2151 185th St #7

Fairfield, IA 52556

$57,500B-

1 bd · 1.0 ba · 960 sqft · Built 2005 · SingleFamily · Pending · 350 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $880/mo
• Mortgage (P&I): −$302
• Tax + insurance: −$96
• HOA: −$172
• Vac / Maint / Mgmt: −$185
• Net cashflow: $126/mo
• Annual: $1,509/yr
• Cap rate: 8.92%
• Cash-on-cash: 9.37%
• DSCR: 1.42
• 1% rule: 1.53%
• Cash to close: $16,100

Investor read

• This is a 1-bed/1.0-bath single-family listed at $58k. Condition is rated good.
• At list price, monthly cash flow is $126 ($2k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($880 rent vs $58k).
• It's been on market 350 days — a 12% lower offer ($51k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $51k (12.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $398 of loan paydown is wiped out by about $2k of value loss. Plan a longer hold.
• Location reads 79/100 on livability (#122 in IA, #2,265 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F, employment F.
• Fairfield Community School District (town): math 56% / reading 69% proficiency, ranked #227 of 289 in IA (top 78%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Fairfield Middle School (math 63% / reading 70%, grade A-, #148 of 246 statewide, top 61%, 438 students, 51% FRL); Fairfield High School (math 50% / reading 73%, grade B-, #255 of 336 statewide, top 76%, 476 students, 42% FRL).
• Market conditions: 121 active listings in the ZIP; 14 units permitted in Jefferson County in 2024 (0 in 5+ unit buildings).
• Jefferson County population projected at +27% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 6 sale attempts since 3y ago; this cycle's ask has dropped $28k (32%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Cap rate 8.9% vs local median 2.9% in Fairfield — 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 350 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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 A-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 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.

Repairs flagged (vision-AI assessment)

• Minor: Exposed subfloor — Exposed subfloor in kitchen and bath
• Minor: Unfinished cabinets — Exposed subfloor in kitchen and bath