205 E 3rd St · Peterson, IA 51047

$53,000

3 bd · 2.5 ba · 1,723 sqft · SingleFamily public records · 196 Days on market

Built 1945 7,405 sqft lot $31/sqft · 55% below area

---

Why this score? — see what drove the B+ 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 +30.0/30.0
• 1% rule +10.0/10.0
• DSCR +10.0/10.0
• ARV discount +7.5/15.0
• Appreciation +6.2/10.0
• Schools +5.9/10.0
• Livability +3.2/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0

Listing remarks MLS

With a little TLC this home is a great opportunity to earn some sweat equity. With three bedrooms and two baths, this home has a number of unique features. It has a one car attached garage, main floor laundry, and dual living spaces. There is a fireplace in the one living room and there are numerous rooms with beautiful hardwood flooring. Peterson is an excellent community to live in. Come take a look today.

Key facts

• Hardwood flooring
• Main floor laundry
• Dual living spaces

Tags

• MAIN FLOOR LAUNDRY
• DUAL LIVING SPACES
• FIREPLACE
• HARDWOOD FLOORING

What this means for you Summary

Snapshot

• This is a 3-bed/2.5-bath single-family listed at $53k.

Deal economics

• At list price, monthly cash flow is $566 ($7k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $53k).
• Recommended offer: $47k (12.0% below list) — sets the bar for market timing.

Location & tenants

• Location reads 65/100 on livability (#584 in IA) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: health & safety D, schools F, amenities F.
• Sioux Central Community School District (rural): math 68% / reading 73% proficiency, ranked #143 of 289 in IA (top 50%) — strong family-tenant draw, lease renewals of 3-5y typical.
• Market conditions: 4 active listings in the ZIP; 11 units permitted in Clay County in 2024 (0 in 5+ unit buildings).

Forward outlook

• In year one you build about $2k of equity ($366 loan paydown + $1k appreciation (2.4% local appreciation)).
• Clay County population projected to shrink 6% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• At projected returns (2.4% appreciation + 3.0% rent growth), your $15k cash investment doubles in ~2 years — after that, you're playing with house money.

Negotiation context

• It's been on market 196 days — a 12% lower offer ($47k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Watch-outs: built in 1945 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: moderate wildfire risk — expect insurance premiums to compound above CPI over the hold.

Recommended offer $46,640 (12.0% below list)

Questions for the listing agent

1. It's been on market 196 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
2. Built in 1945 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
4. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
5. Schools are F-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
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: 2.31% ✓
• Cap rate: 19.11%
• Cash-on-cash: 45.79%
• DSCR: 3.04
• GRM: 3.6

CMA / ARV

• ARV (median comp): $116,936
• List price: $53,000
• Delta: -54.68%
• Verdict: UNDERPRICED
• Comps: 9 within 1.0 mi

Show comp detail 2 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
209 Pine St	0.15mi	3/3.0	1,753 (+2%)	19mo	$215,000	$123	72
505 E 2nd St	0.21mi	4/2.0 (+1)	1,851 (+7%)	10mo	$115,000	$62	63

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

Projected returns pro-forma

2.38% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: 50.3%
• Equity multiple: 3.75×
• Total profit: $40,787
• Equity at exit: $22,019

10-year hold

• IRR: 50.6%
• Equity multiple: 7.53×
• Total profit: $96,890
• Equity at exit: $32,586

Cash invested: $14,840 (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 51047

• Home prices YoY: 1.5%
• Active inventory: 4
• Price-to-rent: 3.6×

Monthly cashflow live

• Estimated rent: $1,226 medium
• Mortgage (P&I): −$278
• Tax from tax record: −$102 /mo · $1,224/yr
• Insurance: −$22
• HOA: −$0
• Vacancy / Maint / Mgmt: −$257
• Net cashflow: $566

Break-even live

Break-even rent $509

Max offer price $53,000

Occupancy floor 49%

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: $13,250
• Closing costs: $1,590
• Reserves months: —
• Total cash needed: —

Listing history 16 events

1. 2026-06-18
   days on market $53,000 Active 196 DOM
2. 2026-06-17
   days on market $53,000 Active 195 DOM
3. 2026-06-16
   days on market $53,000 Active 194 DOM
4. 2026-06-15
   days on market $53,000 Active 193 DOM
5. 2026-06-13
   days on market $53,000 Active 191 DOM
6. 2026-06-12
   days on market $53,000 Active 190 DOM
7. 2026-06-09
   days on market $53,000 Active 187 DOM
8. 2026-06-08
   days on market $53,000 Active 186 DOM
9. 2026-06-07
   days on market $53,000 Active 185 DOM
10. 2026-06-07
    days on market $53,000 Active 184 DOM
11. 2026-06-04
    days on market $53,000 Active 181 DOM
12. 2026-06-02
    days on market $53,000 Active 180 DOM
13. 2026-06-01
    days on market $53,000 Active 179 DOM
14. 2026-05-31
    days on market $53,000 Active 178 DOM
15. 2026-05-31
    days on market $53,000 Active 177 DOM
16. 2025-12-03
    listed $53,000 Active 411-char remark

    Show marketing remark (411 chars)

    With a little TLC this home is a great opportunity to earn some sweat equity. With three bedrooms and two baths, this home has a number of unique features. It has a one car attached garage, main floor laundry, and dual living spaces. There is a fireplace in the one living room and there are numerous rooms with beautiful hardwood flooring. Peterson is an excellent community to live in. Come take a look today.

ⓘ 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: $1,224 · $102/mo
• Projected year-2 tax: $1,224 · $102/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 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 5/10 Major
• 🌡 Heat 3/10 Moderate 7 d/yr ≥100°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: $14,708
• − Mortgage interest: −$2,969
• − Property taxes: −$1,224
• − Insurance: −$265
• − Repairs & maintenance: −$1,177
• − Management: −$1,177
• − Depreciation: −$1,542
• Taxable income: $6,355
• Est. tax owed @ 24.0%: −$1,525
• After-tax cash flow: $5,270/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: Sioux Central Community School District
• NCES district ID: 1900023
• Math proficiency: 68% ▼ -4.00%
• Reading proficiency: 73% ▼ -3.00%
• Median HH income: $47,122
• Composite: 59.49/100
• National rank: #922
• State rank: #143 of 289 in IA

Livability — Peterson

• Score: 65/100
• State rank: #584
• US rank: #13246

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Peterson, IA
• Population (ZIP): 739

Population outlook (Clay County) Hauer SSP2

• Today (2025): 16,277 people
• By 2030: 16,073 · -1.3%
• By 2040: 15,638 · -3.9%
• By 2050: 15,315 · -5.9%
• By 2075: 15,026 · -7.7%
• By 2100: 14,638 · -10.1%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (94%)
• Race & ethnicity: White 94% Hispanic / Latino 2% Two or more races 1%
• Common ancestry: Portuguese 8% Slovak 4% Serbian 1%
• Foreign-born: 2% · Canada
• Languages at home: 99% English-only · Spanish 1%

Political lean MEDSL · Clay

• 2024 margin: Solid R (+43.2) · D 27.8% · R 71.0% · Other 1.2%
• 2008→2024 swing: -38.1pp toward R · 2008: -5.1pp · 2024: -43.2pp
• All cycles: 2024: R+43.2 2020: R+38.7 2016: R+42.4 2012: R+18.7 2008: R+5.1

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▲ 2.38%
• Current HPI: 165.7768
• 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

1 event — show timeline

• 2025-12-03 Listed $53,000 NWIA

Property tax history

+2.5%/yr

Latest (2025): $1,224 · +5.2% YoY. Source: county tax records.