Kitson Plan

Eagle Lake, FL 33839

$264,740D

3 bd · 2.0 ba · 1,424 sqft · Built — · SingleFamily · Active · 66 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,064/mo
• Mortgage (P&I): −$1,388
• Tax + insurance: −$441
• HOA: −$0
• Vac / Maint / Mgmt: −$433
• Net cashflow: $-199/mo
• Annual: $-2,386/yr
• Cap rate: 5.39%
• Cash-on-cash: -3.22%
• DSCR: 0.86
• 1% rule: 0.78%
• Cash to close: $74,127

Investor read

• This is a 3-bed/2.0-bath single-family listed at $265k.
• At list price, monthly cash flow is $-199 ($-2k/yr) — negative.
• To cash-flow at today's rent, offer at most $236k (10.9% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $206k (22.0% below list).
• It's been on market 66 days — a 6% lower offer ($249k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $206k (22.0% below list) — sets the bar for 1% rule.
• In year one you build about $6k of equity ($2k loan paydown + $5k appreciation (1.8% local appreciation)).
• Location reads 77/100 on livability (#196 in FL, #3,096 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, cost of living A+, housing A+; Watch: amenities F, commute F.
• Polk (suburban): math 39% / reading 43% proficiency, ranked #62 of 73 in FL (top 85%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Chain of Lakes Elementary School (math 63% / reading 60%, grade B, #634 of 2,144 statewide, top 30%, 1,130 students, 37% FRL); Westwood Middle School (math 19% / reading 26%, grade F, #546 of 571 statewide, top 96%, 878 students, 70% FRL); Lake Region High School (math 14% / reading 22%, grade F, #570 of 667 statewide, top 86%, 1,545 students, 61% FRL) — zoned schools at 56% FRL track the district average.
• Market conditions: 171 active listings in the ZIP; 21 comparable units currently listed for rent nearby; rentals at typical pace (median 16d on market — plan ~3-4 weeks tenant-placement turnaround); 10,384 units permitted in Polk County in 2024 (1,716 in 5+ unit buildings).
• Polk County population projected at +33% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• By year 6, paydown + projected appreciation supports a ~$35k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

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 66 days. Have you received any prior offers? Is the seller open to a 22% concession, seller financing, or rate buy-down credit?
• 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?
• 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.