718 Sherman St SE Unit 1 & 2 · Grand Rapids, MI 49503

$199,500

6 bd · 2.0 ba · — sqft · MultiFamily · 2 Days on market

Built 1890 Fair condition 5,227 sqft lot

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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
• Livability +4.2/5.0
• Rent growth +3.2/5.0
• Condition / age +2.0/5.0
• Schools +1.9/10.0
• Appreciation +0.0/10.0

Multi-family units

County records classify this as Multi-Family (2-4 Unit). Listing-text estimate: 1 unit. estimate disagrees with records

Listing remarks MLS

Handy Holiday Special on this lovely property located just 1 1/2 blocks from Heritage Hill. This home offers 2 spacious units with 3/1 each, Dining room, Living Room, kitchen, and 2 balconies, separate utilities, separate entrances, 3 season front porch, washer/dryer hook up in basement, separate entrance to basement, and shared water meter. Enjoy spacious back yard with plenty of off street parking. Property needs minimal work, all hardwood floors have been stripped to the bare wood, and is waiting for your finishing touches. All construction materials stay for your added convenience. Close to bus lines, parks, schools, churches and less than 2 blocks from Wealthy shopping. The property faces a beautiful community garden. Seller is happy to answer any questions. There is instant equity in this gem! Seller has suffered declining health and property is in redemption period. Sold As IS! Seller is licensed Agent in the State of MI

Key facts

• Separate utilities
• Washer dryer hook up
• 3 season front porch

Tags

• SPACIOUS UNITS
• SEPARATE UTILITIES
• SEPARATE ENTRANCES
• 3 SEASON FRONT PORCH
• WASHER DRYER HOOK UP
• SPACIOUS BACK YARD

Property features AI

Finance

• Other: Lot dimensions approximately 45' x 118' (5,314 sq ft / 0.12 acres)
• Financial info: Unit 1 reported rent: $2,000; Unit 2 reported rent: $1,800

Exterior

• Parking: 4 total parking spaces
• Utilities: Public water; Public sewer / sewer available; Electricity connected; Natural gas connected
• Home design: Multi-family residential income property
• Construction: Vinyl siding; Composition roof
• Exterior features: Paved road access; Residential zoning

Interior

• Kitchen: Each unit includes a kitchen
• Bedrooms: Two 3-bedroom units (each unit with 3 bedrooms)
• Bathrooms: Each unit has 1 bathroom
• Heating & cooling: Forced-air heating; Natural gas heating
• Interior features: Full basement

What this means for you Summary

Snapshot

• This is a 6-bed/2.0-bath multifamily listed at $200k. Condition is rated fair.

Deal economics

• At list price, monthly cash flow is $2k ($19k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($4k rent vs $200k).
• Cap rate 16.0% vs local median 4.5% in Grand Rapids — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.

Location & tenants

• Location reads 83/100 on livability (#44 in MI, #939 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, commute A+, cost of living A+; Watch: employment C-, crime F.
• Grand Rapids Public Schools (urban): math 15% / reading 29% proficiency, ranked #451 of 540 in MI (top 84%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 80% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: Rents rising (+2.8%/yr); 185 active listings in the ZIP; 6 comparable units currently listed for rent nearby; rentals lingering (median 45d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 100% of comp listings sitting > 30 days — soft ceiling on asking rent; 2,253 units permitted in Kent County in 2024 (969 in 5+ unit buildings).
• At $3,794/mo this rent would consume 70% of the median local household income ($65k/yr) (locally 1891% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $6k of value loss. Plan a longer hold.
• Kent County population projected at +22% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• At projected returns (-3.0% appreciation + 2.8% rent growth), your $56k cash investment doubles in ~4 years — after that, you're playing with house money.

Negotiation context

• Only 2 days on market — expect competitive offers; lowballing is unlikely to land.
• 2 sale attempts with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.

