742 N Freeman Ave · Luverne, MN 56156

$129,900

4 bd · 2.0 ba · 1,417 sqft · SingleFamily · 248 Days on market

Built 1914 7,318 sqft lot $92/sqft · 26% below area Est $175k · 26% under ↓ 13% since listing

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Why this score? — see what drove the C- 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).

• ARV discount +15.0/15.0
• Cash flow +14.2/30.0
• Schools +4.8/10.0
• DSCR +4.3/10.0
• Livability +4.3/5.0
• 1% rule +3.7/10.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks MLS

Improved Price! Offered for the first time in 35 years, this beautifully maintained home blends classic character with a warm, inviting feel. Rich hardwood floors, original woodwork, and elegant tray ceilings showcase timeless craftsmanship throughout. The sun-filled dining room features a cozy gas fireplace and large windows, creating an ideal space for gatherings. The kitchen comes equipped with a stove, refrigerator, and dishwasher, with easy access to the backyard and upper level, perfect for everyday living and entertaining. Start your mornings on the covered front porch and relax in the evenings on the composite-covered back deck. The main floor includes a comfortable primary bedroom, a nicely updated full bath, and generous hallway storage. Upstairs offers three additional bedrooms, a convenient half bath, electric baseboard heat, and extra attic storage. The basement adds functionality and future potential with a laundry area, soaker sink, water softener hookups, newer gas furnace and water heater, and an updated breaker panel. A durable 24x24 double detached metal garage with alley access completes the package. Full of charm, space, and pride of ownership, this home is ready for its next chapter. Don’t miss this opportunity!

Key facts

• Large windows
• Covered front porch
• Gas fireplace

Tags

• HARDWOOD FLOORS
• ORIGINAL WOODWORK
• TRAY CEILINGS
• GAS FIREPLACE
• LARGE WINDOWS
• COVERED FRONT PORCH

What this means for you Summary

Snapshot

• This is a 4-bed/2.0-bath single-family listed at $130k.

Deal economics

• At list price, monthly cash flow is $21 ($253/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $112k (13.4% below list).
• Recommended offer: $112k (13.4% below list) — sets the bar for 1% rule.
• Cap rate 6.5% vs local median 3.6% in Luverne — 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 86/100 on livability (#14 in MN, #455 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, cost of living A+, housing A+; Watch: commute F.
• Luverne Public School District (rural): math 55% / reading 58% proficiency, ranked #64 of 301 in MN (top 21%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Market conditions: 65 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 66 units permitted in Rock County in 2024 (50 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $898 of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
• Rock County population projected to shrink 9% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.

Negotiation context

• It's been on market 248 days — a 12% lower offer ($114k) is reasonable based on typical stale-listing flexibility.
• 5 sale attempts; this cycle's ask has dropped $10k (7%) from the opening price — seller is motivated, your offer sets the floor, not the list.

Risks & watch-outs

• Watch-outs: built in 1914 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $112,500 (13.4% below list)

Questions for the listing agent

1. It's been on market 248 days. Have you received any prior offers? Is the seller open to a 13% concession, seller financing, or rate buy-down credit?
2. Built in 1914 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
4. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
5. 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?
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: 0.87% ✗
• Cap rate: 6.49%
• Cash-on-cash: 0.70%
• DSCR: 1.03
• GRM: 9.6

CMA / ARV

• ARV (median comp): $174,544
• List price: $129,900
• Delta: -25.58%
• Verdict: UNDERPRICED
• Comps: 20 within 1.0 mi

