120 W 9th St · Fairmont, MN 56031

$109,000

2 bd · 2.0 ba · 980 sqft · SingleFamily public records · 38 Days on market

Built 1920 6,708 sqft lot $111/sqft · 36% below area Est $171k · 36% under

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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).

• Cash flow +19.7/30.0
• ARV discount +15.0/15.0
• DSCR +6.2/10.0
• 1% rule +4.5/10.0
• Schools +4.1/10.0
• Livability +3.4/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks

This 2 bedroom home offers an inviting open floor plan with a kitchen featuring ample cabinet space and an easy flow into the dining area. The nice-sized living room is filled with natural light from the large picture window. Both bedrooms are located on the main floor, along with great hallway closet storage. Situated on a corner lot, this home also features shingles new in 2025, plus a furnace and water heater updated in 2012/2013. A great opportunity for comfortable, affordable living!

Key facts

• 6,708 sq ft lot
• Garage
• Built 1920

Property features AI

Exterior

• Parking: Detached 1-car garage (12 x 20)
• Utilities: City water connected; City sewer connected; Natural gas; Electrical service with circuit breakers
• Home design: Residential property; One story
• Construction: Block foundation; Roof replaced within last 8 years
• Exterior features: Corner lot; Storage shed; City street with curbs, sidewalks, street lights and storm sewer; Publicly maintained road

Interior

• Kitchen: Range; Refrigerator
• Bedrooms: 2 bedrooms on the main level
• Bathrooms: 1 full bathroom on the main level
• Heating & cooling: Forced air heating; Central air conditioning
• Interior features: Main floor full bath; Eat-in kitchen and informal dining area; Main floor bedroom; Main floor laundry
• Laundry & utility: Washer; Dryer; Main floor laundry

What this means for you Summary

Snapshot

• This is a 2-bed/2.0-bath single-family listed at $109k.

Deal economics

• At list price, monthly cash flow is $127 ($2k/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 $103k (5.4% below list).
• Recommended offer: $103k (5.4% below list) — sets the bar for 1% rule.
• Cap rate 7.7% vs local median 3.4% in Fairmont — 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 68/100 on livability (#407 in MN) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: health & safety C-, employment D+, amenities F.
• Fairmont Area School District (town): math 45% / reading 51% proficiency, ranked #148 of 301 in MN (top 49%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Fairmont Elementary School (math 50% / reading 51%, grade D+, #412 of 857 statewide, top 48%, 956 students, 62% FRL); Fairmont Jr./Sr. High School (math 40% / reading 50%, grade D-, #187 of 471 statewide, top 40%, 859 students, 49% FRL) — zoned schools average 56% FRL vs 35% district-wide (21 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Market conditions: 94 active listings in the ZIP; 19 units permitted in Martin County in 2024 (0 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $754 of loan paydown is wiped out by about $3k of value loss. Plan a longer hold.
• Martin County population projected at -19% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.

Negotiation context

• It's been on market 38 days — a 3% lower offer ($106k) is reasonable based on typical stale-listing flexibility.
• Current owner paid $22k; list at $109k implies a 407% gain — meaningful room to come down on a strong offer.

Risks & watch-outs

• Watch-outs: built in 1920 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $103,119 (5.4% below list)

Questions for the listing agent

1. It's been on market 38 days. Have you received any prior offers? Is the seller open to a 5% concession, seller financing, or rate buy-down credit?
2. Built in 1920 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
4. 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.
5. 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.
6. 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: 0.95% ✗
• Cap rate: 7.70%
• Cash-on-cash: 5.01%
• DSCR: 1.22
• GRM: 8.8

CMA / ARV

• ARV (median comp): $170,997
• List price: $109,000
• Delta: -36.26%
• Verdict: UNDERPRICED
• Comps: 2 within 2.0 mi

Projected returns pro-forma

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

5-year hold

• IRR: -8.5%
• Equity multiple: 0.69×
• Total profit: $-9,570
• Equity at exit: $16,252

10-year hold

• IRR: 0.9%
• Equity multiple: 1.07×
• Total profit: $2,017
• Equity at exit: $9,424

Cash invested: $30,520 (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 56031

• Active inventory: 94
• Price-to-rent: 8.8×

Monthly cashflow live

• Estimated rent: $1,031 medium
• Mortgage (P&I): −$572
• Tax from tax record: −$70 /mo · $842/yr
• Insurance: −$45
• HOA: −$0
• Vacancy / Maint / Mgmt: −$217
• Net cashflow: $127

Break-even live

Break-even rent $870

Max offer price $109,000

Occupancy floor 83%

Sensitivity live

Price	-10% $189	-5% $158	+0% $127	+5% $97	+10% $66
Rent	-10% $46	-5% $87	+0% $127	+5% $168	+10% $209
Rate	-1.0pp $182	-0.5pp $155	base $127	+0.5pp $99	+1.0pp $70

