707 West Avenue Ave S #711

La Crosse, WI 54601

$349,900F

None bd · None ba · — sqft · Built 1920 · Condo · Pending · 9 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,175/mo
• Mortgage (P&I): −$1,835
• Tax + insurance: −$583
• HOA: −$0
• Vac / Maint / Mgmt: −$247
• Net cashflow: $-1,490/mo
• Annual: $-17,882/yr
• Cap rate: 1.18%
• Cash-on-cash: -18.25%
• DSCR: 0.19
• 1% rule: 0.34%
• Cash to close: $97,972

Investor read

• This is a condo listed at $350k. Condition is rated good.
• At list price, monthly cash flow is $-1k ($-18k/yr) — negative.
• To cash-flow at today's rent, offer at most $134k (61.6% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $117k (66.4% below list).
• Only 9 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $117k (66.4% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $10k of value loss. Plan a longer hold.
• Location reads 69/100 on livability (#339 in WI) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: employment C-, health & safety D, crime F.
• La Crosse School District (urban): math 29% / reading 34% proficiency, ranked #267 of 342 in WI (top 78%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Emerson Elementary (math 42% / reading 37%, grade F, #490 of 1,041 statewide, top 53%, 311 students, 31% FRL); Lincoln Middle (math 34% / reading 41%, grade F, #172 of 383 statewide, top 45%, 277 students, 41% FRL); Central High (math 26% / reading 36%, grade F, #204 of 483 statewide, top 43%, 1,008 students, 38% FRL) — zoned schools at 37% FRL track the district average.
• Watch-outs: built in 1920 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents rising (+2.7%/yr); 224 active listings in the ZIP; 11 comparable units currently listed for rent nearby; rentals lingering (median 46d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 100% of comp listings sitting > 30 days — soft ceiling on asking rent; 268 units permitted in La Crosse County in 2024 (10 in 5+ unit buildings).
• La Crosse County population projected at +14% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• Cap rate 1.2% vs local median 3.1% in La Crosse — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.

Questions for listing agent

• What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
• Built in 1920 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Any open or pending special assessments — roof, HVAC, plumbing, elevator, façade? What's the per-unit balance and payoff schedule, and is the seller paying it off at close or rolling it to the buyer?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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?
• 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?
• The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?
• 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.