405 Diamond St

Ridgeland, WI 54763

$250,000D

4 bd · 1.5 ba · 2,570 sqft · Built 1980 · Other · Active · 295 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,420/mo
• Mortgage (P&I): −$1,311
• Tax + insurance: −$311
• HOA: −$0
• Vac / Maint / Mgmt: −$298
• Net cashflow: $-500/mo
• Annual: $-5,998/yr
• Cap rate: 3.89%
• Cash-on-cash: -8.57%
• DSCR: 0.62
• 1% rule: 0.57%
• Cash to close: $70,000

Investor read

• This is a 4-bed/1.5-bath other listed at $250k.
• At list price, monthly cash flow is $-500 ($-6k/yr) — negative.
• To cash-flow at today's rent, offer at most $162k (35.3% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $142k (43.2% below list).
• It's been on market 295 days — a 12% lower offer ($220k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $142k (43.2% below list) — sets the bar for 1% rule.
• In year one you build about $16k of equity ($2k loan paydown + $14k appreciation (5.7% local appreciation)).
• Location reads 60/100 on livability (#701 in WI) — a middle-class / working-renter tenant base. Strengths: cost of living A+; Watch: housing D+, crime D, health & safety D.
• Barron Area School District (rural): math 30% / reading 33% proficiency, ranked #262 of 342 in WI (top 77%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: 5 active listings in the ZIP; 151 units permitted in Dunn County in 2024 (0 in 5+ unit buildings).
• 3 sale attempts; this cycle's ask has dropped $39k (13%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $35k; list at $250k implies a 616% gain — meaningful room to come down on a strong offer.
• By year 3, paydown + projected appreciation supports a ~$40k 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 295 days. Have you received any prior offers? Is the seller open to a 43% concession, seller financing, or rate buy-down credit?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Crime grade is D in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
• 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.