229 Locke St

1 units · 1 units: 4 bed / 1 bath · 3,097 sq ft

16 photos

Photos courtesy of Keller Williams Premier Realty Rochester, via Realtor.com.

Asking price: $250,000
Monthly cash flow: −$257
Estimated rent: $2,075/mo
Break-even price: $201,777

Adjust the numbers See the full breakdown

From the listing

5 unrelated Rental license - Rare investment opportunity knocks! Attractive cap rate potential($2000-2500/month) at current list price. Tenants have paid all utilities in the past! Excellent opportunity for investors seeking immediate cash flow. Property offers tenant appeal, with its location to MSU/Bethany/Downtown Mankato, and a price point difficult to find in today's multifamily market. Whether adding to an existing portfolio or entering multifamily investing for the first time, this property offers potential solid income, long-term appreciation potential, and demand in this area. Attractive price point,5 off street parking spots, central location, 4 Bedrooms, a large kitchen/dining/& living areas, as well as versatile occupancy options make this a property you won't want to miss! Close in time for Fall Semester!!

Listing courtesy of Keller Williams Premier Realty Rochester (Rachael Hansen-miller). Description from Realtor.com, MLS #267040989. Believed reliable but not guaranteed; confirm with the listing agent. View on Realtor.com ↗

First look

This is a single 4-bed house with a 5-unrelated rental license, so it's a student-rental play, not a true multifamily. At $250K our numbers show a cap rate near 5.2% and about -$257/month cash flow with 20% down, and break-even price is about $201,777. The listing's $2,000-2,500/month income is only a potential, and there are no stated rents, leases or expenses. County records didn't match, so taxes and unit count are unverified. Check the rental license, taxes, heat type and why it has sat 74 days before booking a showing. At this price it only looks worth a visit if the seller will come down toward the break-even.

Things to consider

It's a single-unit house, not a multifamily One kitchen and a 5-unrelated license means one lease or by-the-room leasing, so vacancy is all or nothing and turnover is high.Listing says: “5 unrelated Rental license”
Price is about $48K above break-even Our underwriting shows negative cash flow at ask and a break-even near $201,777, so the deal needs a lower price.
The income claim is unsupported A range of $2,000-2,500/month is potential, not rent. Ask for leases and bank deposits.Listing says: “Excellent opportunity for investors seeking immediate cash flow.”
Taxes and records are unverified With no parcel match, taxes could be higher than assumed, especially if the current bill is homestead.
Age and hillside setting raise the inspection stakes An 1890 house against a slope can mean foundation, drainage and old-system costs that eat into cash flow.From photo 2

From the photos

Based on 10 of the listing photos. Photos can hide as much as they show; an inspection is the real answer.

AI-assisted first read of the listing description and photos (Claude), checked against public records. Every rent and repair above quotes the listing; verify with the agent, leases and an inspection.

The numbers

Edit rents, costs and assumptions

Default: 20% down (no PMI), offer at asking, self-managed, 7.00% for 30 years, buyer pays closing costs (3%).

The deal

Price: $250,000
Cash to close: $57,500
Price per unit: $250,000
GRM: 10.0

Each month

Cash flow: −$257/mo
Cash-on-cash: −5.4%
Cap rate: 5.2%
DSCR: 0.81×

Break-even

Price that breaks even: $201,777
Rent that breaks even: $2,408/mo

Long run

Year 30: property vs stocks: $771K vs $551K
Cash flow turns positive: year 9

Monthly

Monthly breakdown

Rent	$2,075
Vacancy (6%)	−$124
Collected	$1,950
Property tax Listing	−$225
Insurance Estimate	−$153
Water, sewer, trash Estimate	−$85
Lawn care ($120 × 6 mo ÷ 12)	−$60
Repairs (8% of rent)	−$166
Capital reserve (9% of rent)	−$187
Net operating income	$1,074
Mortgage (principal + interest)	−$1,331
Cash flow	−$257
Principal paid down (equity, not cash)	$169

Cash flow each year

Rents +3%/yr, costs +3.5%/yr. Red bars are months you'd cover out of pocket.

30 years

How those totals add up

If you buy this building$770,931

Your equity when you sell: $570,407
Rental profits, invested at 7%: $200,524

Same money in stocks$550,523

Cash to close, invested at 7%: $437,705
Monthly shortfalls, invested: $112,818

The building comes out $220,408 ahead after 30 years.

Future dollars. At 3% inflation, divide year-30 figures by about 2.4 for today's buying power. Rental profits are assumed invested, not spent.

30 years: this property vs. the same money in stocks

This propertyStocks at 7%

Year 30 (loan paid off): property $771K, stocks $551K. The property wins.

Comparable rentals

Nearby rentals RentCast matched to each unit type, as of 2026-10-05. The estimate above is RentCast's, weighted toward the closest matches.

