397 1st St · Mount Pleasant, IA 52641

$115,000

3 bd · 1.5 ba · 1,960 sqft · SingleFamily public records · 83 Days on market

Built 2004 1.30 ac lot $59/sqft · 31% below area Est $167k · 31% under

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Why this score? — see what drove the C 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 +16.1/30.0
• ARV discount +15.0/15.0
• Schools +5.1/10.0
• DSCR +5.0/10.0
• 1% rule +4.7/10.0
• Livability +4.2/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks MLS

Located in Washington County, this three-parcel property is offered as one package with a range of possibilities. The main home at 397 1st St. offers comfortable living space with opportunity for updates and personal touches. A second parcel includes a shop building well-suited for storage, hobbies, or workspace needs. The third parcel features an additional home, address 249 Henry Washington Rd. , ready for improvement, offering potential for renovation or other future use. A versatile property with space, functionality, and opportunity to add value.

Key facts

• Additional home
• Shop building
• 1.3 acre lot

Tags

• THREE-PARCEL PROPERTY
• SHOP BUILDING
• ADDITIONAL HOME
• POTENTIAL FOR RENOVATION

What this means for you Summary

Snapshot

• This is a 3-bed/1.5-bath single-family listed at $115k.

Deal economics

• At list price, monthly cash flow is $59 ($703/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $111k (3.2% below list).
• Recommended offer: $108k (6.0% below list) — sets the bar for market timing.
• Cap rate 6.9% vs local median 3.3% in Mount Pleasant — 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 84/100 on livability (#20 in IA, #662 nationally) — a professional / high-income tenant draw. Strengths: crime A+, cost of living A+, housing A+; Watch: commute F.
• Waco Community School District (rural): math 56% / reading 64% proficiency, ranked #242 of 289 in IA (top 84%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Market conditions: 93 active listings in the ZIP; 42 units permitted in Washington County in 2024 (12 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $795 of loan paydown is wiped out by about $3k of value loss. Plan a longer hold.
• Washington County population projected at +6% by 2050 — modest demand growth; plan on rents tracking national, not racing it.

Negotiation context

• It's been on market 83 days — a 6% lower offer ($108k) is reasonable based on typical stale-listing flexibility.

Recommended offer $108,100 (6.0% below list)

Questions for the listing agent

1. It's been on market 83 days. Have you received any prior offers? Is the seller open to a 6% concession, seller financing, or rate buy-down credit?
2. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
3. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
4. 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?
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: 0.97% ✗
• Cap rate: 6.90%
• Cash-on-cash: 2.18%
• DSCR: 1.10
• GRM: 8.6

CMA / ARV

• ARV (median comp): $167,036
• List price: $115,000
• Delta: -31.15%
• Verdict: UNDERPRICED
• Comps: 2 within 2.0 mi

Projected returns pro-forma

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

5-year hold

• IRR: -12.8%
• Equity multiple: 0.54×
• Total profit: $-14,872
• Equity at exit: $17,147

10-year hold

• IRR: -3.7%
• Equity multiple: 0.75×
• Total profit: $-8,014
• Equity at exit: $9,943

Cash invested: $32,200 (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 52641

• Home prices YoY: -25.2%
• Active inventory: 93
• Price-to-rent: 8.6×

Monthly cashflow live

• Estimated rent: $1,114 medium
• Mortgage (P&I): −$603
• Tax from tax record: −$170 /mo · $2,044/yr
• Insurance: −$48
• HOA: −$0
• Vacancy / Maint / Mgmt: −$234
• Net cashflow: $59

Break-even live

Break-even rent $1,040

Max offer price $115,000

Occupancy floor 90%

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: $28,750
• Closing costs: $3,450
• Reserves months: —
• Total cash needed: —

Listing history 15 events

1. 2026-06-18
   days on market $115,000 Active 83 DOM
2. 2026-06-17
   days on market $115,000 Active 82 DOM
3. 2026-06-16
   days on market $115,000 Active 81 DOM
4. 2026-06-15
   days on market $115,000 Active 80 DOM
5. 2026-06-13
   days on market $115,000 Active 78 DOM
6. 2026-06-12
   days on market $115,000 Active 77 DOM
7. 2026-06-09
   days on market $115,000 Active 74 DOM
8. 2026-06-08
   days on market $115,000 Active 73 DOM
9. 2026-06-07
   days on market $115,000 Active 72 DOM
10. 2026-06-04
    days on market $115,000 Active 68 DOM
11. 2026-06-02
    days on market $115,000 Active 67 DOM
12. 2026-06-01
    days on market $115,000 Active 66 DOM
13. 2026-05-31
    days on market $115,000 Active 65 DOM
14. 2026-05-31
    days on market $115,000 Active 64 DOM
15. 2026-03-27
    listed $115,000 Active 557-char remark

    Show marketing remark (557 chars)

    Located in Washington County, this three-parcel property is offered as one package with a range of possibilities. The main home at 397 1st St. offers comfortable living space with opportunity for updates and personal touches. A second parcel includes a shop building well-suited for storage, hobbies, or workspace needs. The third parcel features an additional home, address 249 Henry Washington Rd. , ready for improvement, offering potential for renovation or other future use. A versatile property with space, functionality, and opportunity to add value.

ⓘ 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: $2,044 · $170/mo
• Projected year-2 tax: $2,044 · $170/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 3/10 Moderate 7 d/yr ≥107°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: $13,365
• − Mortgage interest: −$6,442
• − Property taxes: −$2,044
• − Insurance: −$575
• − Repairs & maintenance: −$1,069
• − Management: −$1,069
• − Depreciation: −$3,345
• Taxable loss: −$1,179
• Est. tax savings @ 24.0%: +$283
• After-tax cash flow: $986/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: Waco Community School District
• NCES district ID: 1929490
• Math proficiency: 56% ▼ -8.00%
• Reading proficiency: 64% ▬ 0.00%
• Median HH income: $52,874
• Composite: 51.32/100
• National rank: #1740
• State rank: #242 of 289 in IA

Livability — Mount Pleasant

• Score: 84/100
• State rank: #20
• US rank: #662

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Population (ZIP): 12,796

Population outlook (Washington County) Hauer SSP2

• Today (2025): 23,102 people
• By 2030: 23,487 · +1.7%
• By 2040: 24,164 · +4.6%
• By 2050: 24,595 · +6.5%
• By 2075: 25,969 · +12.4%
• By 2100: 24,700 · +6.9%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (83%)
• Race & ethnicity: White 83% Hispanic / Latino 7% Two or more races 6% Black 4% Asian 1%
• Hispanic origin (detail): Mexican 4% Puerto Rican 1%
• Common ancestry: Romanian 3% Portuguese 2% Lithuanian 2%
• Foreign-born: 3% · Canada
• Languages at home: 93% English-only · Spanish 4% Other Asian/Pacific 1%

Political lean MEDSL · Washington

• 2024 margin: Strong R (+24.4) · D 37.2% · R 61.6% · Other 1.2%
• 2008→2024 swing: -23.7pp toward R · 2008: -0.7pp · 2024: -24.4pp
• All cycles: 2024: R+24.4 2020: R+20.5 2016: R+20.6 2012: R+4.2 2008: R+0.7

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -60.39%
• Current HPI: 179.2437
• 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

1 event — show timeline

• 2026-03-27 Listed $115,000 ICAARMLS

Property tax history

+4.8%/yr

Latest (2025): $2,044 · +0.6% YoY. Source: county tax records.