220 4th St SW · Spencer, IA 51301

$29,900

3 bd · 1.0 ba · 1,340 sqft · SingleFamily public records · 51 Days on market

Built 1900 0.77 ac lot $22/sqft · 82% below area ↓ 53% since listing

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Why this score? — see what drove the D+ 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 +15.0/30.0
• ARV discount +7.5/15.0
• Schools +6.1/10.0
• 1% rule +5.0/10.0
• DSCR +5.0/10.0
• Livability +3.9/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks MLS

SOLD AS-IS Fixer-upper with tons of potential! Whether you're looking to build to suit or revamp the existing property, this home sits on over ¾ of an acre in a fantastic location. Enjoy close proximity to retail, parks, and everyday conveniences, making this a great opportunity for investors, builders, or buyers ready to create their vision.

Key facts

• Over 3/4 acre
• 0.77 acre lot
• 2 garage spots

Tags

• OVER 3/4 ACRE
• CLOSE PROXIMITY TO RETAIL
• CLOSE PROXIMITY TO PARKS

What this means for you Summary

Snapshot

• This is a 3-bed/1.0-bath single-family listed at $30k.

Deal economics

• At list price, monthly cash flow is $924 ($11k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($1k rent vs $30k).
• Recommended offer: $29k (3.0% below list) — sets the bar for market timing.
• Cap rate 43.4% vs local median 4.8% in Spencer — 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 77/100 on livability (#168 in IA, #3,020 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: employment D, amenities F, commute F.
• Spencer Community School District (town): math 73% / reading 72% proficiency, ranked #114 of 289 in IA (top 39%) — strong family-tenant draw, lease renewals of 3-5y typical.
• Zoned schools: Fairview Park Elementary (math 82% / reading 47%, grade B, #317 of 616 statewide, top 58%, 308 students, 49% FRL); Spencer Middle School (math 77% / reading 75%, grade A, #59 of 246 statewide, top 26%, 514 students, 43% FRL); Spencer High School (math 68% / reading 76%, grade B+, #117 of 336 statewide, top 39%, 712 students, 40% FRL).
• Market conditions: 108 active listings in the ZIP; 3 comparable units currently listed for rent nearby; rentals lingering (median 45d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 100% of comp listings sitting > 30 days — soft ceiling on asking rent; 11 units permitted in Clay County in 2024 (0 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $207 of loan paydown is wiped out by about $897 of value loss. Plan a longer hold.
• Clay County population projected to shrink 6% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $8k cash investment doubles in ~1 year — after that, you're playing with house money.

Negotiation context

• It's been on market 51 days — a 3% lower offer ($29k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Watch-outs: property tax is 2.9% of price; built in 1900 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $29,003 (3.0% below list)

Questions for the listing agent

1. It's been on market 51 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
2. Built in 1900 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
4. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
5. 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?
6. 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?
7. 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.
8. 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.
9. 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: 4.93% ✓
• Cap rate: 43.39%
• Cash-on-cash: 132.48%
• DSCR: 6.89
• GRM: 1.7

CMA / ARV

• ARV (median comp): $167,279
• List price: $29,900
• Delta: -82.13%
• Verdict: UNDERPRICED
• Comps: 20 within 1.0 mi

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
811 1st Ave SW	0.31mi	3/1.0	1,200 (-10%)	3mo	$165,000	$138	66
34 W 1st St	0.34mi	3/1.0	1,296 (-3%)	16mo	$135,000	$104	65
32 W 1st St	0.34mi	3/1.0	1,195 (-11%)	2mo	$114,000	$95	64
314 7th St SW	0.21mi	3/1.5	1,232 (-8%)	14mo	$161,500	$131	63
26 W 1st St	0.35mi	3/1.0	1,470 (+10%)	7mo	$108,000	$73	62
620 1st Ave SE	0.31mi	3/1.0	1,144 (-15%)	2mo	$23,500	$21	60
512 4th Ave SE	0.50mi	3/1.5	1,320 (-2%)	15mo	$150,500	$114	59
813 6th Ave SW	0.35mi	2/2.0 (-1)	1,222 (-9%)	4mo	$90,500	$74	57
105 W 1st St	0.36mi	3/2.0	1,484 (+11%)	13mo	$164,000	$111	51
915 1st Ave SW	0.38mi	3/2.5	1,536 (+15%)	7mo	$160,000	$104	46
320 9th St SW	0.32mi	4/2.0 (+1)	1,528 (+14%)	13mo	$142,000	$93	42
407 8th St SE	0.56mi	3/2.0	1,512 (+13%)	15mo	$185,000	$122	36

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: —
• Equity multiple: 7.46×
• Total profit: $54,065
• Equity at exit: $4,458

10-year hold

• IRR: —
• Equity multiple: 15.70×
• Total profit: $123,055
• Equity at exit: $2,585

Cash invested: $8,372 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 83 Strongly Landlord-Friendly
• State Iowa: 83 Strongly Landlord-Friendly · R+6
• County: — inherits STATE
• City: — inherits STATE

3-day pay-or-quit; mostly landlord-friendly statewide.

