40 Folly Field Rd Unit B252 · Hilton Head Island, SC 29928

$254,900

1 bd · 1.0 ba · 540 sqft · Condo · 8 Days on market

Built 1980 Good condition

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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 +7.5/15.0
• Appreciation +6.6/10.0
• Cash flow +6.0/30.0
• Schools +4.1/10.0
• 1% rule +4.0/10.0
• Condition / age +3.8/5.0
• Rent growth +3.3/5.0
• Livability +3.2/5.0
• DSCR +0.4/10.0

Listing remarks

Opportunіty knοckѕ fοr a great οсeanfront value! Located οn thе wing with lovely views and a nice and private location, with a little TLC this can be your oceanfront vacation residence. Enjoy an oceanfront pool, tennis and pickleball, fitness, restaurant, security, bike rentals and much more. Lowest priced oceanfront villa on HHI! Outstanding opportunity!

Key facts

• Restaurant
• Bike rentals
• Oceanfront pool

Tags

• OCEANFRONT POOL
• TENNIS AND PICKLEBALL
• FITNESS
• RESTAURANT
• SECURITY
• BIKE RENTALS

Property features AI

Finance

• Other: Pets not allowed
• HOA & community: Association provides management, common area maintenance, grounds and structure maintenance, reserve fund, pest control; Association includes cable TV, high-speed internet, phone, internet, trash, sewer, water; Association covers flood insurance and insurance; Association amenities include beach rights and access, pool, fitness center, golf course, tennis and pickleball courts, playground, trails, barbecue, restaurant, guard, and cable TV

Exterior

• Parking: Unassigned parking
• Security: Security guard
• Utilities: Public water
• Home design: Condo / apartment style property
• Construction: Wood siding; Asphalt roof
• Exterior features: Balcony; Has view; Community pool (free form and lap)

Interior

• Kitchen: Dishwasher; Microwave; Oven; Refrigerator; Air-to-air exchanger
• Bedrooms: Primary bedroom on main level
• Flooring: Carpet
• Bathrooms: 1 full bathroom
• Heating & cooling: Central heating (electric); Central air conditioning
• Interior features: Main level primary bedroom; Cable TV available; Unfurnished
• Laundry & utility: Laundry in common area

What this means for you Summary

Snapshot

• This is a 1-bed/1.0-bath condo listed at $255k. Condition is rated good.

Deal economics

• At list price, monthly cash flow is $-484 ($-6k/yr) — negative.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $228k (10.4% below list).
• Recommended offer: $228k (10.4% below list) — sets the bar for 1% rule.
• Cap rate 4.0% vs local median 3.0% in Hilton Head Island — 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 64/100 on livability (#157 in SC) — a middle-class / working-renter tenant base. Strengths: employment A+, crime A-; Watch: amenities F, commute F, cost of living F.
• Beaufort 01 (town): math 42% / reading 51% proficiency, ranked #17 of 80 in SC (top 21%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: Rents rising (+3.2%/yr); 838 active listings in the ZIP; solid renter incomes; 1,824 units permitted in Beaufort County in 2024 (618 in 5+ unit buildings).

Forward outlook

• In year one you build about $10k of equity ($2k loan paydown + $8k appreciation (3.2% local appreciation)).
• Beaufort County population projected at +30% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• By year 4, paydown + projected appreciation supports a ~$34k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Negotiation context

• Only 8 days on market — expect competitive offers; lowballing is unlikely to land.

Risks & watch-outs

• Watch-outs: HOA is 23% of rent.

Recommended offer $228,387 (10.4% below list)

Questions for the listing agent

1. 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?
2. What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
3. 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?
4. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
5. Schools are B-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?
6. 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?
7. 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.
8. 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.
9. 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: 0.90% ✗
• Cap rate: 4.01%
• Cash-on-cash: -8.14%
• DSCR: 0.64
• GRM: 9.3

CMA / ARV

No comps found within radius.

Projected returns pro-forma

3.21% appreciation · 3.23% rent growth · sell at horizon

5-year hold

• IRR: 0.9%
• Equity multiple: 1.05×
• Total profit: $3,558
• Equity at exit: $117,603

10-year hold

• IRR: 4.8%
• Equity multiple: 1.75×
• Total profit: $53,733
• Equity at exit: $183,598

Cash invested: $71,372 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 90 Strongly Landlord-Friendly
• State South Carolina: 90 Strongly Landlord-Friendly · R+6
• County: — inherits STATE
• City: — inherits STATE

5-day notice; preempted; landlord-favorable.

