221 SE 2nd Ave · Oelwein, IA 50662

$41,900

2 bd · 3.0 ba · 1,480 sqft · SingleFamily public records · 174 Days on market

Built 1917 7,000 sqft lot $28/sqft · 53% below area ↓ 21% since listing

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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 +4.3/10.0
• 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

2 bedroom 2 bath, needs tlc but a great starter home or investment property. Selling AS IS. Square footages approximate. Call your favorite local agent for your personal showing today!

Key facts

• 7,000 sq ft lot
• 2 parking spots
• Built 1917

What this means for you Summary

Snapshot

• This is a 2-bed/3.0-bath single-family listed at $42k.

Deal economics

• At list price, monthly cash flow is $256 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($747 rent vs $42k).
• Recommended offer: $37k (12.0% below list) — sets the bar for market timing.
• Cap rate 13.6% vs local median 4.5% in Oelwein — 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 76/100 on livability (#186 in IA, #3,329 nationally) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: employment D, amenities F, commute F.
• Oelwein Community School District (town): math 47% / reading 55% proficiency, ranked #281 of 289 in IA (top 97%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Market conditions: 60 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 8 units permitted in Fayette County in 2024 (0 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $290 of loan paydown is wiped out by about $1k of value loss. Plan a longer hold.
• Fayette 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 $12k cash investment doubles in ~5 years — after that, you're playing with house money.

Negotiation context

• It's been on market 174 days — a 12% lower offer ($37k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Watch-outs: property tax is 2.8% of price; built in 1917 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $36,872 (12.0% below list)

Questions for the listing agent

1. It's been on market 174 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 1917 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
4. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
5. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
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: 1.78% ✓
• Cap rate: 13.63%
• Cash-on-cash: 26.19%
• DSCR: 2.17
• GRM: 4.7

CMA / ARV

• ARV (median comp): $88,833
• List price: $41,900
• Delta: -52.83%
• 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
309 SE 3rd Ave	0.09mi	3/2.5 (+1)	1,400 (-5%)	2mo	$120,000	$86	78
309 3rd Ave Ave SE	0.09mi	3/2.0 (+1)	1,399 (-6%)	2mo	$120,000	$86	76
40 SE 5th Ave	0.25mi	3/1.5 (+1)	1,404 (-5%)	8mo	$119,000	$85	62
33 5th Ave Ave SE	0.28mi	3/1.5 (+1)	1,409 (-5%)	7mo	$75,000	$53	62
513 SE 3rd Ave	0.26mi	2/1.0	1,324 (-10%)	0mo	$68,000	$51	62
701 5th St. St SE	0.39mi	3/1.5 (+1)	1,508 (+2%)	9mo	$150,000	$99	60
300 SE 6th Ave	0.24mi	2/1.0	1,286 (-13%)	7mo	$97,900	$76	53
410 1st Ave Ave NW	0.69mi	3/1.5 (+1)	1,509 (+2%)	6mo	$70,150	$46	48
1008 1st St St NE	0.69mi	3/1.5 (+1)	1,567 (+6%)	0mo	$167,000	$107	47
13 Hillside Dr E	0.63mi	3/2.0 (+1)	1,344 (-9%)	8mo	$150,000	$112	40
413 4th Ave Ave NE	0.66mi	3/1.0 (+1)	1,306 (-12%)	2mo	$175,000	$134	35
12 5th Ave Ave NW	0.64mi	3/1.0 (+1)	1,697 (+15%)	5mo	$50,000	$29	29

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: 20.0%
• Equity multiple: 1.81×
• Total profit: $9,556
• Equity at exit: $6,247

10-year hold

• IRR: 28.3%
• Equity multiple: 3.51×
• Total profit: $29,477
• Equity at exit: $3,623

Cash invested: $11,732 (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 50662

• Home prices YoY: -21.7%
• Active inventory: 60
• Price-to-rent: 4.7×

Monthly cashflow live

• Estimated rent: $747 medium
• Mortgage (P&I): −$220
• Tax from tax record: −$97 /mo · $1,164/yr
• Insurance: −$17
• HOA: −$0
• Vacancy / Maint / Mgmt: −$157
• Net cashflow: $256

Break-even live

Break-even rent $423

Max offer price $41,900

Occupancy floor 61%

Sensitivity live

Price	-10% $280	-5% $268	+0% $256	+5% $244	+10% $232
Rent	-10% $197	-5% $227	+0% $256	+5% $286	+10% $315
Rate	-1.0pp $277	-0.5pp $267	base $256	+0.5pp $245	+1.0pp $234

