Is 32308 Turnstone Ct #17 in Millsboro, DE a good investment?

CashFlowRE grades it D+ with a 5.7% cap rate and $-160/mo modeled cash flow at a $325,000 list price. See the full underwriting and recommended offer on the page.

What is the cap rate for 32308 Turnstone Ct #17?

The modeled cap rate is 5.7% — annual NOI divided by price, using CashFlowRE's rent and expense estimates.

What would this property rent for?

Estimated market rent is $2,979/month, from CashFlowRE's rent model.

D+ Composite 45.78

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).

ARV discount +15.0/15.0
Cash flow +10.6/30.0
1% rule +4.2/10.0
Condition / age +4.0/5.0
Livability +3.3/5.0
DSCR +3.1/10.0
Schools +3.1/10.0
Rent growth +2.5/5.0
Appreciation +0.0/10.0

$325,000

32308 Turnstone Ct #17 · Millsboro, DE 19966

3 bd · 2.5 ba · 1,160 sqft · Condo · 113 Days on market

Built 2003 Good condition 1-car garage $280/sqft · 40% below area Est $544k · 40% under $267/mo HOA · 9% of rent

🖨 Deal sheet (PDF) 📄 Offer letter ✓ Due diligence

Listing remarks

This beautiful Townhouse by Ryan homes has never been rented since being completely updated with premium upgrades throughout. A spacious 1,800 Sq. Ft, 2 story, 3 Bedroom, 2.5 bath townhome with a bright open floor plan that is enhanced by a double‑height vaulted ceiling that fills the living area with natural light, a new electric mantel fireplace and new Luxury Vinyl Plank flooring and Carpeting that creates a warm modern atmosphere throughout.

Key facts

Farmhouse sink
$267 HOA
Garage

What this means for you Summary

Snapshot

This is a 3-bed/2.5-bath condo listed at $325k. Condition is rated good.

Deal economics

At list price, monthly cash flow is $-160 ($-2k/yr) — negative.
To cash-flow at today's rent, offer at most $302k (7.1% below list).
To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $298k (8.3% below list).
Recommended offer: $296k (9.0% below list) — sets the bar for market timing.
Cap rate 5.7% vs local median 3.4% in Millsboro — 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 66/100 on livability (#44 in DE) — a middle-class / working-renter tenant base. Strengths: health & safety A+, housing A, cost of living B+; Watch: crime D-, amenities D-, commute F.
Indian River School District (rural): math 25% / reading 41% proficiency, ranked #14 of 26 in DE (top 54%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
Zoned schools: Long Neck Elementary School (math 22% / reading 35%, grade F, #57 of 105 statewide, top 55%, 693 students, 0% FRL); Millsboro Middle School (math 24% / reading 42%, grade F, #14 of 36 statewide, top 37%, 771 students, 0% FRL); Sussex Central High School (math 23% / reading 42%, grade F, #24 of 40 statewide, top 59%, 2,039 students, 0% FRL) — zoned schools average 0% FRL vs 49% district-wide (49 pts lower); this property's tenant base skews higher-income than the district average.
Market conditions: 1186 active listings in the ZIP; 3 comparable units currently listed for rent nearby; rentals leasing fast (median 6d on market — plan ~1-2 weeks tenant-placement turnaround); solid renter incomes; 4,354 units permitted in Sussex County in 2024 (344 in 5+ unit buildings).
At $2,979/mo this rent would consume 46% of the median local household income ($78k/yr) — very limited rent-growth headroom before tenants either downsize or default.

Forward outlook

Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $10k of value loss. Plan a longer hold.
Sussex County population projected at +25% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.

Negotiation context

It's been on market 113 days — a 9% lower offer ($296k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

Climate carrying-cost: severe wind risk, 80% chance of damaging wind over 30y; extreme-heat days projected 7→19/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $295,750 (9.0% below list)

Questions for the 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?
It's been on market 113 days. Have you received any prior offers? Is the seller open to a 9% 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?
Any open or pending special assessments — roof, HVAC, plumbing, elevator, façade? What's the per-unit balance and payoff schedule, and is the seller paying it off at close or rolling it to the buyer?
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.
Crime grade is D in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
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 apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.

