2516 Avenue I · Fort Madison, IA 52627

$65,000

3 bd · 1.0 ba · 1,584 sqft · SingleFamily public records · 150 Days on market

Built 1906 7,405 sqft lot $41/sqft · 30% below area Est $93k · 30% under

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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
• ARV discount +15.0/15.0
• 1% rule +10.0/10.0
• DSCR +10.0/10.0
• Schools +4.8/10.0
• Livability +3.8/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks MLS

Welcome home to this charming three bedroom, one bath residence in Fort Madison. The main level features a spacious living room that flows seamlessly into the dining area and kitchen, creating a comfortable and functional layout ideal for everyday living and entertaining. Upstairs, you’ll find three well-sized bedrooms offering privacy and flexibility for family, guests, or a home office. This home is ready for its next owner to make it their own.

Key facts

• 7,405 sq ft lot
• Garage
• Built 1906

What this means for you Summary

Snapshot

• This is a 3-bed/1.0-bath single-family listed at $65k.

Deal economics

• At list price, monthly cash flow is $476 ($6k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $65k).
• Recommended offer: $57k (12.0% below list) — sets the bar for market timing.
• Cap rate 15.1% vs local median 5.4% in Fort Madison — 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 75/100 on livability (#230 in IA, #4,353 nationally) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: commute F, employment D-.
• Fort Madison Community School District (town): math 55% / reading 58% proficiency, ranked #260 of 289 in IA (top 90%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Richardson Elementary School (math 62% / reading 32%, grade D-, #530 of 616 statewide, top 88%, 311 students, 68% FRL); Fort Madison Middle School (math 56% / reading 63%, grade B, #185 of 246 statewide, top 78%, 695 students, 56% FRL); Fort Madison High School (math 48% / reading 60%, grade C-, #293 of 336 statewide, top 87%, 555 students, 45% FRL).
• Market conditions: 65 active listings in the ZIP; 15 units permitted in Lee County in 2024 (0 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $449 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Lee County population projected at -15% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $18k cash investment doubles in ~4 years — after that, you're playing with house money.

Negotiation context

• It's been on market 150 days — a 12% lower offer ($57k) is reasonable based on typical stale-listing flexibility.
• Current owner paid $50k; 30% above their basis — modest negotiation headroom, anchor on the comps not their cost.

Risks & watch-outs

• Watch-outs: built in 1906 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $57,200 (12.0% below list)

Questions for the listing agent

1. It's been on market 150 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
2. Built in 1906 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
4. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
5. 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?
6. 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.
7. 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.
8. 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: 1.90% ✓
• Cap rate: 15.08%
• Cash-on-cash: 31.37%
• DSCR: 2.40
• GRM: 4.4

CMA / ARV

• ARV (median comp): $92,594
• List price: $65,000
• Delta: -29.80%
• Verdict: UNDERPRICED
• Comps: 20 within 1.0 mi

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
2614 Avenue G	0.15mi	2/2.0 (-1)	1,564 (-1%)	2mo	$125,000	$80	81
2510 Avenue I	0.02mi	3/1.0	1,370 (-14%)	3mo	$21,500	$16	74
2111 Avenue J	0.32mi	4/2.0 (+1)	1,566 (-1%)	4mo	$178,000	$114	71
2004 Avenue G	0.43mi	3/2.0	1,620 (+2%)	4mo	$144,950	$89	69
2635 Avenue H	0.16mi	3/2.0	1,477 (-7%)	11mo	$135,000	$91	68
2826 Avenue L	0.35mi	2/1.0 (-1)	1,456 (-8%)	0mo	$58,000	$40	65
2117 Avenue H	0.32mi	2/2.0 (-1)	1,545 (-2%)	10mo	$147,000	$95	64
600 Crescent Ln	0.50mi	4/2.0 (+1)	1,680 (+6%)	1mo	$235,000	$140	57
30 29th Pl	0.50mi	3/1.0	1,804 (+14%)	1mo	$186,000	$103	52
1735 Avenue E	0.69mi	3/1.0	1,488 (-6%)	7mo	$85,000	$57	52
405 Vica Ln	0.63mi	3/2.0	1,442 (-9%)	10mo	$140,000	$97	44
1017 34th St	0.73mi	3/2.0	1,728 (+9%)	11mo	$163,000	$94	38

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

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

5-year hold

• IRR: 26.3%
• Equity multiple: 2.09×
• Total profit: $19,824
• Equity at exit: $9,692

10-year hold

• IRR: 33.9%
• Equity multiple: 4.10×
• Total profit: $56,492
• Equity at exit: $5,620

Cash invested: $18,200 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 83 Strongly Landlord-Friendly
• State Iowa: 83 Strongly Landlord-Friendly · R+6
• County: — inherits STATE
• City: — inherits STATE

3-day pay-or-quit; mostly landlord-friendly statewide.