Show comp detail 10 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
1009 N Elm St St	0.21mi	3/2.0 (-1)	1,524 (+8%)	4mo	$240,000	$157	70
1017 Linden St St	0.49mi	3/2.0 (-1)	1,462 (+3%)	1mo	$210,000	$144	66
918 N McKenzie St	0.17mi	3/1.0 (-1)	1,400 (-1%)	18mo	$165,000	$118	66
901 N McKenzie St	0.12mi	3/2.0 (-1)	1,543 (+9%)	21mo	$219,900	$143	57
414 N Freeman Ave Ave	0.25mi	3/1.5 (-1)	1,232 (-13%)	4mo	$188,000	$153	56
728 N Estey St	0.08mi	3/1.5 (-1)	1,265 (-11%)	20mo	$128,000	$101	54
504 N Cedar St	0.22mi	5/2.0 (+1)	1,608 (+14%)	12mo	$187,000	$116	52
509 Crawford St St	0.36mi	3/1.0 (-1)	1,596 (+13%)	4mo	$175,000	$110	50
617 W Lincoln St St	0.70mi	3/1.5 (-1)	1,250 (-12%)	4mo	$220,000	$176	38
117 S Donaldson St	0.67mi	3/2.0 (-1)	1,586 (+12%)	22mo	$191,800	$121	25

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

-3.0% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: -15.2%
• Equity multiple: 0.46×
• Total profit: $-19,708
• Equity at exit: $19,369

10-year hold

• IRR: -6.6%
• Equity multiple: 0.58×
• Total profit: $-15,439
• Equity at exit: $11,231

Cash invested: $36,372 (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 56156

• Active inventory: 65
• Price-to-rent: 9.6×

Monthly cashflow live

• Estimated rent: $1,125 medium
• Mortgage (P&I): −$681
• Tax from tax record: −$132 /mo · $1,588/yr
• Insurance: −$54
• HOA: −$0
• Vacancy / Maint / Mgmt: −$236
• Net cashflow: $21

Break-even live

Break-even rent $1,098

Max offer price $129,900

Occupancy floor 93%

Sensitivity live

Price	-10% $95	-5% $58	+0% $21	+5% $-16	+10% $-52
Rent	-10% $-68	-5% $-23	+0% $21	+5% $66	+10% $110
Rate	-1.0pp $86	-0.5pp $54	base $21	+0.5pp $-13	+1.0pp $-47

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: $32,475
• Closing costs: $3,897
• Reserves months: —
• Total cash needed: —

Rent comps 2 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
109 E Luverne St #327 Luverne, MN	3.0	1.0	1019	$1,125	$1.10	44d	1	0.29mi
109 E Luverne St Luverne, MN	2.0–3.0	1.0	975	$1,125	$1.15	44d	3	0.29mi

Listing history 28 events

1. 2026-06-21
   days on market $129,900 Active 248 DOM
2. 2026-06-18
   days on market $129,900 Active 246 DOM
3. 2026-06-17
   days on market $129,900 Active 245 DOM
4. 2026-06-16
   days on market $129,900 Active 244 DOM
5. 2026-06-15
   days on market $129,900 Active 243 DOM
6. 2026-06-13
   days on market $129,900 Active 241 DOM
7. 2026-06-12
   days on market $129,900 Active 240 DOM
8. 2026-06-09
   days on market $129,900 Active 237 DOM
9. 2026-06-08
   days on market $129,900 Active 236 DOM
10. 2026-06-07
    days on market $129,900 Active 235 DOM
11. 2026-06-07
    days on market $129,900 Active 234 DOM
12. 2026-06-04
    days on market $129,900 Active 231 DOM
13. 2026-06-02
    days on market $129,900 Active 230 DOM
14. 2026-06-01
    days on market $129,900 Active 229 DOM
15. 2026-05-31
    days on market $129,900 Active 228 DOM
16. 2026-05-31
    days on market $129,900 Active 227 DOM
17. 2026-01-09
    price $129,900 1260-char remark

    Show marketing remark (1264 chars)

    Improved Price! Offered for the first time in 35 years, this beautifully maintained home blends classic character with a warm, inviting feel. Rich hardwood floors, original woodwork, and elegant tray ceilings showcase timeless craftsmanship throughout. The sun-filled dining room features a cozy gas fireplace and large windows, creating an ideal space for gatherings. The kitchen comes equipped with a stove, refrigerator, and dishwasher, with easy access to the backyard and upper level, perfect for everyday living and entertaining. Start your mornings on the covered front porch and relax in the evenings on the composite-covered back deck. The main floor includes a comfortable primary bedroom, a nicely updated full bath, and generous hallway storage. Upstairs offers three additional bedrooms, a convenient half bath, electric baseboard heat, and extra attic storage. The basement adds functionality and future potential with a laundry area, soaker sink, water softener hookups, newer gas furnace and water heater, and an updated breaker panel. A durable 24x24 double detached metal garage with alley access completes the package. Full of charm, space, and pride of ownership—this home is ready for its next chapter. Don’t miss this opportunity!

