55 Bayou Dr

Nashua, IA 50658

$190,000D-

3 bd · 2.0 ba · 1,660 sqft · Built 1968 · SingleFamily · Active · 19 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,216/mo
• Mortgage (P&I): −$996
• Tax + insurance: −$197
• HOA: −$0
• Vac / Maint / Mgmt: −$255
• Net cashflow: $-233/mo
• Annual: $-2,795/yr
• Cap rate: 4.82%
• Cash-on-cash: -5.25%
• DSCR: 0.77
• 1% rule: 0.64%
• Cash to close: $53,200

Investor read

• This is a 3-bed/2.0-bath single-family listed at $190k.
• At list price, monthly cash flow is $-233 ($-3k/yr) — negative.
• To cash-flow at today's rent, offer at most $149k (21.7% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $122k (36.0% below list).
• It's been on market 19 days — a 2% lower offer ($187k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $122k (36.0% below list) — sets the bar for 1% rule.
• In year one you build about $20k of equity ($1k loan paydown + $19k appreciation (10.0% local appreciation)).
• Location reads 77/100 on livability (#170 in IA, #3,077 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: employment C-, amenities F, commute F.
• Nashua-Plainfield Community School District (rural): math 71% / reading 70% proficiency, ranked #136 of 289 in IA (top 47%) — strong family-tenant draw, lease renewals of 3-5y typical.
• Zoned schools: Nashua-Plainfield Elementary School (math 72% / reading 72%, grade A-, #181 of 616 statewide, top 34%, 272 students, 29% FRL); Nashua-Plainfield Junior-Seniorhigh School (math 71% / reading 68%, grade B, #152 of 336 statewide, top 52%, 310 students, 31% FRL).
• Market conditions: 42 active listings in the ZIP; 6 units permitted in Chickasaw County in 2024 (0 in 5+ unit buildings).
• Chickasaw County population projected at -13% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• Current owner paid $78k; list at $190k implies a 145% gain — meaningful room to come down on a strong offer.
• By year 2, paydown + projected appreciation supports a ~$33k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

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?
• Built in 1968 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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?
• 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?
• 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.