 of 289 in IA

Livability — Armstrong

• Score: 71/100
• State rank: #352
• US rank: #7186

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Armstrong, IA
• Population (ZIP): 1,190

Population outlook (Emmet County) Hauer SSP2

• Today (2025): 9,084 people
• By 2030: 8,626 · -5.0%
• By 2040: 7,751 · -14.7%
• By 2050: 6,991 · -23.0%
• By 2075: 5,854 · -35.6%
• By 2100: 5,563 · -38.8%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (98%)
• Race & ethnicity: White 98% Two or more races 1%
• Common ancestry: Portuguese 12% Slovak 2% Iranian 1%
• Foreign-born: 1%

Political lean MEDSL · Emmet

• 2024 margin: Solid R (+44.0) · D 27.5% · R 71.5% · Other 1.0%
• 2008→2024 swing: -48.0pp toward R · 2008: 3.9pp · 2024: -44.0pp
• All cycles: 2024: R+44.0 2020: R+36.0 2016: R+37.5 2012: R+8.9 2008: D+3.9

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▲ 4.64%
• Current HPI: 170.7437
• Rent YoY: —
• Metro: —
• 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

+17.2% since first listed

2 events — show timeline

• 2026-06-04 Listed $109,000 Iowa Great Lakes BOR
• 2023-06-16 Sold (Public Records) $93,000 Public Records

Property tax history

+4.2%/yr

Latest (2025): $1,208 · -0.7% YoY. Source: county tax records.