32475 Sawmill Rd · Erhard, MN 56534

$1

3 bd · 3.0 ba · 1,716 sqft · SingleFamily public records · 30 Days on market

Built 1980 2.80 ac lot

---

Why this score? — see what drove the C- 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 +15.0/30.0
• Appreciation +8.3/10.0
• ARV discount +7.5/15.0
• Schools +5.1/10.0
• 1% rule +5.0/10.0
• DSCR +5.0/10.0
• Livability +3.1/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0

Listing remarks

LIVE AUCTION ON SAT. JUNE 13TH TRACT 1 - LONG LAKE HOME . Well-Kept Lake/Country Home Over-looking Long Lake . Property Features 3 Bedroom 3 Bath Home w/ Decks on Each Side . Home Features Hot Tub and Basement Bar/Entertainment Room . Tuck-under Garage/Workshop and Nice Double Detached Garage . Property Recently Updated with New Mound System . Great Country Acreage with Beautiful Views Overlooking the Lake TRACT 2 - BUILDABLE LONG LAKE LOT . Buildable 100ft x 300ft Lake Lot w/ Frontage and Overlooking Long Lake . Beautiful Views - Perfect for Building Your Dream Lake Home . Ideal for those Desiring Both - Home Property Overlooks the Lake Lot * Properties will be Sold Individually w/

Key facts

• Hot tub
• Long lake home
• New mound system

Tags

• LONG LAKE HOME
• HOT TUB
• BASEMENT BAR
• DOUBLE DETACHED GARAGE
• NEW MOUND SYSTEM
• BEAUTIFUL VIEWS

Property features AI

Finance

• Other: Lot approximately 2.8 acres; Above-grade finished area and main-level finished area noted; Total living area approximately 2,810 square feet
• Financial info: Has additional parcels

Exterior

• Parking: Gravel driveway; Tuck-under garage; 4-car garage (26x32)
• Utilities: Private well water; Mound septic (compliant); Propane fuel
• Home design: Residential property; One story
• Construction: Block, concrete and frame construction; Asphalt roof; Block foundation; Built with finished areas above and below grade
• Exterior features: Deck; Lakefront property; Road between home and waterfront

Interior

• Kitchen: Main-level kitchen
• Bedrooms: Three bedrooms (all on main level)
• Bathrooms: Two full bathrooms; One half bathroom
• Heating & cooling: Forced air heating; Central air conditioning
• Interior features: Finished full basement; Bar/wet bar; Den; Dining room; Living room; Sauna

🔨 Auction listing. The $1 list price is a nominal opening bid, not a real ask — every metric below is computed on the estimated value $1 (ARV from comps), not the list price.

What this means for you Summary

Snapshot

• This is a 3-bed/3.0-bath single-family listed at $1.

Deal economics

• At list price, monthly cash flow is $1k ($13k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $1).

Location & tenants

• Location reads 61/100 on livability (#742 in MN) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A-; Watch: health & safety D+, crime D, amenities F.
• Fergus Falls Public School District (town): math 59% / reading 61% proficiency, ranked #46 of 301 in MN (top 15%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Cleveland Elementary (math 71% / reading 60%, grade B+, #123 of 857 statewide, top 15%, 369 students, 47% FRL); Kennedy Middle School (math 57% / reading 63%, grade B, #25 of 258 statewide, top 9%, 769 students, 43% FRL); Kennedy High School (math 52% / reading 62%, grade C, #64 of 471 statewide, top 16%, 685 students, 33% FRL) — zoned schools average 41% FRL vs 24% district-wide (17 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 10 active listings in the ZIP; 140 units permitted in Otter Tail County in 2024 (48 in 5+ unit buildings).

Forward outlook

• At projected returns (6.7% appreciation + 3.0% rent growth), your $0 cash investment doubles in ~1 year — after that, you're playing with house money.

Negotiation context

• It's been on market 30 days — a 2% lower offer ($0) is reasonable based on typical stale-listing flexibility.

Recommended offer $1

Questions for the listing agent

1. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
2. 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?
3. 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?
4. 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.
5. 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.
6. 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: 132007.00% ✓
• Cap rate: 1251424.36%
• Cash-on-cash: 4469350.24%
• DSCR: 198861.94
• GRM: 0.0

CMA / ARV

No comps found within radius.

Projected returns pro-forma

6.68% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: —
• Equity multiple: 237286.05×
• Total profit: $66,440
• Equity at exit: $1

10-year hold

• IRR: —
• Equity multiple: 512365.35×
• Total profit: $143,462
• Equity at exit: $1

Cash invested: $0 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 46 Balanced
• State Minnesota: 46 Balanced · D+2
• County: — inherits STATE
• City: — inherits STATE

2024 reforms strengthened tenant protections; ramsey/hennepin courts paced moderate to slow.