Methodology + full state rankings →

ZIP-level market 51301

• Home prices YoY: -35.0%
• Active inventory: 108
• Price-to-rent: 1.7×

Monthly cashflow live

• Estimated rent: $1,475 medium
• Mortgage (P&I): −$157
• Tax from tax record: −$72 /mo · $860/yr
• Insurance: −$12
• HOA: −$0
• Vacancy / Maint / Mgmt: −$310
• Net cashflow: $924

Break-even live

Break-even rent $305

Max offer price $29,900

Occupancy floor 32%

Sensitivity live

Price	-10% $941	-5% $933	+0% $924	+5% $916	+10% $907
Rent	-10% $808	-5% $866	+0% $924	+5% $983	+10% $1,041
Rate	-1.0pp $939	-0.5pp $932	base $924	+0.5pp $917	+1.0pp $909

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: $7,475
• Closing costs: $897
• Reserves months: —
• Total cash needed: —

Rent comps 3 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
801 9th St SW Unit 910-C5 Spencer, IA	4.0	2.5	1193	$1,599	$1.34	45d	1	0.53mi
801 9th St SW Unit 814-D6 Spencer, IA	3.0	2.0	1230	$1,460	$1.19	45d	1	0.53mi
801 9th St SW Unit 1001-201 Spencer, IA	3.0	2.0	998	$1,345	$1.35	45d	1	0.53mi

Listing history 4 events

1. 2026-05-08
   status Pending 352-char remark

   Show marketing remark (352 chars)

   SOLD AS-IS Fixer-upper with tons of potential! Whether you're looking to build to suit or revamp the existing property, this home sits on over ¾ of an acre in a fantastic location. Enjoy close proximity to retail, parks, and everyday conveniences, making this a great opportunity for investors, builders, or buyers ready to create their vision.

2. 2026-05-05
   price $29,900 352-char remark

   Show marketing remark (352 chars)

   SOLD AS-IS Fixer-upper with tons of potential! Whether you're looking to build to suit or revamp the existing property, this home sits on over ¾ of an acre in a fantastic location. Enjoy close proximity to retail, parks, and everyday conveniences, making this a great opportunity for investors, builders, or buyers ready to create their vision.

3. 2026-03-18
   listed $34,900 Active 352-char remark

   Show marketing remark (352 chars)

   SOLD AS-IS Fixer-upper with tons of potential! Whether you're looking to build to suit or revamp the existing property, this home sits on over ¾ of an acre in a fantastic location. Enjoy close proximity to retail, parks, and everyday conveniences, making this a great opportunity for investors, builders, or buyers ready to create their vision.

4. 2007-04-05
   soldstatus $63,100

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Tax reassessment forecast IA · Partial reset (capped growth)

• Current annual tax: $860 · $72/mo
• Projected year-2 tax: $860 · $72/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 (shaded) · 0% chance over 30 yrs
• 🔥 Wildfire 3/10 Moderate
• 🌡 Heat 2/10 Low 7 d/yr ≥99°F today · 16 d/yr by 30 yrs out
• 💨 Wind 2/10 Low
• 🫁 Air quality 1/10 Low 0 unhealthy d/yr today · 0 by 30 yrs out

Taxation est. · year 1

• Rental income: $17,699
• − Mortgage interest: −$1,675
• − Property taxes: −$860
• − Insurance: −$150
• − Repairs & maintenance: −$1,416
• − Management: −$1,416
• − Depreciation: −$870
• Taxable income: $11,313
• Est. tax owed @ 24.0%: −$2,715
• After-tax cash flow: $8,376/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: Spencer Community School District
• NCES district ID: 1926910
• Math proficiency: 73% ▼ -7.00%
• Reading proficiency: 72% ▼ -6.00%
• Median HH income: $45,474
• Composite: 61.02/100
• National rank: #797
• State rank: #114 of 289 in IA

Livability — Spencer

• Score: 77/100
• State rank: #168
• US rank: #3020

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Spencer, IA
• City population: 12,402
• Population (ZIP): 12,402

Population outlook (Clay County) Hauer SSP2

• Today (2025): 16,277 people
• By 2030: 16,073 · -1.3%
• By 2040: 15,638 · -3.9%
• By 2050: 15,315 · -5.9%
• By 2075: 15,026 · -7.7%
• By 2100: 14,638 · -10.1%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (91%)
• Race & ethnicity: White 91% Hispanic / Latino 5% Two or more races 4%
• Hispanic origin (detail): Mexican 4%
• Common ancestry: Portuguese 14% Iranian 4% Lithuanian 2%
• Foreign-born: 1% · Canada, South Korea
• Languages at home: 98% English-only · Spanish 1%

Political lean MEDSL · Clay

• 2024 margin: Solid R (+43.2) · D 27.8% · R 71.0% · Other 1.2%
• 2008→2024 swing: -38.1pp toward R · 2008: -5.1pp · 2024: -43.2pp
• All cycles: 2024: R+43.2 2020: R+38.7 2016: R+42.4 2012: R+18.7 2008: R+5.1

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -103.43%
• Current HPI: 192.1741
• Rent YoY: —
• Metro: —
• State GDP YoY: ▲ 2.48%
• F500 in state: 4

Industry mix (Fortune 500 HQ in IA)

Industry	F500 HQs	Revenue
▸Financial Services	1	$16B
▸Retail / Convenience	1	$15B

Price history

-52.6% since first listed

4 events — show timeline

• 2026-05-08 Pending — Iowa Great Lakes BOR
• 2026-05-05 Price Changed $29,900 Iowa Great Lakes BOR
• 2026-03-18 Listed $34,900 Iowa Great Lakes BOR
• 2007-04-05 Sold (Public Records) $63,100 Public Records

Property tax history

+1.1%/yr

Latest (2025): $860 · +3.9% YoY. Source: county tax records.