412 Esplanade St

Bellwood, NE 68624

$130,000C-

2 bd · 1.0 ba · 1,028 sqft · Built 1910 · SingleFamily · Active · 163 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $958/mo
• Mortgage (P&I): −$682
• Tax + insurance: −$159
• HOA: −$0
• Vac / Maint / Mgmt: −$201
• Net cashflow: $-84/mo
• Annual: $-1,004/yr
• Cap rate: 5.52%
• Cash-on-cash: -2.76%
• DSCR: 0.88
• 1% rule: 0.74%
• Cash to close: $36,400

Investor read

• This is a 2-bed/1.0-bath single-family listed at $130k.
• At list price, monthly cash flow is $-84 ($-1k/yr) — negative.
• To cash-flow at today's rent, offer at most $115k (11.4% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $96k (26.3% below list).
• It's been on market 163 days — a 12% lower offer ($114k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $96k (26.3% below list) — sets the bar for 1% rule.
• In year one you build about $12k of equity ($899 loan paydown + $11k appreciation (8.5% local appreciation)).
• Location reads 67/100 on livability (#285 in NE) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: health & safety C-, amenities F, commute F.
• David City Public Schools (town): math 61% / reading 58% proficiency, ranked #21 of 111 in NE (top 19%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: David City Secondary School (math 57% / reading 57%, grade C, #70 of 261 statewide, top 30%, 308 students, 46% FRL).
• Watch-outs: built in 1910 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 16 active listings in the ZIP; 3 units permitted in Butler County in 2024 (0 in 5+ unit buildings).
• Butler County population projected at -18% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 3 sale attempts since 3y ago; this cycle's ask has dropped $10k (7%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• By year 4, paydown + projected appreciation supports a ~$42k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

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 163 days. Have you received any prior offers? Is the seller open to a 26% concession, seller financing, or rate buy-down credit?
• Built in 1910 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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.
• 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.
• 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.
• 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.