73 Shaw St

Lansing, IA 52151

$250,000C-

5 bd · 2.5 ba · 3,924 sqft · Built 1960 · MultiFamily · Active · 339 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,291/mo
• Mortgage (P&I): −$1,311
• Tax + insurance: −$571
• HOA: −$0
• Vac / Maint / Mgmt: −$481
• Net cashflow: $-73/mo
• Annual: $-870/yr
• Cap rate: 6.21%
• Cash-on-cash: -0.29%
• DSCR: 0.99
• 1% rule: 0.92%
• Cash to close: $70,000

Investor read

• This is a 5-bed/2.5-bath multifamily listed at $250k.
• At list price, monthly cash flow is $-73 ($-870/yr) — negative.
• To cash-flow at today's rent, offer at most $237k (5.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $229k (8.4% below list).
• It's been on market 339 days — a 12% lower offer ($220k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $220k (12.0% below list) — sets the bar for market timing.
• In year one you build about $13k of equity ($2k loan paydown + $11k appreciation (4.6% local appreciation)).
• Location reads 74/100 on livability (#238 in IA, #4,640 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, health & safety A+; Watch: amenities F, commute F, employment F.
• Eastern Allamakee Community School District (rural): math 84% / reading 79% proficiency, ranked #29 of 289 in IA (top 10%) — strong family-tenant draw, lease renewals of 3-5y typical.
• Zoned schools: New Albin Elementary School (math 92% / reading 87%, grade A+, #7 of 616 statewide, top 1%, 155 students, 42% FRL); Lansing Middle School (math 84% / reading 64%, grade A, #76 of 246 statewide, top 33%, 76 students, 49% FRL); Kee High School (math 77% / reading 77%, grade A-, #60 of 336 statewide, top 21%, 99 students, 38% FRL) — zoned schools average 43% FRL vs 27% district-wide (16 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: flood insurance adds $56/mo.
• Market conditions: 16 active listings in the ZIP; 61 units permitted in Allamakee County in 2024 (0 in 5+ unit buildings).
• Allamakee County population projected at -26% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 3 sale attempts since 6y ago; this cycle's ask has dropped $19k (7%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $160k; list at $250k implies a 56% gain — meaningful room to come down on a strong offer.
• At projected returns (4.6% appreciation + 3.0% rent growth), your $70k cash investment doubles in ~5 years — after that, you're playing with house money.
• By year 3, paydown + projected appreciation supports a ~$32k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: severe flood risk — expect insurance premiums to compound above CPI over the hold.

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?
• It's been on market 339 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Built in 1960 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are A-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?
• 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.