Methodology + full state rankings →

ZIP-level market 29928

• Home prices YoY: 1.3%
• Rents YoY: 3.2%
• Active inventory: 838
• Price-to-rent: 9.3×

Monthly cashflow live

• Estimated rent: $2,284 medium
• Mortgage (P&I): −$1,337
• Tax est. 1.5%: −$319 /mo · $3,824/yr
• Insurance: −$106
• HOA est. from 12 same-building comps: −$527
• Vacancy / Maint / Mgmt: −$480
• Net cashflow: $-484

Break-even live

Break-even rent $2,897

Max offer price $184,821

Occupancy floor —

Sensitivity live

Price	-10% $-308	-5% $-396	+0% $-484	+5% $-572	+10% $-660
Rent	-10% $-665	-5% $-575	+0% $-484	+5% $-394	+10% $-304
Rate	-1.0pp $-356	-0.5pp $-419	base $-484	+0.5pp $-550	+1.0pp $-618

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: $63,725
• Closing costs: $7,647
• Reserves months: —
• Total cash needed: —

HOA detail condo

• Monthly dues: $0 · $0/yr
• Likely covers: poolsecurity
• Assessments: None detected in remarks — confirm with the listing agent.

Listing history 7 events

1. 2026-06-18
   days on market $254,900 Active 8 DOM
2. 2026-06-17
   days on market $254,900 Active 7 DOM
3. 2026-06-16
   days on market $254,900 Active 6 DOM
4. 2026-06-15
   days on market $254,900 Active 5 DOM
5. 2026-06-14
   days on market $254,900 Active 3 DOM
6. 2026-06-13
   remarks 358-char remark
7. 2026-06-13
   listed $254,900 Active 2 DOM

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

Taxation est. · year 1

• Rental income: $27,406
• − Mortgage interest: −$14,278
• − Property taxes: −$3,824
• − Insurance: −$1,274
• − Repairs & maintenance: −$2,193
• − Management: −$2,193
• − HOA: −$6,324
• − Depreciation: −$7,415
• Taxable loss: −$10,094
• Est. tax savings @ 24.0%: +$2,423
• After-tax cash flow: $-3,389/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 75/100 Cosmetic rehab

This oceanfront townhouse is in good condition with a good location and amenities. A fresh coat of paint on the exterior would significantly enhance its curb appeal and value.

Value-add opportunities

• Both Paint exterior siding — Enhances curb appeal and value
• Both Clean and maintain pool area — Improves amenities and appeal

Renovation cost estimate screening

Value-add ROI direction

• Both Paint exterior siding — Enhances curb appeal and value ↑
• Both Clean and maintain pool area — Improves amenities and appeal ↑

ⓘ Cost ranges are severity-bucket heuristics (US national rule-of-thumb). Get contractor quotes + a written scope before underwriting a rehab budget.

Schools (NCES district)

• District: Beaufort 01
• NCES district ID: 4501110
• Math proficiency: 42% ▼ -8.00%
• Reading proficiency: 51% ▲ 2.00%
• Median HH income: $57,430
• Composite: 40.56/100
• National rank: #3699
• State rank: #17 of 80 in SC

Livability — Hilton Head Island

• Score: 64/100
• State rank: #157
• US rank: #14648

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Hilton Head Island, SC
• County: Beaufort County · 163,770 people
• City population: 40,243
• Metro: Hilton Head Island-Bluffton, SC
• Population (ZIP): 15,785
• Household income: $97,576
• Rent vs Own: 16.7% rent · 83.3% own
• Severe rent burden: 216.0

Population outlook (Beaufort County) Hauer SSP2

• Today (2025): 211,915 people
• By 2030: 227,272 · +7.2%
• By 2040: 253,861 · +19.8%
• By 2050: 275,126 · +29.8%
• By 2075: 311,022 · +46.8%
• By 2100: 321,286 · +51.6%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (87%)
• Race & ethnicity: White 87% Hispanic / Latino 6% Two or more races 2% Black 2% Asian 1%
• Hispanic origin (detail): Mexican 3%
• Common ancestry: Lithuanian 4% Slovak 4% Romanian 4%
• Foreign-born: 9% · Canada, China
• Languages at home: 91% English-only · Spanish 5% French/Haitian/Cajun 1% Chinese 1%

Political lean MEDSL · Beaufort

• 2024 margin: R (+14.5) · D 42.1% · R 56.6% · Other 1.2%
• 2008→2024 swing: -3.7pp toward R · 2008: -10.8pp · 2024: -14.5pp
• All cycles: 2024: R+14.5 2020: R+10.0 2016: R+14.3 2012: R+17.5 2008: R+10.8

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▲ 3.21%
• Current HPI: 243.4136
• Rent YoY: ▲ 3.23%
• Metro: Hilton Head Island-Bluffton, SC
• State GDP YoY: ▲ 4.51%
• F500 in state: 2

Industry mix (Fortune 500 HQ in SC)

Industry	F500 HQs	Revenue
▸Packaging	1	$7B

Price history

1 event — show timeline

• 2026-06-10 Listed $254,900 RSMLS