Risks & watch-outs

• Watch-outs: built in 1890 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: major flood risk — expect insurance premiums to compound above CPI over the hold.

Recommended offer $199,500

Questions for the listing agent

1. Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
2. Built in 1890 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
4. Crime grade is F 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?
5. 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.
6. 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.
7. How much new apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.

Investment metrics

• 1% rule: 1.90% ✓
• Cap rate: 16.03%
• Cash-on-cash: 34.77%
• DSCR: 2.55
• GRM: 4.4

CMA / ARV

No comps found within radius.

Projected returns pro-forma

-3.0% appreciation · 2.82% rent growth · sell at horizon

5-year hold

• IRR: 30.1%
• Equity multiple: 2.26×
• Total profit: $70,131
• Equity at exit: $29,746

10-year hold

• IRR: 37.2%
• Equity multiple: 4.42×
• Total profit: $191,238
• Equity at exit: $17,249

Cash invested: $55,860 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 62 Landlord-Friendly
• State Michigan: 62 Landlord-Friendly · EVEN
• County: — inherits STATE
• City: — inherits STATE

7-day pay-or-quit; mixed climate; Detroit/AA have some protections.

Methodology + full state rankings →

ZIP-level market 49503

• Rents YoY: 2.8%
• Active inventory: 185
• Price-to-rent: 8.8×

Monthly cashflow live

• Estimated rent: $3,794 high
• Mortgage (P&I): −$1,046
• Tax est. 1.5%: −$249 /mo · $2,992/yr
• Insurance: −$83
• HOA: −$0
• Vacancy / Maint / Mgmt: −$797
• Net cashflow: $1,619

Break-even live

Break-even rent $1,745

Max offer price $199,500

Occupancy floor 52%

Sensitivity live

Price	-10% $1,756	-5% $1,687	+0% $1,619	+5% $1,550	+10% $1,481
Rent	-10% $1,319	-5% $1,469	+0% $1,619	+5% $1,768	+10% $1,918
Rate	-1.0pp $1,719	-0.5pp $1,669	base $1,619	+0.5pp $1,567	+1.0pp $1,514

2-unit breakdown (identical units grouped — click to expand)

Units	Beds	Baths	Est. rent
▸ 2× units	3	1	$3,794
Total (2 units)			$3,794

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: $49,875
• Closing costs: $5,985
• Reserves months: —
• Total cash needed: —

Rent comps 6 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
1219 Thomas St SE Grand Rapids, MI	6.0	3.5	3400	$3,600	$1.06	45d	1	0.63mi
113 Dwight Ave SE Grand Rapids, MI	5.0	2.5	—	$3,400	—	45d	1	0.66mi
822 Baldwin St SE Grand Rapids, MI	5.0	2.0	—	$3,000	—	45d	1	0.69mi
1154 Prospect Ave SE Grand Rapids, MI	5.0	2.0	1800	$2,300	$1.28	45d	1	0.82mi
117 Fuller Ave NE Grand Rapids, MI	6.0	2.5	2160	$3,150	$1.46	45d	1	1.09mi
832 Michigan St NE Grand Rapids, MI	5.0	2.0	—	$3,150	—	45d	1	1.24mi

Listing history 4 events

1. 2026-05-25
   status Pending

   Show marketing remark (941 chars)

   Handy Holiday Special on this lovely property located just 1 1/2 blocks from Heritage Hill. This home offers 2 spacious units with 3/1 each, Dining room, Living Room, kitchen, and 2 balconies, separate utilities, separate entrances, 3 season front porch, washer/dryer hook up in basement, separate entrance to basement, and shared water meter. Enjoy spacious back yard with plenty of off street parking. Property needs minimal work, all hardwood floors have been stripped to the bare wood, and is waiting for your finishing touches. All construction materials stay for your added convenience. Close to bus lines, parks, schools, churches and less than 2 blocks from Wealthy shopping. The property faces a beautiful community garden. Seller is happy to answer any questions. There is instant equity in this gem! Seller has suffered declining health and property is in redemption period. Sold As IS! Seller is licensed Agent in the State of MI