Investment metrics

1% rule: 0.92% ✗
Cap rate: 5.70%
Cash-on-cash: -2.10%
DSCR: 0.91
GRM: 9.1

CMA / ARV

ARV (median comp): $544,161
List price: $325,000
Delta: -40.28%
Verdict: UNDERPRICED
Comps: 9 within 1.0 mi

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
32838 Landlubber Cv #2806	0.77mi	3/2.0	1,208 (+4%)	1mo	$135,500	$112	55
32145 Steele Dr	0.32mi	3/1.5	1,372 (+18%)	2mo	$265,000	$193	54
25868 American Ave	1.42mi	3/2.0	1,100 (-5%)	0mo	$120,000	$109	54
32124 Steele Dr	0.37mi	3/1.0	1,003 (-14%)	0mo	$220,000	$219	54
54 White Pine Dr	0.40mi	3/2.0	1,370 (+18%)	2mo	$242,000	$177	53
218 Long Neck Cir	0.53mi	3/2.0	1,404 (+21%)	1mo	$295,000	$210	48
32684 Seaview Loop	0.61mi	3/2.0	1,416 (+22%)	1mo	$395,000	$279	44
31771 Schooner Dr	1.16mi	2/2.0 (-1)	1,292 (+11%)	1mo	$225,000	$174	38
24489 Westridge Drive - Lot #42	1.45mi	3/2.0	1,361 (+17%)	1mo	$536,550	$394	37
223 Joanne Dr	1.01mi	3/2.0	1,344 (+16%)	1mo	$341,000	$254	37
27177 Skipjack Ext	1.22mi	3/2.0	1,368 (+18%)	2mo	$245,000	$179	36
25035 Herman Ln	1.49mi	2/1.5 (-1)	1,425 (+23%)	3mo	$345,000	$242	29

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: -19.7%
Equity multiple: 0.31×
Total profit: $-62,619
Equity at exit: $48,459

10-year hold

IRR: -12.4%
Equity multiple: 0.27×
Total profit: $-66,766
Equity at exit: $28,100

Cash invested: $91,000 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

Overall (STATE): 70 Landlord-Friendly
State Delaware: 70 Landlord-Friendly · D+7
County: — inherits STATE
City: — inherits STATE

Court of Common Pleas hears L&T; moderate-paced. No state rent control.

Methodology + full state rankings →

ZIP-level market 19966

Home prices YoY: -6.4%
Active inventory: 1186
Price-to-rent: 9.1×

Monthly cashflow live

Estimated rent: $2,979 medium interval (Pro) →
Mortgage (P&I): −$1,704
Tax est. 1.5%: −$406 /mo · $4,875/yr
Insurance: −$135
HOA: −$267
Lot rent: −$0
Vacancy / Maint / Mgmt: −$626
Net cashflow: $-160

Break-even live

Break-even rent $3,181

Max offer price $301,908

Occupancy floor —

Sensitivity live

Price	-10% $65	-5% $-47	+0% $-160	+5% $-272	+10% $-384
Rent	-10% $-395	-5% $-277	+0% $-160	+5% $-42	+10% $76
Rate	-1.0pp $4	-0.5pp $-77	base $-160	+0.5pp $-244	+1.0pp $-329

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: $81,250
Closing costs: $9,750
Club membership (one-time): —
Reserves months: —
Total cash needed: —

Loan-product check · same deal, 3 products live

Conventional

25% down · 7.5% · 30yr

Cash invested: —
Monthly P&I: —
Monthly cashflow: —
DSCR: —
Eligible?: —

Personal DTI + credit; lowest rate.

DSCR

20% down · 8.5% · 30yr

Cash invested: —
Monthly P&I: —
Monthly cashflow: —
DSCR: —
Eligible?: —

No personal income docs; deal must DSCR.

Hard money

10% down · 12.0% · 12mo

Cash invested: —
Monthly P&I: —
Monthly cashflow: —
DSCR: —
Eligible?: —

Short-term bridge; refi at stabilization.

Rent comps 3 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
34011 Harvard Ave Millsboro, DE	1.0–3.0	1.0–2.0	1048	$4,383	$4.18	3d	1	0.55mi
25940 Starboard Dr #72 Millsboro, DE	3.0	2.0	1456	$1,500	$1.03	6d	1	1.14mi
22392 Circle Rd , DE	2.0	1.0	1000	$1,523	$1.52	109d	1	1.38mi

Property features AI

Finance

Other: Community pool (fenced, in-ground)Pets allowed on a case-by-case basisNot in a federal flood zoneProperty manager presentGround rent paid annually
HOA & community: HOA fee $261 quarterly (another listed condo/coop fee $540 quarterly)HOA includes common area maintenance, lawn care front and rear, lawn maintenance, management, pools, reserve funds, road maintenance, and snow removalCommunity amenities: community center, exercise room, outdoor poolRoad responsibility by HOA