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: $27,250
• Closing costs: $3,270
• Reserves months: —
• Total cash needed: —

Listing history 22 events

1. 2026-06-22
   days on market $109,000 Active 38 DOM
2. 2026-06-21
   days on market $109,000 Active 37 DOM
3. 2026-06-21
   days on market $109,000 Active 36 DOM
4. 2026-06-18
   days on market $109,000 Active 34 DOM
5. 2026-06-17
   days on market $109,000 Active 33 DOM
6. 2026-06-16
   days on market $109,000 Active 32 DOM
7. 2026-06-15
   days on market $109,000 Active 31 DOM
8. 2026-06-13
   days on market $109,000 Active 29 DOM
9. 2026-06-12
   pricedays on market $109,000 Active 28 DOM
10. 2026-06-09
    days on market $119,900 Active 25 DOM
11. 2026-06-08
    days on market $119,900 Active 24 DOM
12. 2026-06-07
    days on market $119,900 Active 23 DOM
13. 2026-06-05
    days on market $119,900 Active 21 DOM
14. 2026-06-04
    days on market $119,900 Active 19 DOM
15. 2026-06-02
    days on market $119,900 Active 18 DOM
16. 2026-06-01
    days on market $119,900 Active 17 DOM
17. 2026-05-31
    days on market $119,900 Active 16 DOM
18. 2026-05-31
    days on market $119,900 Active 15 DOM
19. 2026-05-15
    listed $119,900 Active 493-char remark
20. 2026-05-08
    price $119,900 493-char remark
21. 2026-05-08
    historical $199,900 493-char remark
22. 1998-06-05
    soldstatus $21,500

ⓘ 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: $842 · $70/mo
• Projected year-2 tax: $1,031 · $86/mo
• Expected delta: +$189/yr (+$16/mo · 22.5%)

ⓘ 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 ≥98°F today · 15 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 2/10 Low 0 unhealthy d/yr today · 1 by 30 yrs out

Taxation est. · year 1

• Rental income: $12,374
• − Mortgage interest: −$6,106
• − Property taxes: −$842
• − Insurance: −$545
• − Repairs & maintenance: −$990
• − Management: −$990
• − Depreciation: −$3,171
• Taxable loss: −$269
• Est. tax savings @ 24.0%: +$65
• After-tax cash flow: $1,594/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: Fairmont Area School District
• NCES district ID: 2700124
• Math proficiency: 45% ▼ -13.00%
• Reading proficiency: 51% ▼ -7.00%
• Median HH income: $46,280
• Composite: 40.76/100
• National rank: #3648
• State rank: #148 of 301 in MN

Livability — Fairmont

• Score: 68/100
• State rank: #407
• US rank: #9480

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Fairmont, MN
• City population: 11,800
• Population (ZIP): 11,800

Population outlook (Martin County) Hauer SSP2

• Today (2025): 18,583 people
• By 2030: 17,814 · -4.1%
• By 2040: 16,312 · -12.2%
• By 2050: 15,021 · -19.2%
• By 2075: 13,025 · -29.9%
• By 2100: 11,311 · -39.1%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (87%)
• Race & ethnicity: White 87% Hispanic / Latino 8% Two or more races 3%
• Hispanic origin (detail): Mexican 7%
• Common ancestry: Portuguese 11% Romanian 6% Italian 2%
• Foreign-born: 3% · Canada, China
• Languages at home: 93% English-only · Spanish 5%

Political lean MEDSL · Martin

• 2024 margin: Solid R (+39.7) · D 29.5% · R 69.1% · Other 1.4%
• 2008→2024 swing: -24.4pp toward R · 2008: -15.2pp · 2024: -39.7pp
• All cycles: 2024: R+39.7 2020: R+37.9 2016: R+41.4 2012: R+23.8 2008: R+15.2

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -143.34%
• Current HPI: 191.514
• 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

+407.0% since first listed

5 events — show timeline

• 2026-06-11 Price Changed $109,000 NORTHSTARMLS as Distributed by MLS Grid
• 2026-05-15 Listed $119,900 NORTHSTARMLS as Distributed by MLS Grid
• 2026-05-08 Price Changed $119,900 NORTHSTARMLS as Distributed by MLS Grid
• 2026-05-08 Coming Soon $199,900 NORTHSTARMLS as Distributed by MLS Grid
• 1998-06-05 Sold (Public Records) $21,500 Public Records

Property tax history

+7.0%/yr

Latest (2025): $842 · +29.5% YoY. Source: county tax records.