Methodology + full state rankings →

ZIP-level market 52627

• Home prices YoY: -28.6%
• Active inventory: 65
• Price-to-rent: 4.4×

Monthly cashflow live

• Estimated rent: $1,237 medium
• Mortgage (P&I): −$341
• Tax from tax record: −$134 /mo · $1,602/yr
• Insurance: −$27
• HOA: −$0
• Vacancy / Maint / Mgmt: −$260
• Net cashflow: $476

Break-even live

Break-even rent $635

Max offer price $65,000

Occupancy floor 57%

Sensitivity live

Price	-10% $513	-5% $494	+0% $476	+5% $457	+10% $439
Rent	-10% $378	-5% $427	+0% $476	+5% $525	+10% $574
Rate	-1.0pp $509	-0.5pp $492	base $476	+0.5pp $459	+1.0pp $442

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: $16,250
• Closing costs: $1,950
• Reserves months: —
• Total cash needed: —

Listing history 21 events

1. 2026-06-22
   days on market $65,000 Active 150 DOM
2. 2026-06-21
   pricedays on market $65,000 Active 149 DOM
3. 2026-06-19
   days on market $75,000 Active 147 DOM
4. 2026-06-18
   days on market $75,000 Active 146 DOM
5. 2026-06-17
   days on market $75,000 Active 145 DOM
6. 2026-06-16
   days on market $75,000 Active 144 DOM
7. 2026-06-15
   days on market $75,000 Active 143 DOM
8. 2026-06-14
   days on market $75,000 Active 141 DOM
9. 2026-06-12
   days on market $75,000 Active 140 DOM
10. 2026-06-09
    days on market $75,000 Active 137 DOM
11. 2026-06-08
    days on market $75,000 Active 136 DOM
12. 2026-06-07
    days on market $75,000 Active 135 DOM
13. 2026-06-07
    days on market $75,000 Active 134 DOM
14. 2026-06-03
    days on market $75,000 Active 131 DOM
15. 2026-06-02
    days on market $75,000 Active 130 DOM
16. 2026-06-01
    days on market $75,000 Active 129 DOM
17. 2026-05-31
    days on market $75,000 Active 128 DOM
18. 2026-05-30
    days on market $75,000 Active 127 DOM
19. 2026-01-23
    listed $75,000 Active 457-char remark

    Show marketing remark (457 chars)

    Welcome home to this charming three bedroom, one bath residence in Fort Madison. The main level features a spacious living room that flows seamlessly into the dining area and kitchen, creating a comfortable and functional layout ideal for everyday living and entertaining. Upstairs, you’ll find three well-sized bedrooms offering privacy and flexibility for family, guests, or a home office. This home is ready for its next owner to make it their own.

20. 2019-03-28
    soldstatus $50,000
21. 2010-05-19
    soldstatus $64,000

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

Tax reassessment forecast IA · Partial reset (capped growth)

• Current annual tax: $1,602 · $134/mo
• Projected year-2 tax: $1,602 · $134/mo
• Expected delta: $0/yr ($0/mo · 0.0%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

• 🌊 Flood 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 2/10 Low
• 🌡 Heat 4/10 Moderate 7 d/yr ≥107°F today · 16 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 2/10 Low 0 unhealthy d/yr today · 1 by 30 yrs out

Taxation est. · year 1

• Rental income: $14,845
• − Mortgage interest: −$3,641
• − Property taxes: −$1,602
• − Insurance: −$325
• − Repairs & maintenance: −$1,188
• − Management: −$1,188
• − Depreciation: −$1,891
• Taxable income: $5,011
• Est. tax owed @ 24.0%: −$1,203
• After-tax cash flow: $4,507/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: Fort Madison Community School District
• NCES district ID: 1911850
• Math proficiency: 55% ▼ -7.00%
• Reading proficiency: 58% ▼ -2.00%
• Median HH income: $46,801
• Composite: 47.87/100
• National rank: #2218
• State rank: #260 of 289 in IA

Livability — Fort Madison

• Score: 75/100
• State rank: #230
• US rank: #4353

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Fort Madison, IA
• Population (ZIP): 12,585

Population outlook (Lee County) Hauer SSP2

• Today (2025): 33,813 people
• By 2030: 32,835 · -2.9%
• By 2040: 30,690 · -9.2%
• By 2050: 28,777 · -14.9%
• By 2075: 25,568 · -24.4%
• By 2100: 21,983 · -35.0%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (88%)
• Race & ethnicity: White 88% Two or more races 5% Hispanic / Latino 5% Black 4%
• Common ancestry: Slovak 2% Portuguese 1% Italian 1%
• Foreign-born: 1%
• Languages at home: 98% English-only · Spanish 2%

Political lean MEDSL · Lee

• 2024 margin: Strong R (+27.8) · D 35.0% · R 62.9% · Other 2.1%
• 2008→2024 swing: -43.8pp toward R · 2008: 16.0pp · 2024: -27.8pp
• All cycles: 2024: R+27.8 2020: R+19.3 2016: R+16.1 2012: D+16.0 2008: D+16.0

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -70.32%
• Current HPI: 175.7708
• Rent YoY: —
• Metro: —
• State GDP YoY: ▲ 2.48%
• F500 in state: 4

Industry mix (Fortune 500 HQ in IA)

Industry	F500 HQs	Revenue
▸Financial Services	1	$16B
▸Retail / Convenience	1	$15B

Price history

+17.2% since first listed

3 events — show timeline

• 2026-01-23 Listed $75,000 IAR
• 2019-03-28 Sold (Public Records) $50,000 Public Records
• 2010-05-19 Sold (Public Records) $64,000 Public Records

Property tax history

+3.5%/yr

Latest (2025): $1,602 · +1.4% YoY. Source: county tax records.