807 County Road 6

Renville, MN 56284

$50,000B+

3 bd · 1.0 ba · 1,037 sqft · Built 1910 · SingleFamily · Active · 405 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,550/mo
• Mortgage (P&I): −$262
• Tax + insurance: −$97
• HOA: −$0
• Vac / Maint / Mgmt: −$326
• Net cashflow: $865/mo
• Annual: $10,380/yr
• Cap rate: 27.05%
• Cash-on-cash: 74.14%
• DSCR: 4.30
• 1% rule: 3.10%
• Cash to close: $14,000

Investor read

• This is a 3-bed/1.0-bath single-family listed at $50k.
• At list price, monthly cash flow is $865 ($10k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $50k).
• It's been on market 405 days — a 12% lower offer ($44k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $44k (12.0% below list) — sets the bar for market timing.
• In year one you build about $5k of equity ($346 loan paydown + $5k appreciation (9.4% local appreciation)).
• Location reads 74/100 on livability (#221 in MN, #4,729 nationally) — a middle-class / working-renter tenant base. Strengths: cost of living A+, health & safety A+, housing A; Watch: amenities F, commute F.
• Renville County West School District (rural): math 26% / reading 43% proficiency, ranked #255 of 301 in MN (top 85%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Renville County West Elementary (math 27% / reading 47%, grade F, #636 of 857 statewide, top 76%, 350 students, 58% FRL); Renville County West Senior High (math 22% / reading 37%, grade F, #354 of 471 statewide, top 77%, 230 students, 54% FRL) — zoned schools average 56% FRL vs 40% district-wide (16 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: built in 1910 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 4 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 17 units permitted in Renville County in 2024 (0 in 5+ unit buildings).
• Renville County population projected at -28% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 2 sale attempts since 2y ago; this cycle's ask has dropped $28k (36%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $10k; list at $50k implies a 400% gain — meaningful room to come down on a strong offer.
• At projected returns (9.4% appreciation + 3.0% rent growth), your $14k cash investment doubles in ~1 year — after that, you're playing with house money.
• By year 7, paydown + projected appreciation supports a ~$36k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Questions for listing agent

• It's been on market 405 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Built in 1910 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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.
• 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?
• 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.