L-101 Plan

Ormond Beach, FL 32174

$129,900F

2 bd · 2.0 ba · 1,201 sqft · Built — · SingleFamily · Active · 981 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,795/mo
• Mortgage (P&I): −$1,127
• Tax + insurance: −$358
• HOA: −$560
• Vac / Maint / Mgmt: −$377
• Net cashflow: $-628/mo
• Annual: $-7,531/yr
• Cap rate: 2.79%
• Cash-on-cash: -12.51%
• DSCR: 0.44
• 1% rule: 0.84%
• Cash to close: $60,200

Investor read

• This is a 2-bed/2.0-bath single-family listed at $130k. Condition is rated poor.
• At list price, monthly cash flow is $-628 ($-8k/yr) — negative.
• To cash-flow at today's rent, offer at most $124k (4.4% below list).
• Meets the 1% rule at list price ($2k rent vs $130k).
• It's been on market 981 days — a 12% lower offer ($114k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $114k (12.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $6k of value loss. Plan a longer hold.
• Location reads 83/100 on livability (#55 in FL, #965 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, housing A+, health & safety A+; Watch: commute F.
• Volusia (suburban): math 44% / reading 49% proficiency, ranked #47 of 73 in FL (top 64%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Tomoka Elementary School (math 62% / reading 61%, grade B, #634 of 2,144 statewide, top 30%, 709 students, 50% FRL); David C. Hinson Sr. Middle School (math 52% / reading 49%, grade C, #246 of 571 statewide, top 44%, 950 students, 52% FRL); Mainland High School (math 30% / reading 37%, grade F, #400 of 667 statewide, top 61%, 1,855 students, 64% FRL) — zoned schools at 56% FRL track the district average.
• Watch-outs: HOA is 31% of rent.
• Market conditions: Rents rising (+1.6%/yr); 1687 active listings in the ZIP; 36 comparable units currently listed for rent nearby; rentals lingering (median 39d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 56% of comp listings sitting > 30 days — soft ceiling on asking rent; 3,402 units permitted in Volusia County in 2024 (681 in 5+ unit buildings).
• Volusia County population projected at +19% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 2 sale attempts since 2y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• Cap rate 2.8% vs local median 3.9% in Ormond Beach — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.
• This rent runs 30% of the median local income ($71k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

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 981 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• 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 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?
• 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?

Repairs flagged (vision-AI assessment)

• Major: roof — No visible roof details.
• Major: exterior siding — No visible siding details.
• Major: exterior paint — No visible paint details.
• Major: interior walls — No interior wall details.
• Major: flooring — No flooring details.
• Major: systems — No system details visible.