488 D St

Idaho Falls, ID 83402

$2,650,000F

256 bd · 256.0 ba · 12,300 sqft · Built 1915 · MultiFamily · Active · 76 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $16,413/mo
• Mortgage (P&I): −$13,897
• Tax + insurance: −$4,417
• HOA: −$0
• Vac / Maint / Mgmt: −$3,447
• Net cashflow: $-5,347/mo
• Annual: $-64,167/yr
• Cap rate: 3.87%
• Cash-on-cash: -8.65%
• DSCR: 0.62
• 1% rule: 0.62%
• Cash to close: $742,000

Investor read

• This is a 16 × 1-bed/1-bath units multifamily listed at $2.65M. Condition is rated excellent.
• At list price, monthly cash flow is $-5k ($-64k/yr) — negative. Per door: $-334/mo.
• To cash-flow at today's rent, offer at most $1.88M (29.2% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $1.64M (38.1% below list).
• It's been on market 76 days — a 6% lower offer ($2.49M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $1.64M (38.1% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $18k of loan paydown is wiped out by about $80k of value loss. Plan a longer hold.
• Location reads 86/100 on livability (#3 in ID, #428 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, cost of living A+, housing A+.
• Idaho Falls District (urban): math 36% / reading 50% proficiency, ranked #54 of 92 in ID (top 59%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: A H Bush Elementary School (math 22% / reading 32%, grade F, #318 of 357 statewide, top 92%, 322 students, 74% FRL); Eagle Rock Middle School (math 35% / reading 53%, grade D, #57 of 109 statewide, top 54%, 776 students, 46% FRL); Skyline Senior High School (math 30% / reading 47%, grade F, #98 of 169 statewide, top 58%, 1,321 students, 31% FRL).
• Watch-outs: built in 1915 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents rising (+2.6%/yr); 275 active listings in the ZIP; 2,253 units permitted in Bonneville County in 2024 (1,051 in 5+ unit buildings).
• Bonneville County population projected at +18% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 3 sale attempts since 23y ago; this cycle's ask has dropped $150k (5%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• At $16,413/mo this rent would consume 264% of the median local household income ($75k/yr) (locally 636% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

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 76 days. Have you received any prior offers? Is the seller open to a 38% concession, seller financing, or rate buy-down credit?
• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• Built in 1915 — 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.
• 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?