4013 2nd Ave · Des Moines, IA 50313

$32,500

2 bd · 1.0 ba · 790 sqft · SingleFamily public records · 12 Days on market

Built 1939 6,950 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
• Rent growth +5.0/5.0
• Livability +4.0/5.0
• Schools +3.8/10.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks

Have you been looking to add to your investment portfolio? This is the perfect opportunity!

Key facts

• 6,950 sq ft lot
• Garage
• Built 1939

What this means for you Summary

Snapshot

• This is a 2-bed/1.0-bath single-family listed at $32k.

Deal economics

• At list price, monthly cash flow is $644 ($8k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $32k).
• Cap rate 30.1% vs local median 3.1% in Des Moines — 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 81/100 on livability (#63 in IA, #1,432 nationally) — a professional / high-income tenant draw. Strengths: commute A+, cost of living A+, housing A+; Watch: employment C-, crime F.
• Des Moines Independent Community School District (urban): math 43% / reading 46% proficiency, ranked #289 of 289 in IA (top 100%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 63% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Madison Elementary School (math 37% / reading 32%, grade F, #595 of 616 statewide, top 97%, 243 students, 90% FRL); Harding Middle School (math 31% / reading 30%, grade F, #245 of 246 statewide, top 100%, 655 students, 90% FRL); North High School (math 33% / reading 45%, grade F, #326 of 336 statewide, top 97%, 1,458 students, 87% FRL) — zoned schools average 89% FRL vs 63% district-wide (26 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: Rents rising fast (+13.1%/yr); 156 active listings in the ZIP; 10 comparable units currently listed for rent nearby; rentals at typical pace (median 26d on market — plan ~3-4 weeks tenant-placement turnaround); 40% of comp listings sitting > 30 days — soft ceiling on asking rent; 2,953 units permitted in Polk County in 2024 (540 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $225 of loan paydown is wiped out by about $975 of value loss. Plan a longer hold.
• Polk County population projected at +37% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• At projected returns (-3.0% appreciation + 8.0% rent growth), your $9k cash investment doubles in ~2 years — after that, you're playing with house money.

Negotiation context

• Only 12 days on market — expect competitive offers; lowballing is unlikely to land.

Risks & watch-outs

• Watch-outs: built in 1939 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $32,500

Questions for the listing agent

1. Built in 1939 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
2. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
3. 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?
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 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: 3.38% ✓
• Cap rate: 30.06%
• Cash-on-cash: 84.87%
• DSCR: 4.78
• GRM: 2.5

CMA / ARV

• ARV (on-the-fly): $177,750
• Comps found: 12

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
3906 Cornell St	0.26mi	2/1.0	768 (-3%)	1mo	$85,000	$111	82
921 Madison Ave	0.57mi	2/1.0	780 (-1%)	1mo	$192,400	$247	70
4012 7th St	0.34mi	2/2.0	734 (-7%)	0mo	$165,000	$225	68
616 E Ovid Ave	0.70mi	2/1.0	780 (-1%)	1mo	$185,000	$237	65
511 Ovid Ave	0.58mi	2/1.0	736 (-7%)	0mo	$152,500	$207	62
3308 Cambridge St	0.59mi	3/1.0 (+1)	816 (+3%)	1mo	$169,900	$208	61
3914 E 8th St	0.58mi	2/1.5	744 (-6%)	1mo	$175,000	$235	61
4030 8th Pl	0.47mi	3/1.5 (+1)	842 (+7%)	1mo	$171,000	$203	59
796 E Aurora Ave	0.65mi	2/1.0	843 (+7%)	1mo	$158,000	$187	58
3701 Amherst St	0.56mi	2/1.0	704 (-11%)	1mo	$118,500	$168	55
3809 11th St	0.68mi	3/1.5 (+1)	857 (+8%)	1mo	$239,900	$280	46
1106 Douglas Ave	0.73mi	2/2.0	884 (+12%)	0mo	$226,685	$256	42

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 · 8.0% rent growth · sell at horizon

5-year hold

• IRR: 90.9%
• Equity multiple: 5.57×
• Total profit: $41,550
• Equity at exit: $4,846

10-year hold

• IRR: 94.9%
• Equity multiple: 13.69×
• Total profit: $115,466
• Equity at exit: $2,810

Cash invested: $9,100 (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 50313

• Rents YoY: 13.1%
• Active inventory: 156
• Price-to-rent: 2.5×

Monthly cashflow live

• Estimated rent: $1,099 high
• Mortgage (P&I): −$170
• Tax est. 1.5%: −$41 /mo · $488/yr
• Insurance: −$14
• HOA: −$0
• Vacancy / Maint / Mgmt: −$231
• Net cashflow: $644