Exterior

Parking: Attached 1-car garage with front entry and inside accessAsphalt driveway with 1 driveway spaceParking lot with 9 spaces (total 11 parking spaces)
Utilities: Public waterPublic sewerHot water: electricCooling fuel: electricHeating fuel: electricMunicipal trash not provided
Home design: Interior townhouse/rowhouseBuilt by RyanExcellent conditionFee simple ownership
Construction: Brick front with vinyl siding and stick-built constructionSlab foundation
Exterior features: Patio(s)Street lightsProperty backs to an open areaLevel entry at main

Interior

Kitchen: DishwasherDisposalElectric oven/rangeRange hoodRefrigeratorUpgraded countertopsPantry
Bedrooms: One bedroom on the main levelTwo bedrooms on the upper level
Flooring: Luxury vinyl plankCarpet
Bathrooms: Two full bathroomsOne half bathroom
Heating & cooling: Forced air heatingHeat pump(s)Central air (electric)200+ amp electrical service with circuit breakers
Interior features: Open floor planCombination kitchen/dining and kitchen/living areasDining areaBreakfast areaKitchen eat-inPantryUpgraded countertopsWalk-in closet(s)Master bath(s)Walk-in shower and tub/showerSprinkler systemEntry level bedroom
Laundry & utility: WasherDryer (electric, front loading)Electric water heaterExhaust fan

HOA detail $267/mo · $3,204/yr condo

Likely covers: electric
Assessments: None detected in remarks — confirm with the listing agent.

