Clarke County

Clarke County sits at a gross rent-to-price ratio of 6.65%, which places it on the lower edge of what most cash-flow investors want to see, but ahead of several Iowa neighbors. The cap rate comes in at 4.32% at the modeled purchase price of $201,474, which is respectable for a small Iowa county but not enough to carry the deal under conventional financing. At 6.85% interest with 20% down, the monthly mortgage runs $1,056 against estimated rent of $1,116, leaving almost no margin once expenses enter the picture. The model produces a cash-on-cash return of -8.57% and estimated monthly cash flow of -$331, meaning Clarke is not a cash-flow market under today's rate environment at list-price acquisitions. The appreciation score of 80 out of 100 and year-over-year price growth of 3.07% tell a different story: this county is outperforming on the value-retention side relative to its affordability index of 87, which signals prices are still accessible even as they trend upward.

The numbers make Clarke a clearer fit for an appreciation-oriented buyer or a value-add operator than for a pure cash-flow landlord. At $201,474 median, the entry point is low enough that a buyer who sources off-market at a 10-15% discount changes the math meaningfully: drop the basis to $170,000-$175,000 and the rent-to-price ratio moves into the 6.9-7.1% range, where cash flow turns neutral to modestly positive even at current rates. The county's affordability score of 87 suggests the local buyer pool is price-sensitive, which can limit resale competition but also means value-add operators who raise rents after renovation need to validate that the tenant base supports higher rents before underwriting aggressive post-rehab figures. For a longer-hold appreciation play, the 3.07% annual price growth combined with a low entry price creates a reasonable total-return case without requiring aggressive leverage.

No economic anchor data was provided for Clarke County, so employer-specific context is omitted here.

The tax and insurance load deserves a dedicated line on any underwrite. Combined monthly tax and insurance runs $314, based on Iowa's state-average effective property tax rate of 1.53% and an insurance rate of 0.34%. The 1.53% rate carries a "high" flag, and at that level it is not a rounding error: on a $201,474 property it produces $3,083 in annual tax alone, or $257 per month before you write the first insurance check. That $314 monthly combined figure represents 28% of the modeled rent of $1,116, which is punishing in a market where the mortgage is already consuming 95% of gross rent. The rate cited is Iowa's state-average estimate per Tax Foundation 2024 data, and actual Clarke County or township-level rates may differ, so pull the county assessor's current millage before closing. If the effective rate at the specific parcel comes in below the state average, the cash-flow picture improves; if it runs higher, the -$331 monthly shortfall widens further.

The most material risk in Clarke is scale. A population of 9,737 means the rental pool is thin. One or two large employers softening, a single apartment complex delivering new units, or an outmigration wave tied to regional economic shifts can move vacancy rates in ways that larger markets absorb gradually but small counties feel immediately. The stability score of 50 out of 100 reflects this vulnerability directly. An investor carrying a vacancy for two or three months in a small market does not benefit from the deal-flow or tenant depth that a metro submarket provides. Concentration risk is real here: this is a one-asset, one-market bet where the county's health is the underwrite.

Measured against its neighbors, Clarke holds a defensible position on appreciation and pricing but loses on cash-flow yield. Des Moines County offers a rent-to-price ratio of 7.11% at a median price of just $139,905, making it the clearest cash-flow alternative in the comparison set. Woodbury County at 7.08% rent-to-price and a $197,193 median is the closest comparable that also posts a slightly higher overall score of 71. Marshall County at 6.23% rent-to-price is weaker on yield than Clarke and costs less in absolute terms, but offers less upside on appreciation as well. Sioux and Plymouth counties have higher median prices ($297,233 and $275,086 respectively) without rent data provided, making direct yield comparisons impossible from this data set. An investor who prioritizes cash flow and lower entry point should look at Des Moines County first. An investor who wants appreciation momentum, slightly higher rents, and is willing to accept neutral-to-negative cash flow on a stabilized deal while waiting for rates or prices to shift should find Clarke's 3.07% price growth and 81st national percentile ranking worth a closer look, particularly if they can negotiate the basis down from list.