101 2nd Ave

Fruitland, IA 52749

$84,900B

2 bd · 1.0 ba · 1,584 sqft · Built 1973 · SingleFamily · Pending

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,108/mo
• Mortgage (P&I): −$445
• Tax + insurance: −$181
• HOA: −$0
• Vac / Maint / Mgmt: −$233
• Net cashflow: $249/mo
• Annual: $2,990/yr
• Cap rate: 9.81%
• Cash-on-cash: 12.58%
• DSCR: 1.56
• 1% rule: 1.30%
• Cash to close: $23,772

Investor read

• This is a 2-bed/1.0-bath single-family listed at $85k.
• At list price, monthly cash flow is $249 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $85k).
• Only 0 days on market — expect competitive offers; lowballing is unlikely to land.
• In year one you build about $2k of equity ($587 loan paydown + $2k appreciation (2.1% local appreciation)).
• Location reads 71/100 on livability (#326 in IA) — a middle-class / working-renter tenant base. Strengths: crime A+, employment A+, cost of living A+; Watch: health & safety D+, schools F, amenities F.
• Louisa-Muscatine Community School District (rural): math 70% / reading 75% proficiency, ranked #91 of 289 in IA (top 32%) — strong family-tenant draw, lease renewals of 3-5y typical.
• Market conditions: 4 active listings in the ZIP; 65 units permitted in Muscatine County in 2024 (45 in 5+ unit buildings).
• Muscatine County population projected at +8% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At projected returns (2.1% appreciation + 3.0% rent growth), your $24k cash investment doubles in ~5 years — after that, you're playing with house money.

Questions for listing agent

• Built in 1973 — 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 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?
• 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.