18. 2026-01-09
    price $129,900 1264-char remark

    Show marketing remark (1264 chars)

    Improved Price! Offered for the first time in 35 years, this beautifully maintained home blends classic character with a warm, inviting feel. Rich hardwood floors, original woodwork, and elegant tray ceilings showcase timeless craftsmanship throughout. The sun-filled dining room features a cozy gas fireplace and large windows, creating an ideal space for gatherings. The kitchen comes equipped with a stove, refrigerator, and dishwasher, with easy access to the backyard and upper level, perfect for everyday living and entertaining. Start your mornings on the covered front porch and relax in the evenings on the composite-covered back deck. The main floor includes a comfortable primary bedroom, a nicely updated full bath, and generous hallway storage. Upstairs offers three additional bedrooms, a convenient half bath, electric baseboard heat, and extra attic storage. The basement adds functionality and future potential with a laundry area, soaker sink, water softener hookups, newer gas furnace and water heater, and an updated breaker panel. A durable 24x24 double detached metal garage with alley access completes the package. Full of charm, space, and pride of ownership—this home is ready for its next chapter. Don’t miss this opportunity!

19. 2025-10-15
    listed $139,900 Active 1264-char remark

    Show marketing remark (1264 chars)

    Improved Price! Offered for the first time in 35 years, this beautifully maintained home blends classic character with a warm, inviting feel. Rich hardwood floors, original woodwork, and elegant tray ceilings showcase timeless craftsmanship throughout. The sun-filled dining room features a cozy gas fireplace and large windows, creating an ideal space for gatherings. The kitchen comes equipped with a stove, refrigerator, and dishwasher, with easy access to the backyard and upper level, perfect for everyday living and entertaining. Start your mornings on the covered front porch and relax in the evenings on the composite-covered back deck. The main floor includes a comfortable primary bedroom, a nicely updated full bath, and generous hallway storage. Upstairs offers three additional bedrooms, a convenient half bath, electric baseboard heat, and extra attic storage. The basement adds functionality and future potential with a laundry area, soaker sink, water softener hookups, newer gas furnace and water heater, and an updated breaker panel. A durable 24x24 double detached metal garage with alley access completes the package. Full of charm, space, and pride of ownership—this home is ready for its next chapter. Don’t miss this opportunity!

20. 2025-10-12
    historical
21. 2025-07-17
    price $139,900 1260-char remark

    Show marketing remark (1260 chars)

    Improved Price! Offered for the first time in 35 years, this beautifully maintained home blends classic character with a warm, inviting feel. Rich hardwood floors, original woodwork, and elegant tray ceilings showcase timeless craftsmanship throughout. The sun-filled dining room features a cozy gas fireplace and large windows, creating an ideal space for gatherings. The kitchen comes equipped with a stove, refrigerator, and dishwasher, with easy access to the backyard and upper level, perfect for everyday living and entertaining. Start your mornings on the covered front porch and relax in the evenings on the composite-covered back deck. The main floor includes a comfortable primary bedroom, a nicely updated full bath, and generous hallway storage. Upstairs offers three additional bedrooms, a convenient half bath, electric baseboard heat, and extra attic storage. The basement adds functionality and future potential with a laundry area, soaker sink, water softener hookups, newer gas furnace and water heater, and an updated breaker panel. A durable 24x24 double detached metal garage with alley access completes the package. Full of charm, space, and pride of ownership, this home is ready for its next chapter. Don’t miss this opportunity!