2. 2026-05-25
   status Pending 941-char remark

   Show marketing remark (941 chars)

   Handy Holiday Special on this lovely property located just 1 1/2 blocks from Heritage Hill. This home offers 2 spacious units with 3/1 each, Dining room, Living Room, kitchen, and 2 balconies, separate utilities, separate entrances, 3 season front porch, washer/dryer hook up in basement, separate entrance to basement, and shared water meter. Enjoy spacious back yard with plenty of off street parking. Property needs minimal work, all hardwood floors have been stripped to the bare wood, and is waiting for your finishing touches. All construction materials stay for your added convenience. Close to bus lines, parks, schools, churches and less than 2 blocks from Wealthy shopping. The property faces a beautiful community garden. Seller is happy to answer any questions. There is instant equity in this gem! Seller has suffered declining health and property is in redemption period. Sold As IS! Seller is licensed Agent in the State of MI

3. 2026-05-22
   listed $199,500 Active

   Show marketing remark (941 chars)

   Handy Holiday Special on this lovely property located just 1 1/2 blocks from Heritage Hill. This home offers 2 spacious units with 3/1 each, Dining room, Living Room, kitchen, and 2 balconies, separate utilities, separate entrances, 3 season front porch, washer/dryer hook up in basement, separate entrance to basement, and shared water meter. Enjoy spacious back yard with plenty of off street parking. Property needs minimal work, all hardwood floors have been stripped to the bare wood, and is waiting for your finishing touches. All construction materials stay for your added convenience. Close to bus lines, parks, schools, churches and less than 2 blocks from Wealthy shopping. The property faces a beautiful community garden. Seller is happy to answer any questions. There is instant equity in this gem! Seller has suffered declining health and property is in redemption period. Sold As IS! Seller is licensed Agent in the State of MI

4. 2026-05-22
   listed $199,500 Active 941-char remark

   Show marketing remark (941 chars)

   Handy Holiday Special on this lovely property located just 1 1/2 blocks from Heritage Hill. This home offers 2 spacious units with 3/1 each, Dining room, Living Room, kitchen, and 2 balconies, separate utilities, separate entrances, 3 season front porch, washer/dryer hook up in basement, separate entrance to basement, and shared water meter. Enjoy spacious back yard with plenty of off street parking. Property needs minimal work, all hardwood floors have been stripped to the bare wood, and is waiting for your finishing touches. All construction materials stay for your added convenience. Close to bus lines, parks, schools, churches and less than 2 blocks from Wealthy shopping. The property faces a beautiful community garden. Seller is happy to answer any questions. There is instant equity in this gem! Seller has suffered declining health and property is in redemption period. Sold As IS! Seller is licensed Agent in the State of MI

ⓘ 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 6/10 Major FEMA zone X (unshaded) · 74% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 2/10 Low 7 d/yr ≥96°F today · 16 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: $45,528
• − Mortgage interest: −$11,175
• − Property taxes: −$2,992
• − Insurance: −$998
• − Repairs & maintenance: −$3,642
• − Management: −$3,642
• − Depreciation: −$5,804
• Taxable income: $17,275
• Est. tax owed @ 24.0%: −$4,146
• After-tax cash flow: $15,277/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.

Condition & rehab AI · 1 photo

Fair 40/100 Moderate rehab

This multi-family property requires moderate renovations, including painting, flooring refinishing, and landscaping, to improve its condition and value.

