204 W Main Cross

Mound Station, IL 62375

$69,900B

2 bd · 1.0 ba · 775 sqft · Built — · Other · Pending · 27 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $996/mo
• Mortgage (P&I): −$367
• Tax + insurance: −$67
• HOA: −$0
• Vac / Maint / Mgmt: −$209
• Net cashflow: $353/mo
• Annual: $4,239/yr
• Cap rate: 12.36%
• Cash-on-cash: 21.66%
• DSCR: 1.96
• 1% rule: 1.43%
• Cash to close: $19,572

Investor read

• This is a 2-bed/1.0-bath other listed at $70k.
• At list price, monthly cash flow is $353 ($4k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($996 rent vs $70k).
• It's been on market 27 days — a 2% lower offer ($69k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $69k (1.5% below list) — sets the bar for market timing.
• In year one you build about $3k of equity ($483 loan paydown + $2k appreciation (3.0% local appreciation)).
• Location reads 66/100 on livability (#561 in IL) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, employment A; Watch: schools D, crime D, amenities F.
• Brown County CUSD 1 (town): math 24% / reading 28% proficiency, ranked #306 of 620 in IL (top 49%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Market conditions: 2 active listings in the ZIP; 1 units permitted in Brown County in 2024 (0 in 5+ unit buildings).
• Brown County population projected at +8% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• Current owner paid $60k; 16% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• At projected returns (3.0% appreciation + 3.0% rent growth), your $20k cash investment doubles in ~3 years — after that, you're playing with house money.

Questions for listing agent

• 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?
• 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?
• 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.
• 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.