22. 2025-07-16
    price $139,900
23. 2025-06-11
    status Active
24. 2025-05-14
    status Active 1260-char remark

    Show marketing remark (1260 chars)

    Improved Price! Offered for the first time in 35 years, this beautifully maintained home blends classic character with a warm, inviting feel. Rich hardwood floors, original woodwork, and elegant tray ceilings showcase timeless craftsmanship throughout. The sun-filled dining room features a cozy gas fireplace and large windows, creating an ideal space for gatherings. The kitchen comes equipped with a stove, refrigerator, and dishwasher, with easy access to the backyard and upper level, perfect for everyday living and entertaining. Start your mornings on the covered front porch and relax in the evenings on the composite-covered back deck. The main floor includes a comfortable primary bedroom, a nicely updated full bath, and generous hallway storage. Upstairs offers three additional bedrooms, a convenient half bath, electric baseboard heat, and extra attic storage. The basement adds functionality and future potential with a laundry area, soaker sink, water softener hookups, newer gas furnace and water heater, and an updated breaker panel. A durable 24x24 double detached metal garage with alley access completes the package. Full of charm, space, and pride of ownership, this home is ready for its next chapter. Don’t miss this opportunity!

25. 2025-04-19
    historical Contingent - Sale of Another Property

    Show marketing remark (1260 chars)

    Improved Price! Offered for the first time in 35 years, this beautifully maintained home blends classic character with a warm, inviting feel. Rich hardwood floors, original woodwork, and elegant tray ceilings showcase timeless craftsmanship throughout. The sun-filled dining room features a cozy gas fireplace and large windows, creating an ideal space for gatherings. The kitchen comes equipped with a stove, refrigerator, and dishwasher, with easy access to the backyard and upper level, perfect for everyday living and entertaining. Start your mornings on the covered front porch and relax in the evenings on the composite-covered back deck. The main floor includes a comfortable primary bedroom, a nicely updated full bath, and generous hallway storage. Upstairs offers three additional bedrooms, a convenient half bath, electric baseboard heat, and extra attic storage. The basement adds functionality and future potential with a laundry area, soaker sink, water softener hookups, newer gas furnace and water heater, and an updated breaker panel. A durable 24x24 double detached metal garage with alley access completes the package. Full of charm, space, and pride of ownership, this home is ready for its next chapter. Don’t miss this opportunity!

26. 2025-04-19
    historical Active - Contingent Home 1260-char remark

    Show marketing remark (1260 chars)

    Improved Price! Offered for the first time in 35 years, this beautifully maintained home blends classic character with a warm, inviting feel. Rich hardwood floors, original woodwork, and elegant tray ceilings showcase timeless craftsmanship throughout. The sun-filled dining room features a cozy gas fireplace and large windows, creating an ideal space for gatherings. The kitchen comes equipped with a stove, refrigerator, and dishwasher, with easy access to the backyard and upper level, perfect for everyday living and entertaining. Start your mornings on the covered front porch and relax in the evenings on the composite-covered back deck. The main floor includes a comfortable primary bedroom, a nicely updated full bath, and generous hallway storage. Upstairs offers three additional bedrooms, a convenient half bath, electric baseboard heat, and extra attic storage. The basement adds functionality and future potential with a laundry area, soaker sink, water softener hookups, newer gas furnace and water heater, and an updated breaker panel. A durable 24x24 double detached metal garage with alley access completes the package. Full of charm, space, and pride of ownership, this home is ready for its next chapter. Don’t miss this opportunity!

27. 2025-04-13
    listed $149,900 Active - New 1260-char remark

    Show marketing remark (1260 chars)

    Improved Price! Offered for the first time in 35 years, this beautifully maintained home blends classic character with a warm, inviting feel. Rich hardwood floors, original woodwork, and elegant tray ceilings showcase timeless craftsmanship throughout. The sun-filled dining room features a cozy gas fireplace and large windows, creating an ideal space for gatherings. The kitchen comes equipped with a stove, refrigerator, and dishwasher, with easy access to the backyard and upper level, perfect for everyday living and entertaining. Start your mornings on the covered front porch and relax in the evenings on the composite-covered back deck. The main floor includes a comfortable primary bedroom, a nicely updated full bath, and generous hallway storage. Upstairs offers three additional bedrooms, a convenient half bath, electric baseboard heat, and extra attic storage. The basement adds functionality and future potential with a laundry area, soaker sink, water softener hookups, newer gas furnace and water heater, and an updated breaker panel. A durable 24x24 double detached metal garage with alley access completes the package. Full of charm, space, and pride of ownership, this home is ready for its next chapter. Don’t miss this opportunity!

