217 1st St NW · Pelican Rapids, MN 56572

$220,000

4 bd · 2.0 ba · 896 sqft · SingleFamily public records · 33 Days on market

Built 1907 7,405 sqft lot

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Why this score? — see what drove the F 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 +8.1/30.0
• ARV discount +7.5/15.0
• Schools +4.3/10.0
• Livability +3.9/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• DSCR +2.2/10.0
• 1% rule +1.3/10.0
• Appreciation +0.0/10.0

Listing remarks

This charming older home blends character and comfort with a spacious interior featuring 4 bedrooms and 2 bathrooms. The living room showcases beautiful hardwood flooring, while the dining room and kitchen feature durable laminate wood flooring that adds warmth and style. Situated on a large corner lot, the property provides ample outdoor space for entertaining, gardening, or simply enjoying the large yard. A newer 2-stall garage, built in 2013, adds convenience and functionality. With its combination of charm, space, and a great location, this home is full of potential and ready for its next.

Key facts

• Hardwood flooring
• Newer garage
• Large corner lot

Tags

• HARDWOOD FLOORING
• LAMINATE WOOD FLOORING
• LARGE CORNER LOT
• OUTDOOR SPACE
• NEWER GARAGE

Property features AI

Exterior

• Parking: Detached or attached 2-car garage (25 x 29); Garage approximately 725 square feet
• Utilities: City water connected; City sewer connected; Electric service (other); Natural gas
• Home design: Residential property; Two levels; Corner lot; Accessible features present
• Construction: Built on poured concrete foundation; Block full basement; Asphalt roof
• Exterior features: Wood exterior

Interior

• Kitchen: Range; Refrigerator; Dishwasher
• Bedrooms: 4 bedrooms
• Bathrooms: Main floor 3/4 bath; Upper level full bath
• Heating & cooling: Forced air heating; No central air
• Interior features: Dryer, Range, Refrigerator, Washer
• Laundry & utility: Washer and Dryer

What this means for you Summary

Snapshot

• This is a 4-bed/2.0-bath single-family listed at $220k.

Deal economics

• At list price, monthly cash flow is $-213 ($-3k/yr) — negative.
• To cash-flow at today's rent, offer at most $182k (17.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $140k (36.6% below list).
• Recommended offer: $140k (36.6% below list) — sets the bar for 1% rule.
• Cap rate 5.1% vs local median 1.4% in Pelican Rapids — 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 78/100 on livability (#114 in MN, #2,581 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F.
• Pelican Rapids Public School District (rural): math 45% / reading 54% proficiency, ranked #123 of 301 in MN (top 41%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Viking Elementary School (math 58% / reading 62%, grade B-, #209 of 857 statewide, top 25%, 460 students, 61% FRL); Pelican Rapids Alt Center Mid-Level (math 10% / reading 10%); Pelican Rapids Secondary (math 32% / reading 47%, grade F, #246 of 471 statewide, top 59%, 405 students, 56% FRL) — zoned schools average 58% FRL vs 39% district-wide (20 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Zoned-school proficiency averages 36% at this address vs 50% district-wide (-13 pts) — the specific schools serving this property underperform the Pelican Rapids Public School District average; the district grade overstates school quality for this exact location.
• Market conditions: 175 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 140 units permitted in Otter Tail County in 2024 (48 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $7k of value loss. Plan a longer hold.

Negotiation context

• It's been on market 33 days — a 3% lower offer ($213k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Watch-outs: built in 1907 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $139,500 (36.6% below list)

Questions for the listing agent

1. 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?
2. It's been on market 33 days. Have you received any prior offers? Is the seller open to a 37% concession, seller financing, or rate buy-down credit?
3. Built in 1907 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
4. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
5. 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?
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: 0.63% ✗
• Cap rate: 5.13%
• Cash-on-cash: -4.15%
• DSCR: 0.82
• GRM: 13.1

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: -23.4%
• Equity multiple: 0.20×
• Total profit: $-49,309
• Equity at exit: $32,803

10-year hold

• IRR: -18.3%
• Equity multiple: 0.01×
• Total profit: $-60,819
• Equity at exit: $19,022

Cash invested: $61,600 (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 56572

• Home prices YoY: -14.1%
• Active inventory: 175
• Price-to-rent: 13.1×

Monthly cashflow live

• Estimated rent: $1,395 medium
• Mortgage (P&I): −$1,154
• Tax from tax record: −$70 /mo · $834/yr
• Insurance: −$92
• HOA: −$0
• Vacancy / Maint / Mgmt: −$293
• Net cashflow: $-213