Listing history 50 events

2026-09-24

days on market $325,000 Active 113 DOM
2026-09-22

days on market $325,000 Active 112 DOM
2026-09-21

days on market $325,000 Active 111 DOM
2026-09-20

days on market $325,000 Active 110 DOM
2026-09-19

days on market $325,000 Active 109 DOM
2026-09-18

days on market $325,000 Active 108 DOM
2026-09-17

days on market $325,000 Active 107 DOM
2026-09-16

days on market $325,000 Active 106 DOM
2026-09-15

days on market $325,000 Active 105 DOM
2026-09-14

days on market $325,000 Active 104 DOM
2026-09-13

days on market $325,000 Active 103 DOM
2026-09-12

days on market $325,000 Active 102 DOM
2026-09-11

days on market $325,000 Active 101 DOM
2026-09-05

days on market $325,000 Active 95 DOM
2026-09-04

days on market $325,000 Active 94 DOM
2026-09-03

days on market $325,000 Active 93 DOM
2026-08-31

days on market $325,000 Active 90 DOM
2026-08-30

days on market $325,000 Active 89 DOM
2026-08-29

days on market $325,000 Active 88 DOM
2026-08-28

days on market $325,000 Active 87 DOM
2026-08-27

days on market $325,000 Active 86 DOM
2026-08-26

days on market $325,000 Active 85 DOM
2026-08-25

days on market $325,000 Active 84 DOM
2026-08-24

days on market $325,000 Active 83 DOM
2026-08-23

days on market $325,000 Active 82 DOM
2026-08-22

days on market $325,000 Active 81 DOM
2026-08-21

days on market $325,000 Active 80 DOM
2026-08-20

days on market $325,000 Active 79 DOM
2026-08-19

days on market $325,000 Active 78 DOM
2026-08-18

days on market $325,000 Active 77 DOM
2026-08-17

days on market $325,000 Active 76 DOM
2026-08-16

days on market $325,000 Active 75 DOM
2026-08-15

days on market $325,000 Active 74 DOM
2026-08-14

days on market $325,000 Active 73 DOM
2026-08-13

days on market $325,000 Active 72 DOM
2026-08-12

days on market $325,000 Active 71 DOM
2026-08-11

days on market $325,000 Active 70 DOM
2026-08-10

days on market $325,000 Active 69 DOM
2026-08-09

days on market $325,000 Active 68 DOM
2026-08-08

days on market $325,000 Active 67 DOM
2026-08-07

days on market $325,000 Active 66 DOM
2026-08-06

days on market $325,000 Active 65 DOM
2026-08-05

days on market $325,000 Active 64 DOM
2026-08-04

days on market $325,000 Active 63 DOM
2026-08-03

days on market $325,000 Active 62 DOM
2026-07-31

days on market $325,000 Active 59 DOM
2026-07-29

days on market $325,000 Active 57 DOM
2026-07-27

days on market $325,000 Active 55 DOM
2026-07-25

days on market $325,000 Active 53 DOM
2026-07-24

days on market $325,000 Active 52 DOM

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

Climate risk First Street

🌊 Flood 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
🔥 Wildfire 1/10 Low
🌡 Heat 8/10 Severe 7 d/yr ≥101°F today · 19 d/yr by 30 yrs out
💨 Wind 8/10 Severe 80% chance of damaging wind over 30 yrs
🫁 Air quality 2/10 Low 1 unhealthy d/yr today · 1 by 30 yrs out

Nearby sold comps map

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Walkable amenities ~0.75 mi

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Taxation est. · year 1

Rental income: $35,748
− Mortgage interest: −$18,205
− Property taxes: −$4,875
− Insurance: −$1,625
− Repairs & maintenance: −$2,860
− Management: −$2,860
− HOA: −$3,204
− Depreciation: −$9,455
Taxable loss: −$7,335

Your marginal tax rate % combined federal + state — saved on this device

Est. tax savings @ 24.0%: +$1,760
After-tax cash flow: $-155/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.

Condition & rehab AI · 13 photos

Good 80/100 Cosmetic rehab Est. rehab $5,800–$17,400 screening

This well-maintained townhouse is move-in ready with recent updates and a good condition score. It offers a spacious floor plan and is located in a desirable neighborhood.

Value-add opportunities

Both Paint exterior siding — Enhances curb appeal and value ↑
Both Replace carpet in living areas — Improves comfort and appearance ↑
Both Maintain landscaping — Enhances curb appeal and value ↑

ⓘ Rehab cost is a screening estimate — Cosmetic scope × the home's square footage at US $/sqft rules of thumb (the same model as the Flip Finder). Get contractor quotes + a written scope before underwriting.

F Composite school gradezoned avg 31/100

Zoned Schools

Elementary Long Neck Elementary School F DE #57/105 Nat'l #28,012/41,679 Middle Millsboro Middle School F DE #14/36 Nat'l #8,059/14,009 High Sussex Central High School F DE #24/40 Nat'l #10,333/17,239

Schools (NCES district)

District: Indian River School District
NCES district ID: 1000680
Math proficiency: 25% ▼ -27.00%
Reading proficiency: 41% ▼ -17.00%
Median HH income: $53,838
Composite: 28.99/100
National rank: #6620
State rank: #14 of 26 in DE

C Composite livability gradescore 66/100

Livability — Millsboro

Score: 66/100
State rank: #44
US rank: #12135

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

County: Sussex County · 248,853 people
City population: 35,884
Metro: Salisbury, MD-DE
Population (ZIP): 35,884
Household income: $78,305
Rent vs Own: 17.8% rent · 82.2% own
Severe rent burden: 5% of renters

Population outlook (Sussex County) Hauer SSP2

Today (2025): 248,853 people
By 2030: 264,464 · +6.3%
By 2040: 290,980 · +16.9%
By 2050: 311,259 · +25.1%
By 2075: 352,488 · +41.6%
By 2100: 367,406 · +47.6%

Race, ethnicity, and origin ACS 2023

Neighborhood character: Predominantly White (74%)
Race & ethnicity: White 74% Hispanic / Latino 11% Black 8% Two or more races 7% Native American 3% Asian 1%
Hispanic origin (detail): Mexican 3%
Common ancestry: Romanian 4% Slovak 2% Serbian 1%
Foreign-born: 8% · Canada, China
Languages at home: 88% English-only · Spanish 9% Other Indo-European 1%

Political lean MEDSL · Sussex

2024 margin: R (+11.0) · D 43.9% · R 54.9% · Other 1.2%
2008→2024 swing: -2.4pp toward R · 2008: -8.6pp · 2024: -11.0pp
All cycles: 2024: R+11.0 2020: R+11.2 2016: R+22.0 2012: R+13.0 2008: R+8.6

Not yet ingested

Civics: —

Market trends

HPI YoY: ▼ -18.26%
Current HPI: 268.5609
Rent YoY: —
Metro: Salisbury, MD-DE
State GDP YoY: —
F500 in state: 0

Price history

1 event — show timeline

2026-06-02 Listed $342,500 BRIGHT MLS

Cash-flow waterfall

monthly

Sold comps — $/sqft

last 12 mo · ≤1 mi

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