28. 2025-04-11
    listed $149,900 Active

ⓘ 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: $1,588 · $132/mo
• Projected year-2 tax: $1,588 · $132/mo
• Expected delta: $0/yr ($0/mo · 0.0%)

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

Climate risk First Street

• 🌊 Flood 1/10 Low FEMA zone X · 0% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 2/10 Low 7 d/yr ≥99°F today · 15 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 2/10 Low 1 unhealthy d/yr today · 1 by 30 yrs out

Taxation est. · year 1

• Rental income: $13,500
• − Mortgage interest: −$7,276
• − Property taxes: −$1,588
• − Insurance: −$650
• − Repairs & maintenance: −$1,080
• − Management: −$1,080
• − Depreciation: −$3,779
• Taxable loss: −$1,953
• Est. tax savings @ 24.0%: +$469
• After-tax cash flow: $722/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: Luverne Public School District
• NCES district ID: 2718330
• Math proficiency: 55% ▼ -14.00%
• Reading proficiency: 58% ▼ -2.00%
• Median HH income: $48,225
• Composite: 48.0/100
• National rank: #2198
• State rank: #64 of 301 in MN

Livability — Luverne

• Score: 86/100
• State rank: #14
• US rank: #455

Category grades

Amenities A+ Commute F Cost of living A+ Crime A- Employment B+ Housing A+ Health & safety A+ User ratings A

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Luverne, MN
• Population (ZIP): 6,398

Population outlook (Rock County) Hauer SSP2

• Today (2025): 9,476 people
• By 2030: 9,326 · -1.6%
• By 2040: 9,006 · -5.0%
• By 2050: 8,662 · -8.6%
• By 2075: 7,973 · -15.9%
• By 2100: 7,033 · -25.8%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (92%)
• Race & ethnicity: White 92% Two or more races 4% Hispanic / Latino 3%
• Common ancestry: Portuguese 16% Iranian 14% Slovak 2%
• Foreign-born: 2% · Canada
• Languages at home: 97% English-only · Spanish 2% Other Asian/Pacific 1%

Political lean MEDSL · Rock

• 2024 margin: Solid R (+39.3) · D 29.6% · R 68.8% · Other 1.6%
• 2008→2024 swing: -25.3pp toward R · 2008: -14.0pp · 2024: -39.3pp
• All cycles: 2024: R+39.3 2020: R+38.7 2016: R+35.7 2012: R+17.9 2008: R+14.0

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -189.55%
• Current HPI: 211.0729
• 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

-13.3% since first listed

12 events — show timeline

• 2026-01-09 Price Changed $129,900 REALTOR® Association of the Sioux Empire
• 2026-01-09 Price Changed $129,900 NORTHSTARMLS as Distributed by MLS Grid
• 2025-10-15 Listed $139,900 NORTHSTARMLS as Distributed by MLS Grid
• 2025-10-12 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2025-07-17 Price Changed $139,900 REALTOR® Association of the Sioux Empire
• 2025-07-16 Price Changed $139,900 NORTHSTARMLS as Distributed by MLS Grid
• 2025-06-11 Relisted — NORTHSTARMLS as Distributed by MLS Grid
• 2025-05-14 Relisted — REALTOR® Association of the Sioux Empire
• 2025-04-19 Contingent — NORTHSTARMLS as Distributed by MLS Grid
• 2025-04-19 Contingent — REALTOR® Association of the Sioux Empire
• 2025-04-13 Listed $149,900 REALTOR® Association of the Sioux Empire
• 2025-04-11 Listed $149,900 NORTHSTARMLS as Distributed by MLS Grid

Property tax history

+11.2%/yr

Latest (2026): $1,588 · +39.5% YoY. Source: county tax records.