536 S Main St

Columbia, IL 62236

$660,000C

None bd · 3768.0 ba · 5,174 sqft · Built 1900 · MultiFamily · Pending · 50 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $7,032/mo
• Mortgage (P&I): −$3,461
• Tax + insurance: −$1,100
• HOA: −$0
• Vac / Maint / Mgmt: −$1,477
• Net cashflow: $994/mo
• Annual: $11,930/yr
• Cap rate: 8.10%
• Cash-on-cash: 6.46%
• DSCR: 1.29
• 1% rule: 1.07%
• Cash to close: $184,800

Investor read

• This is a ?-bed/3768.0-bath multifamily listed at $660k. Condition is rated good.
• At list price, monthly cash flow is $994 ($12k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($7k rent vs $660k).
• It's been on market 50 days — a 3% lower offer ($640k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $640k (3.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $5k of loan paydown is wiped out by about $20k of value loss. Plan a longer hold.
• Location reads 78/100 on livability (#149 in IL, #2,731 nationally) — a middle-class / working-renter tenant base. Strengths: employment A+, housing A+, crime A; Watch: amenities F, health & safety F.
• Columbia CUSD 4 (suburban): math 42% / reading 38% proficiency, ranked #121 of 620 in IL (top 20%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; only 10% free/reduced lunch — higher-income household profile.
• Zoned schools: Parkview Elementary School (math 51% / reading 44%, grade D, #217 of 2,056 statewide, top 11%, 432 students, 0% FRL); Columbia Middle School (math 37% / reading 35%, grade F, #182 of 665 statewide, top 28%, 608 students, 0% FRL); Columbia High School (math 47% / reading 42%, grade F, #62 of 693 statewide, top 10%, 635 students, 0% FRL).
• Watch-outs: built in 1900 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 134 active listings in the ZIP; 62 units permitted in Monroe County in 2024 (0 in 5+ unit buildings).
• Cap rate 8.1% vs local median 1.7% in Columbia — 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.

Questions for listing agent

• It's been on market 50 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
• Built in 1900 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• 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?
• 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 apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.