315 1st St SE · Clara City, MN 56222

$165,000

4 bd · 2.0 ba · 2,150 sqft · SingleFamily · 14 Days on market

Built 1915 10,497 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
• Schools +3.8/10.0
• Livability +3.7/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Appreciation +1.2/10.0

Listing remarks

Perfect opportunity to own a quality home at a price that allows you to make updates as desired! 4 bedroom, 1 and 1/2 bath, 2 stall garage with ample parking space on a large, concrete driveway. There is no shortage of charm here! Beautiful woodwork and built-ins make this a very cozy home with so much character. The 4-season porch adds a nice amount of space to the main floor which is filled with natural light. The front deck is the perfect place for outdoor enjoyment. Come take a look today!

Key facts

• Front deck
• Woodwork
• Built ins

Tags

• 4 SEASON PORCH
• FRONT DECK
• WOODWORK
• BUILT INS
• CONCRETE DRIVEWAY

Property features AI

Finance

• Financial info: Property listed free and clear

Exterior

• Parking: Detached concrete driveway; 2-car garage (24 x 24)
• Utilities: City water; City sewer; Natural gas; 100 amp electrical service with circuit breakers
• Home design: Residential property; Two levels; Main entry on main level
• Construction: Block foundation; Foundation area approximately 806; Roof older than 8 years
• Exterior features: Front porch; Deck; Lot approximately 0.241 acres (75 x 140)

Interior

• Kitchen: Range; Microwave; Dishwasher; Refrigerator
• Bedrooms: 4 bedrooms (three on the upper level, one main level/other flexible bedroom listed)
• Flooring: Hardwood floors
• Bathrooms: One full bathroom on the upper level; One half bath on the main level
• Heating & cooling: Forced-air heating; Central air conditioning
• Interior features: Separate/formal dining room; French doors; Natural woodwork; Walk-in closet; Partially finished basement; Block foundation in basement
• Laundry & utility: Main-level laundry; Washer; Dryer; Electric water heater

What this means for you Summary

Snapshot

• This is a 4-bed/2.0-bath single-family listed at $165k.

Deal economics

• At list price, monthly cash flow is $2k ($22k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($4k rent vs $165k).

Location & tenants

• Location reads 73/100 on livability (#244 in MN) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F, employment D-.
• Maccray School District (rural): math 41% / reading 46% proficiency, ranked #188 of 301 in MN (top 62%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: 7 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 13 units permitted in Chippewa County in 2024 (0 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $5k of value loss. Plan a longer hold.
• Chippewa County population projected at -12% 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 $46k cash investment doubles in ~3 years — after that, you're playing with house money.

Negotiation context

• Only 14 days on market — expect competitive offers; lowballing is unlikely to land.

Risks & watch-outs

• Watch-outs: built in 1915 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $165,000

Questions for the listing agent

1. Built in 1915 — 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. 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.
4. 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.
5. 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: 2.30% ✓
• Cap rate: 19.79%
• Cash-on-cash: 48.21%
• DSCR: 3.14
• GRM: 3.6

CMA / ARV

No comps found within radius.

Projected returns pro-forma

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

5-year hold

• IRR: 45.7%
• Equity multiple: 2.98×
• Total profit: $91,532
• Equity at exit: $24,602

10-year hold

• IRR: 51.5%
• Equity multiple: 6.03×
• Total profit: $232,163
• Equity at exit: $14,266

Cash invested: $46,200 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 46 Balanced
• State Minnesota: 46 Balanced · D+2
• County: — inherits STATE
• City: — inherits STATE

2024 reforms strengthened tenant protections; ramsey/hennepin courts paced moderate to slow.