4 bed / 1 bath estimate $2,075/mo · range $1,750–$2,400

Address	Rent	Bd / Ba	Sq ft	Distance	Listed	Match
526 S 2nd St, Apt 3, Mankato 56001	$1,980	4 / 2	—	0.4 mi	2026-10-01	89%
102 S 5th St, Apt 5, Mankato 56001 off market	$1,695	4 / 2	—	0.6 mi	2026-05-06	88%
520 S 2nd St, Mankato 56001	$2,080	4 / 1	1,525	0.4 mi	2026-06-01	87%
529 S 5th St, Mankato 56001 off market	$1,600	4 / 1	1,500	0.3 mi	2025-10-25	87%
224 James Ave, Mankato 56001	$1,979	4 / 2	1,700	0.4 mi	2026-03-03	84%
324 James Ave, Mankato 56001 off market	$1,829	4 / 2	1,500	0.6 mi	2025-02-13	82%
216 James Ave, Mankato 56001	$2,200	4 / 2	1,200	0.4 mi	2026-04-16	80%
210 James Ave, Mankato 56001 off market	$1,600	4 / 2	1,200	0.4 mi	2025-06-19	80%
526 S 2nd St, Apt 1, Mankato 56001	$2,475	5 / 2	—	0.4 mi	2022-11-15	79%
120 Locust St, Apt 7, Mankato 56001	$1,148	3 / 2	—	0.5 mi	2024-05-02	79%

On the maps, this property and comparable rentals. Comparable rentals and rent estimate: RentCast. Rents are asking rents from listings; check them against the actual leases.

Red flags and opportunities

Watch for

highIncome is a projection, not a rent roll. No actual rents or leases given. Listing says: Attractive cap rate potential($2000-2500/month) at current list price. · AI review
mediumCouldn't match this address to a county parcel record, so taxes and unit count are unverified. Public record: County parcels: no match for 229 LOCKE ST
mediumListed 74 days and the pitch leans on a fall semester deadline, so it may miss the student leasing window. Listing says: Close in time for Fall Semester!! · AI review
mediumBuilt 1890 with a stone retaining wall and wooded hillside right behind it. Drainage and foundation need a look. Based on: photo 2 · AI review
mediumTaxes, unit count and rental license could not be verified against county or city records. Based on: data: county.tax · AI review

Opportunities

Current rents are below market. Rents can reset to market at renewal. Based on: Listing rents vs. our market estimate: Unit 1: 4 bed / 1 bath $1,675 vs $2,075
Student demand near MSU, Bethany and downtown, with 5 off-street parking spots. Listing says: location to MSU/Bethany/Downtown Mankato · AI review
Our rent estimate midpoint is about $2,075, above the $1,675 actual figure, so there may be rent upside. Based on: data: rent_estimate · AI review
Kitchen has newer-looking appliances and cabinets, so little immediate work is needed there. Based on: photo 6 · AI review

Questions for the agent

Can I see the current rental license and confirm it allows 5 unrelated occupants?
What are the actual rents, lease terms and lease end dates, and is it rented by the bedroom?
What did tenants pay for utilities, and what is the heat type and typical winter bill?
What are the property taxes and any special assessments?
Why has it been on the market 74 days, and has the price been cut?
How old are the roof, furnace, water heater and electrical panel, and is there any drainage or foundation history?

Bottom line

A 4-bed student rental priced above what the numbers support, with no real rent data, so verify the license and rents and negotiate toward about $200K. AI-assisted summary

What the records say

Where each number comes from

Property tax / yr Listinglisting, tax year 2026. The tax the listing states. If the seller lives there it may be at the lower homestead rate; an investor owner pays the non-homestead rate, often 20–40% more on the owner's unit.	$2,704
Insurance / yr Estimateestimate. from units, square feet and age; get a quote	$1,842
Water, sewer, trash / mo Estimateestimate. $85/unit/mo, owner-paid	$85
Heat / mo Assumptionassumption. tenants pay heat; confirm with the agent	$0
Lawn care / mo Assumptionassumption. $120/mo for 6 months, spread over 12; no snow removal	$60
Repairs / capital reserve Rulerule. built 1890: +1 pt capital reserve	8% / 9%

Price history Realtor.com

On the market since 2026-07-23 (74 days); last sold for $165,000 on 2010-10-01.

Date	Event	Price
2026-07-23	Listed	$250,000
2022-08-25	Removed	$189,900
2017-06-23	Removed	$189,900
2017-03-24	Listed	$189,900
2010-10-01	Sold public record	$165,000
2005-02-09	Sold public record	$140,250
2002-01-15	Sold public record	$100,000
2002-01-14	Sold public record	$75,000
1993-08-30	Sold public record	$29,000

From the listing Listing

Listed as	multi-family
Property tax, 2026	$2,704
County	Blue Earth County
Parcel number	R01.09.18.305.007

As the listing states it (NorthstarMLS, via Realtor.com). We don't have county records here yet; check the tax, homestead status and special assessments with the county.

Crime, rental-license and vacant-building records are only available for St. Paul and Minneapolis so far. Check with Mankato on rental licensing before you buy.