508 S Main St

Abingdon, IL 61410

$45,000B+

3 bd · 1.0 ba · 768 sqft · Built 1890 · Other · Active · 75 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $736/mo
• Mortgage (P&I): −$236
• Tax + insurance: −$193
• HOA: −$0
• Vac / Maint / Mgmt: −$155
• Net cashflow: $152/mo
• Annual: $1,825/yr
• Cap rate: 10.35%
• Cash-on-cash: 14.48%
• DSCR: 1.64
• 1% rule: 1.64%
• Cash to close: $12,600

Investor read

• This is a 3-bed/1.0-bath other listed at $45k.
• At list price, monthly cash flow is $152 ($2k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($736 rent vs $45k).
• It's been on market 75 days — a 6% lower offer ($42k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $42k (6.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $311 of loan paydown is wiped out by about $1k of value loss. Plan a longer hold.
• Location reads 60/100 on livability (#976 in IL) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, crime B+; Watch: amenities F, commute F, employment F.
• Zoned schools: Abingdon-Avon Middle Sch (math 8% / reading 22%, grade F, #510 of 665 statewide, top 78%, 200 students, 0% FRL); Abingdon-Avon High Sch (math 8% / reading 22%, grade F, #473 of 693 statewide, top 69%, 285 students, 0% FRL).
• Watch-outs: property tax is 4.7% of price; built in 1890 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 13 active listings in the ZIP; 1 comparable units currently listed for rent nearby.
• Knox County population projected at -19% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 4 sale attempts since 21y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $13k cash investment doubles in ~8 years — after that, you're playing with house money.

Questions for listing agent

• It's been on market 75 days. Have you received any prior offers? Is the seller open to a 6% concession, seller financing, or rate buy-down credit?
• Built in 1890 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
• 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 D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• 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.