4136 Placid Lakes Blvd

Lake Placid, FL 33852

$699,900D

8 bd · 8.0 ba · 4,848 sqft · Built 1981 · MultiFamily · Pending · 279 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $6,054/mo
• Mortgage (P&I): −$3,670
• Tax + insurance: −$1,166
• HOA: −$2
• Vac / Maint / Mgmt: −$1,271
• Net cashflow: $-56/mo
• Annual: $-674/yr
• Cap rate: 6.20%
• Cash-on-cash: -0.34%
• DSCR: 0.98
• 1% rule: 0.86%
• Cash to close: $195,972

Investor read

• This is a 4 × 2-bed/2.0-bath units multifamily listed at $700k.
• At list price, monthly cash flow is $-56 ($-674/yr) — negative. Per door: $-14/mo.
• To cash-flow at today's rent, offer at most $692k (1.2% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $605k (13.5% below list).
• It's been on market 279 days — a 12% lower offer ($616k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $605k (13.5% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $5k of loan paydown is wiped out by about $21k of value loss. Plan a longer hold.
• Location reads 68/100 on livability (#525 in FL) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, health & safety A+; Watch: schools D+, amenities F, commute F.
• Highlands (other): math 45% / reading 43% proficiency, ranked #54 of 73 in FL (top 74%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 68% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: Rents flat; 1488 active listings in the ZIP; 980 units permitted in Highlands County in 2024 (80 in 5+ unit buildings).
• Cap rate 6.2% vs local median 3.7% in Lake Placid — 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.
• At $6,054/mo this rent would consume 134% of the median local household income ($54k/yr) (locally 439% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

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?
• It's been on market 279 days. Have you received any prior offers? Is the seller open to a 14% concession, seller financing, or rate buy-down credit?
• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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.
• Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?