Repairs flagged

• Major Paint exterior siding — Peeling paint indicates significant wear
• Major Refinish hardwood floors — Stripped to bare wood
• Major Paint interior walls — Worn paint indicates need for fresh coat
• Major Landscaping and curb appeal — Overgrown lawn and unkempt appearance

Value-add opportunities

• Both Paint exterior siding — Enhances curb appeal and property value
• Both Refinish hardwood floors — Improves interior appearance and value
• Both Paint interior walls — Fresh paint improves aesthetics and value
• Both Landscaping and curb appeal — Enhances property's overall appearance and value

Renovation cost estimate screening

Repair item	Severity	Est. cost
Paint exterior siding · Peeling paint indicates significant wear	Major	$15,000–50,000
Refinish hardwood floors · Stripped to bare wood	Major	$15,000–50,000
Paint interior walls · Worn paint indicates need for fresh coat	Major	$15,000–50,000
Landscaping and curb appeal · Overgrown lawn and unkempt appearance	Major	$15,000–50,000
Total estimated repair cost · 4 items		$60,000–200,000

Value-add ROI direction

• Both Paint exterior siding — Enhances curb appeal and property value ↑
• Both Refinish hardwood floors — Improves interior appearance and value ↑
• Both Paint interior walls — Fresh paint improves aesthetics and value ↑
• Both Landscaping and curb appeal — Enhances property's overall appearance and value ↑

ⓘ Cost ranges are severity-bucket heuristics (US national rule-of-thumb). Get contractor quotes + a written scope before underwriting a rehab budget.

Schools (NCES district)

• District: Grand Rapids Public Schools
• NCES district ID: 2616440
• Math proficiency: 15% ▼ -5.00%
• Reading proficiency: 29% ▼ -1.00%
• Median HH income: $40,612
• Composite: 18.62/100
• National rank: #8899
• State rank: #451 of 540 in MI

Livability — Grand Rapids

• Score: 83/100
• State rank: #44
• US rank: #939

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Grand Rapids, MI
• County: Kent County · 533,805 people
• City population: 181,325
• Metro: Grand Rapids-Kentwood, MI
• Population (ZIP): 39,489
• Household income: $64,661
• Rent vs Own: 63.8% rent · 36.2% own
• Severe rent burden: 1891.0

Population outlook (Kent County) Hauer SSP2

• Today (2025): 712,484 people
• By 2030: 748,618 · +5.1%
• By 2040: 814,777 · +14.4%
• By 2050: 868,556 · +21.9%
• By 2075: 966,487 · +35.7%
• By 2100: 967,975 · +35.9%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Diverse neighborhood (Simpson 0.60)
• Race & ethnicity: White 59% Hispanic / Latino 19% Two or more races 14% Black 14% Asian 3%
• Hispanic origin (detail): Mexican 11% Puerto Rican 1%
• Common ancestry: Iranian 10% Romanian 7% Slovak 2%
• Foreign-born: 11% · Canada, South Korea, China
• Languages at home: 82% English-only · Spanish 15% Chinese 1%

Political lean MEDSL · Kent

• 2024 margin: Lean D (+5.4) · D 51.8% · R 46.5% · Other 1.7%
• 2008→2024 swing: +4.8pp toward D · 2008: 0.5pp · 2024: 5.4pp
• All cycles: 2024: D+5.4 2020: D+6.1 2016: R+3.1 2012: R+7.9 2008: D+0.5

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -347.22%
• Current HPI: 312.3878
• Rent YoY: ▲ 2.82%
• Metro: Grand Rapids-Kentwood, MI
• State GDP YoY: ▲ 1.37%
• F500 in state: 28

Industry mix (Fortune 500 HQ in MI)

Industry	F500 HQs	Revenue
▸Automotive Parts	3	$48B
▸Automotive	2	$372B
▸Chemicals	1	$45B
▸Automotive Retail	1	$29B
▸Healthcare / Medical Devices	1	$23B
▸Automotive Technology	1	$20B

Price history

+0.0% since first listed

4 events — show timeline

• 2026-05-25 Pending — REALCOMP
• 2026-05-25 Pending — MiRealSource-MiMLS
• 2026-05-22 Listed $199,500 MiRealSource-MiMLS
• 2026-05-22 Listed $199,500 REALCOMP