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: $10,475
• Closing costs: $1,257
• Reserves months: —
• Total cash needed: —

Rent comps 2 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
9 N Frederick Ave Apt 1 Oelwein, IA	2.0	1.0	1125	$650	$0.58	44d	1	0.31mi
1297 S Frederick Ave Unit 3 Oelwein, IA	3.0	1.0	1500	$1,000	$0.67	22d	1	1.05mi

Listing history 5 events

1. 2026-05-14
   status Pending 184-char remark

   Show marketing remark (184 chars)

   2 bedroom 2 bath, needs tlc but a great starter home or investment property. Selling AS IS. Square footages approximate. Call your favorite local agent for your personal showing today!

2. 2026-01-31
   price $41,900 184-char remark

   Show marketing remark (184 chars)

   2 bedroom 2 bath, needs tlc but a great starter home or investment property. Selling AS IS. Square footages approximate. Call your favorite local agent for your personal showing today!

3. 2025-12-25
   price $45,900 184-char remark

   Show marketing remark (184 chars)

   2 bedroom 2 bath, needs tlc but a great starter home or investment property. Selling AS IS. Square footages approximate. Call your favorite local agent for your personal showing today!

4. 2025-11-20
   listed $49,000 Active 184-char remark

   Show marketing remark (184 chars)

   2 bedroom 2 bath, needs tlc but a great starter home or investment property. Selling AS IS. Square footages approximate. Call your favorite local agent for your personal showing today!

5. 2024-03-15
   price $53,000

ⓘ 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: $1,164 · $97/mo
• Projected year-2 tax: $1,164 · $97/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 4/10 Moderate
• 🌡 Heat 2/10 Low 7 d/yr ≥100°F today · 15 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 1/10 Low 0 unhealthy d/yr today · 0 by 30 yrs out

Taxation est. · year 1

• Rental income: $8,966
• − Mortgage interest: −$2,347
• − Property taxes: −$1,164
• − Insurance: −$210
• − Repairs & maintenance: −$717
• − Management: −$717
• − Depreciation: −$1,219
• Taxable income: $2,592
• Est. tax owed @ 24.0%: −$622
• After-tax cash flow: $2,450/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: Oelwein Community School District
• NCES district ID: 1921630
• Math proficiency: 47% ▼ -5.00%
• Reading proficiency: 55% ▲ 5.00%
• Median HH income: $39,812
• Composite: 42.61/100
• National rank: #3189
• State rank: #281 of 289 in IA

Livability — Oelwein

• Score: 76/100
• State rank: #186
• US rank: #3329

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: Oelwein, IA
• Population (ZIP): 6,497

Population outlook (Fayette County) Hauer SSP2

• Today (2025): 19,299 people
• By 2030: 18,701 · -3.1%
• By 2040: 17,469 · -9.5%
• By 2050: 16,389 · -15.1%
• By 2075: 15,156 · -21.5%
• By 2100: 14,214 · -26.3%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (90%)
• Race & ethnicity: White 90% Two or more races 5% Hispanic / Latino 3% Native American 1%
• Common ancestry: Italian 3% Portuguese 3% Lithuanian 2%
• Foreign-born: 0%
• Languages at home: 99% English-only · Spanish 1%

Political lean MEDSL · Fayette

• 2024 margin: Solid R (+30.5) · D 34.0% · R 64.4% · Other 1.6%
• 2008→2024 swing: -47.1pp toward R · 2008: 16.6pp · 2024: -30.5pp
• All cycles: 2024: R+30.5 2020: R+22.7 2016: R+19.6 2012: D+11.9 2008: D+16.6

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -49.26%
• Current HPI: 177.9399
• 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

-20.9% since first listed

5 events — show timeline

• 2026-05-14 Pending — NEIRBR as distributed by MLS GRID
• 2026-01-31 Price Changed $41,900 NEIRBR as distributed by MLS GRID
• 2025-12-25 Price Changed $45,900 NEIRBR as distributed by MLS GRID
• 2025-11-20 Listed $49,000 NEIRBR as distributed by MLS GRID
• 2024-03-15 Price Changed $53,000 NEIRBR as distributed by MLS GRID

Property tax history

+3.7%/yr

Latest (2025): $1,164 · +24.9% YoY. Source: county tax records.