Methodology + full state rankings →

ZIP-level market 56534

• Home prices YoY: 3.1%
• Active inventory: 10

Monthly cashflow live

• Estimated rent: $1,320 medium
• Mortgage (P&I): −$0
• Tax est. 1.5%: −$0 /mo · $0/yr
• Insurance: −$0
• HOA: −$0
• Vacancy / Maint / Mgmt: −$277
• Net cashflow: $1,043

Break-even live

Break-even rent —

Max offer price $1

Occupancy floor 16%

Sensitivity live

Price	-10% $1,043	-5% $1,043	+0% $1,043	+5% $1,043	+10% $1,043
Rent	-10% $939	-5% $991	+0% $1,043	+5% $1,095	+10% $1,147
Rate	-1.0pp $1,043	-0.5pp $1,043	base $1,043	+0.5pp $1,043	+1.0pp $1,043

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: $0
• Closing costs: $0
• Reserves months: —
• Total cash needed: —

Listing history 13 events

1. 2026-06-15
   statusdays on market $1 Pending 30 DOM
2. 2026-06-14
   days on market $1 Active 29 DOM
3. 2026-06-12
   days on market $1 Active 28 DOM
4. 2026-06-09
   days on market $1 Active 25 DOM
5. 2026-06-08
   days on market $1 Active 24 DOM
6. 2026-06-07
   days on market $1 Active 23 DOM
7. 2026-06-07
   days on market $1 Active 22 DOM
8. 2026-06-04
   days on market $1 Active 19 DOM
9. 2026-06-02
   days on market $1 Active 18 DOM
10. 2026-06-01
    days on market $1 Active 17 DOM
11. 2026-05-31
    days on market $1 Active 16 DOM
12. 2026-05-31
    days on market $1 Active 15 DOM
13. 2026-05-14
    listed $1 Active 811-char remark

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Climate risk First Street

• 🌊 Flood 1/10 Low 0% chance over 30 yrs
• 🔥 Wildfire 2/10 Low
• 🌡 Heat 1/10 Low 7 d/yr ≥96°F today · 12 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 3/10 Moderate 2 unhealthy d/yr today · 3 by 30 yrs out

Taxation est. · year 1

• Rental income: $15,841
• − Mortgage interest: −$0
• − Property taxes: −$0
• − Insurance: −$0
• − Repairs & maintenance: −$1,267
• − Management: −$1,267
• − Depreciation: −$0
• Taxable income: $13,306
• Est. tax owed @ 24.0%: −$3,193
• After-tax cash flow: $9,321/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: Fergus Falls Public School District
• NCES district ID: 2711880
• Math proficiency: 59% ▬ 0.00%
• Reading proficiency: 61% ▼ -4.00%
• Median HH income: $48,044
• Composite: 50.89/100
• National rank: #1790
• State rank: #46 of 301 in MN

Livability — Erhard

• Score: 61/100
• State rank: #742
• US rank: #18133

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Population (ZIP): 1,287

Population outlook (Otter Tail County) Hauer SSP2

• Today (2025): 58,183 people
• By 2030: 58,267 · +0.1%
• By 2040: 57,999 · -0.3%
• By 2050: 57,183 · -1.7%
• By 2075: 57,638 · -0.9%
• By 2100: 54,697 · -6.0%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (93%)
• Race & ethnicity: White 93% Hispanic / Latino 4% Two or more races 3%
• Common ancestry: Portuguese 34% Romanian 3% Italian 3%
• Foreign-born: 1% · Canada
• Languages at home: 98% English-only · Spanish 1% German/W. Germanic 1%

Political lean MEDSL · Otter Tail

• 2024 margin: Solid R (+34.2) · D 32.1% · R 66.3% · Other 1.6%
• 2008→2024 swing: -21.3pp toward R · 2008: -12.9pp · 2024: -34.2pp
• All cycles: 2024: R+34.2 2020: R+32.5 2016: R+35.9 2012: R+21.2 2008: R+12.9

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▲ 6.68%
• Current HPI: 223.2758
• Rent YoY: —
• Metro: —
• State GDP YoY: ▲ 2.41%
• F500 in state: 34

Industry mix (Fortune 500 HQ in MN)

Industry	F500 HQs	Revenue
▸Healthcare	2	$407B
▸Retail	2	$150B
▸Consumer Goods	2	$32B
▸Industrial Machinery	2	$6B
▸Agriculture	1	$40B
▸Healthcare / Medical Devices	1	$32B

Property tax history

+5.0%/yr

Latest (2025): $2,050 · -4.0% YoY. Source: county tax records.