310 S Elm St

LaBelle, FL 33935

$278,900C

4 bd · 3.0 ba · 2,127 sqft · Built 1975 · SingleFamily · Pending · 355 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,623/mo
• Mortgage (P&I): −$1,463
• Tax + insurance: −$670
• HOA: −$0
• Vac / Maint / Mgmt: −$551
• Net cashflow: $-60/mo
• Annual: $-723/yr
• Cap rate: 6.03%
• Cash-on-cash: -0.93%
• DSCR: 0.96
• 1% rule: 0.94%
• Cash to close: $78,092

Investor read

• This is a 4-bed/3.0-bath single-family listed at $279k.
• At list price, monthly cash flow is $-60 ($-723/yr) — negative.
• To cash-flow at today's rent, offer at most $268k (3.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $262k (6.0% below list).
• It's been on market 355 days — a 12% lower offer ($245k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $245k (12.0% below list) — sets the bar for market timing.
• In year one you build about $30k of equity ($2k loan paydown + $28k appreciation (10.0% local appreciation)).
• Location reads 72/100 on livability (#324 in FL) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: commute F, employment F.
• Hendry (town): math 35% / reading 40% proficiency, ranked #65 of 73 in FL (top 89%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 75% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Edward A. Upthegrove Elementary (math 43% / reading 42%, grade F, #1,383 of 2,144 statewide, top 65%, 541 students, 76% FRL); Labelle Middle School (math 37% / reading 38%, grade F, #395 of 571 statewide, top 70%, 817 students, 72% FRL); Labelle High School (math 42% / reading 41%, grade F, #284 of 667 statewide, top 43%, 1,451 students, 62% FRL).
• Market conditions: 950 active listings in the ZIP; 3 comparable units currently listed for rent nearby; rentals at typical pace (median 25d on market — plan ~3-4 weeks tenant-placement turnaround); 557 units permitted in Hendry County in 2024 (45 in 5+ unit buildings).
• Hendry County population projected to shrink 7% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• 6 sale attempts since 2y ago; this cycle's ask has dropped $41k (13%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• At projected returns (10.0% appreciation + 3.0% rent growth), your $78k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 2, paydown + projected appreciation supports a ~$48k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→25/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 6.0% vs local median 4.8% in LaBelle — meaningfully above typical; check what's discounted (condition, days-on-market, listing class) to confirm the premium yield is real.
• At $2,623/mo this rent would consume 55% of the median local household income ($57k/yr) (locally 498% 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 355 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Built in 1975 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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.
• 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 for-sale + rental construction is in the pipeline within 1–3 miles? Heavy new supply typically softens prices + rents 12–24 months out; constrained supply supports both.