Break-even live

Break-even rent $1,664

Max offer price $182,404

Occupancy floor —

Sensitivity live

Price	-10% $-88	-5% $-151	+0% $-213	+5% $-275	+10% $-337
Rent	-10% $-323	-5% $-268	+0% $-213	+5% $-158	+10% $-103
Rate	-1.0pp $-102	-0.5pp $-157	base $-213	+0.5pp $-270	+1.0pp $-328

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: $55,000
• Closing costs: $6,600
• Reserves months: —
• Total cash needed: —

Rent comps 1 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
520 NW 3rd St Apt 101 Pelican Rapids, MN	3.0	1.0	950	$1,395	$1.47	23d	1	0.33mi

Listing history 14 events

1. 2026-06-16
   status $220,000 Pending 33 DOM
2. 2026-06-15
   days on market $220,000 Contingent - Inspection 33 DOM
3. 2026-06-14
   days on market $220,000 Contingent - Inspection 31 DOM
4. 2026-06-12
   days on market $220,000 Contingent - Inspection 30 DOM
5. 2026-06-09
   days on market $220,000 Contingent - Inspection 27 DOM
6. 2026-06-08
   days on market $220,000 Contingent - Inspection 26 DOM
7. 2026-06-07
   days on market $220,000 Contingent - Inspection 25 DOM
8. 2026-06-07
   days on market $220,000 Contingent - Inspection 24 DOM
9. 2026-06-04
   days on market $220,000 Contingent - Inspection 21 DOM
10. 2026-06-02
    days on market $220,000 Contingent - Inspection 20 DOM
11. 2026-06-01
    days on market $220,000 Contingent - Inspection 19 DOM
12. 2026-05-31
    days on market $220,000 Contingent - Inspection 18 DOM
13. 2026-05-31
    days on market $220,000 Contingent - Inspection 17 DOM
14. 2026-05-08
    listed $220,000 Active 600-char remark

ⓘ 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: $834 · $70/mo
• Projected year-2 tax: $1,649 · $137/mo
• Expected delta: +$815/yr (+$68/mo · 97.7%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

• 🌊 Flood 1/10 Low 0% chance over 30 yrs
• 🔥 Wildfire 2/10 Low
• 🌡 Heat 1/10 Low 7 d/yr ≥95°F today · 12 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 3/10 Moderate 2 unhealthy d/yr today · 3 by 30 yrs out

Taxation est. · year 1

• Rental income: $16,740
• − Mortgage interest: −$12,323
• − Property taxes: −$834
• − Insurance: −$1,100
• − Repairs & maintenance: −$1,339
• − Management: −$1,339
• − Depreciation: −$6,400
• Taxable loss: −$6,596
• Est. tax savings @ 24.0%: +$1,583
• After-tax cash flow: $-971/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: Pelican Rapids Public School District
• NCES district ID: 2728170
• Math proficiency: 45% ▼ -11.00%
• Reading proficiency: 54% ▼ -3.00%
• Median HH income: $51,933
• Composite: 42.52/100
• National rank: #3203
• State rank: #123 of 301 in MN

Livability — Pelican Rapids

• Score: 78/100
• State rank: #114
• US rank: #2581

Category grades

Amenities F 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

• Census place: Pelican Rapids, MN
• Population (ZIP): 5,900

Population outlook (Otter Tail County) Hauer SSP2

• Today (2025): 58,183 people
• By 2030: 58,267 · +0.1%
• By 2040: 57,999 · -0.3%
• By 2050: 57,183 · -1.7%
• By 2075: 57,638 · -0.9%
• By 2100: 54,697 · -6.0%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (78%)
• Race & ethnicity: White 78% Hispanic / Latino 13% Two or more races 8% Black 4%
• Hispanic origin (detail): Mexican 9% Puerto Rican 1%
• Common ancestry: Portuguese 30% Scottish 2% Romanian 2%
• Foreign-born: 9% · Canada
• Languages at home: 87% English-only · Spanish 7% Russian/Polish/Slavic 1% German/W. Germanic 0%

Political lean MEDSL · Otter Tail

• 2024 margin: Solid R (+34.2) · D 32.1% · R 66.3% · Other 1.6%
• 2008→2024 swing: -21.3pp toward R · 2008: -12.9pp · 2024: -34.2pp
• All cycles: 2024: R+34.2 2020: R+32.5 2016: R+35.9 2012: R+21.2 2008: R+12.9

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -37.55%
• Current HPI: 229.1081
• 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

• 2026-06-15 Pending — NORTHSTARMLS as Distributed by MLS Grid
• 2026-05-29 Contingent — NORTHSTARMLS as Distributed by MLS Grid
• 2026-05-08 Listed $220,000 NORTHSTARMLS as Distributed by MLS Grid

Property tax history

+4.9%/yr

Latest (2025): $834 · -15.1% YoY. Source: county tax records.