229 N Ludington St

Columbus, WI 53925

$874,000F

6 bd · 4.5 ba · 6,019 sqft · Built 1868 · MultiFamily · Active · 58 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,443/mo
• Mortgage (P&I): −$4,583
• Tax + insurance: −$1,457
• HOA: −$0
• Vac / Maint / Mgmt: −$303
• Net cashflow: $-4,900/mo
• Annual: $-58,803/yr
• Cap rate: -0.44%
• Cash-on-cash: -24.03%
• DSCR: -0.07
• 1% rule: 0.17%
• Cash to close: $244,720

Investor read

• This is a 6-bed/4.5-bath multifamily listed at $874k. Condition is rated good.
• At list price, monthly cash flow is $-5k ($-59k/yr) — negative.
• To cash-flow at today's rent, offer at most $165k (81.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $144k (83.5% below list).
• It's been on market 58 days — a 3% lower offer ($848k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $144k (83.5% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $6k of loan paydown is wiped out by about $26k of value loss. Plan a longer hold.
• Location reads 80/100 on livability (#71 in WI, #1,924 nationally) — a professional / high-income tenant draw. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F.
• Columbus School District (town): math 30% / reading 33% proficiency, ranked #253 of 342 in WI (top 74%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Columbus Elementary (438 students, 35% FRL); Columbus Middle (math 26% / reading 37%, grade F, #245 of 383 statewide, top 65%, 265 students, 30% FRL); Columbus High (math 27% / reading 32%, grade F, #228 of 483 statewide, top 52%, 385 students, 20% FRL).
• Watch-outs: built in 1868 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 49 active listings in the ZIP; 219 units permitted in Columbia County in 2024 (45 in 5+ unit buildings).
• Columbia County population projected at -10% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 4 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.
• Cap rate -0.4% vs local median 1.6% in Columbus — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.

Questions for listing agent

• What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
• It's been on market 58 days. Have you received any prior offers? Is the seller open to a 83% concession, seller financing, or rate buy-down credit?
• Built in 1868 — 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 B-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
• The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?
• 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.