Methodology + full state rankings →

ZIP-level market 56222

• Home prices YoY: -3.3%
• Active inventory: 7
• Price-to-rent: 3.6×

Monthly cashflow live

• Estimated rent: $3,800 medium
• Mortgage (P&I): −$865
• Tax from tax record: −$212 /mo · $2,544/yr
• Insurance: −$69
• HOA: −$0
• Vacancy / Maint / Mgmt: −$798
• Net cashflow: $1,856

Break-even live

Break-even rent $1,451

Max offer price $165,000

Occupancy floor 46%

Sensitivity live

Price	-10% $1,949	-5% $1,903	+0% $1,856	+5% $1,809	+10% $1,763
Rent	-10% $1,556	-5% $1,706	+0% $1,856	+5% $2,006	+10% $2,156
Rate	-1.0pp $1,939	-0.5pp $1,898	base $1,856	+0.5pp $1,813	+1.0pp $1,770

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: $41,250
• Closing costs: $4,950
• Reserves months: —
• Total cash needed: —

Rent comps 1 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
27 Division St S Clara City, MN	5.0	3.0	2686	$3,800	$1.41	44d	1	0.35mi

Listing history 3 events

1. 2026-05-22
   status Pending
2. 2026-05-13
   historical Contingent - Inspection
3. 2026-05-08
   listed $165,000 Active

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

Tax reassessment forecast MN · Partial reset (capped growth)

• Current annual tax: $2,544 · $212/mo
• Projected year-2 tax: $2,544 · $212/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 4/10 Moderate 22% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 2/10 Low 7 d/yr ≥99°F today · 13 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 2/10 Low 2 unhealthy d/yr today · 2 by 30 yrs out

Taxation est. · year 1

• Rental income: $45,600
• − Mortgage interest: −$9,243
• − Property taxes: −$2,544
• − Insurance: −$825
• − Repairs & maintenance: −$3,648
• − Management: −$3,648
• − Depreciation: −$4,800
• Taxable income: $20,892
• Est. tax owed @ 24.0%: −$5,014
• After-tax cash flow: $17,257/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: Maccray School District
• NCES district ID: 2700091
• Math proficiency: 41% ▼ -10.00%
• Reading proficiency: 46% ▼ -7.00%
• Median HH income: $52,637
• Composite: 37.64/100
• National rank: #4374
• State rank: #188 of 301 in MN

Livability — Clara City

• Score: 73/100
• State rank: #244
• US rank: #5251

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Clara City, MN
• Population (ZIP): 2,012

Population outlook (Chippewa County) Hauer SSP2

• Today (2025): 11,593 people
• By 2030: 11,294 · -2.6%
• By 2040: 10,715 · -7.6%
• By 2050: 10,229 · -11.8%
• By 2075: 9,600 · -17.2%
• By 2100: 8,500 · -26.7%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (88%)
• Race & ethnicity: White 88% Hispanic / Latino 9% Two or more races 4% Native American 2%
• Hispanic origin (detail): Mexican 8%
• Common ancestry: Portuguese 25% Iranian 12% Lithuanian 2%
• Foreign-born: 4% · Canada
• Languages at home: 94% English-only · Spanish 5%

Political lean MEDSL · Chippewa

• 2024 margin: Solid R (+34.1) · D 32.2% · R 66.3% · Other 1.6%
• 2008→2024 swing: -40.0pp toward R · 2008: 5.9pp · 2024: -34.1pp
• All cycles: 2024: R+34.1 2020: R+30.6 2016: R+28.9 2012: D+1.9 2008: D+5.9

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -7.61%
• Current HPI: 220.8934
• Rent YoY: —
• Metro: —
• State GDP YoY: ▲ 2.41%
• F500 in state: 34

Industry mix (Fortune 500 HQ in MN)

Industry	F500 HQs	Revenue
▸Healthcare	2	$407B
▸Retail	2	$150B
▸Consumer Goods	2	$32B
▸Industrial Machinery	2	$6B
▸Agriculture	1	$40B
▸Healthcare / Medical Devices	1	$32B

Price history

3 events — show timeline

• 2026-05-22 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2026-05-13 Contingent — NORTHSTARMLS as Distributed by MLS Grid
• 2026-05-08 Listed $165,000 NORTHSTARMLS as Distributed by MLS Grid

Property tax history

+9.5%/yr

Latest (2025): $2,544 · +12.4% YoY. Source: county tax records.