Break-even live

Break-even rent $284

Max offer price $32,500

Occupancy floor 36%

Sensitivity live

Price	-10% $666	-5% $655	+0% $644	+5% $632	+10% $621
Rent	-10% $557	-5% $600	+0% $644	+5% $687	+10% $730
Rate	-1.0pp $660	-0.5pp $652	base $644	+0.5pp $635	+1.0pp $627

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: $8,125
• Closing costs: $975
• Reserves months: —
• Total cash needed: —

Rent comps 10 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
4124 3rd St Des Moines, IA	3.0	1.0	996	$1,595	$1.60	16d	1	0.15mi
3905 8th St Des Moines, IA	1.0	1.0	675	$895	$1.33	25d	1	0.40mi
3623 Cambridge St Des Moines, IA	2.0	1.0	732	$1,145	$1.56	21d	1	0.43mi
3419 1st St Unit 2 Des Moines, IA	1.0	1.0	546	$650	$1.19	46d	1	0.52mi
1108 E Seneca Ave Apt 5 Des Moines, IA	1.0	1.0	680	$647	$0.95	25d	1	0.80mi
1108 E Seneca Ave Apt 1 Des Moines, IA	1.0	1.0	680	$647	$0.95	46d	1	0.81mi
1124 E Seneca Ave Apt 8 Des Moines, IA	1.0	1.0	550	$597	$1.09	46d	1	0.83mi
1124 E Seneca Ave Apt 6 Des Moines, IA	1.0	1.0	550	$597	$1.09	25d	1	0.83mi
3103 E 7th St Des Moines, IA	2.0	1.0	960	$1,200	$1.25	46d	1	0.92mi
3315 E 15th St Des Moines, IA	1.0	1.0	610	$785	$1.29	23d	2	1.33mi

Listing history 2 events

1. 2026-03-23
   status Pending
2. 2026-03-10
   listed $32,500 Active

ⓘ 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 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 3/10 Moderate
• 🌡 Heat 3/10 Moderate 7 d/yr ≥103°F today · 15 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 2/10 Low 1 unhealthy d/yr today · 2 by 30 yrs out

Taxation est. · year 1

• Rental income: $13,188
• − Mortgage interest: −$1,821
• − Property taxes: −$488
• − Insurance: −$162
• − Repairs & maintenance: −$1,055
• − Management: −$1,055
• − Depreciation: −$945
• Taxable income: $7,662
• Est. tax owed @ 24.0%: −$1,839
• After-tax cash flow: $5,884/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: Des Moines Independent Community School District
• NCES district ID: 1908970
• Math proficiency: 43% ▼ -6.00%
• Reading proficiency: 46% ▼ -1.00%
• Median HH income: $45,905
• Composite: 37.83/100
• National rank: #4331
• State rank: #289 of 289 in IA

Livability — Des Moines

• Score: 81/100
• State rank: #63
• US rank: #1432

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Des Moines, IA
• County: Polk County · 453,298 people
• City population: 203,612
• Metro: Des Moines-West Des Moines, IA
• Population (ZIP): 17,440
• Household income: $68,361
• Rent vs Own: 23.1% rent · 76.9% own
• Severe rent burden: 454.0

Population outlook (Polk County) Hauer SSP2

• Today (2025): 548,042 people
• By 2030: 588,557 · +7.4%
• By 2040: 670,629 · +22.4%
• By 2050: 752,830 · +37.4%
• By 2075: 955,069 · +74.3%
• By 2100: 1,115,436 · +103.5%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Diverse neighborhood (Simpson 0.58)
• Race & ethnicity: White 61% Hispanic / Latino 17% Black 11% Two or more races 8% Asian 6%
• Hispanic origin (detail): Mexican 11%
• Common ancestry: Iranian 3% Portuguese 2% Scotch-Irish 2%
• Foreign-born: 16% · Canada, Philippines, Vietnam
• Languages at home: 75% English-only · Spanish 14% Other Asian/Pacific 4% Russian/Polish/Slavic 1%

Political lean MEDSL · Polk

• 2024 margin: D (+10.9) · D 54.8% · R 43.9% · Other 1.3%
• 2008→2024 swing: -3.7pp toward R · 2008: 14.6pp · 2024: 10.9pp
• All cycles: 2024: D+10.9 2020: D+15.2 2016: D+11.5 2012: D+14.2 2008: D+14.6

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -162.17%
• Current HPI: 285.5708
• Rent YoY: ▲ 13.11%
• Metro: Des Moines-West Des Moines, IA
• 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

2 events — show timeline

• 2026-03-23 Pending — DMMLS
• 2026-03-10 Listed $32,500 DMMLS

Property tax history

+3.3%/yr

Latest (2025): $2,198 · +2.0% YoY. Source: county tax records.