409 9th St S

Hettinger, ND 58639

$59,500B

3 bd · 2.0 ba · 1,596 sqft · Built 1948 · Other · Active · 94 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,186/mo
• Mortgage (P&I): −$312
• Tax + insurance: −$113
• HOA: −$0
• Vac / Maint / Mgmt: −$249
• Net cashflow: $511/mo
• Annual: $6,136/yr
• Cap rate: 16.60%
• Cash-on-cash: 36.83%
• DSCR: 2.64
• 1% rule: 1.99%
• Cash to close: $16,660

Investor read

• This is a 3-bed/2.0-bath other listed at $60k.
• At list price, monthly cash flow is $511 ($6k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $60k).
• It's been on market 94 days — a 9% lower offer ($54k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $54k (9.0% below list) — sets the bar for market timing.
• In year one you build about $2k of equity ($411 loan paydown + $2k appreciation (3.0% local appreciation)).
• Location reads 69/100 on livability (#94 in ND) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+; Watch: employment D+, health & safety D+, amenities F.
• Hettinger 13 (rural): math 30% / reading 45% proficiency, ranked #118 of 169 in ND (top 70%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; only 17% free/reduced lunch — higher-income household profile.
• Zoned schools: Hettinger Elementary School (math 32% / reading 42%, grade F, #152 of 236 statewide, top 68%, 170 students, 25% FRL); Hettinger High School (math 24% / reading 54%, grade F, #57 of 144 statewide, top 48%, 124 students, 25% FRL).
• Watch-outs: built in 1948 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 21 active listings in the ZIP.
• Adams County population projected to shrink 4% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• 2 sale attempts since 2y ago; this cycle's ask has dropped $30k (33%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• At projected returns (3.0% appreciation + 3.0% rent growth), your $17k cash investment doubles in ~2 years — after that, you're playing with house money.

Questions for listing agent

• It's been on market 94 days. Have you received any prior offers? Is the seller open to a 9% concession, seller financing, or rate buy-down credit?
• Built in 1948 — 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.
• 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.