Is 601 Periwinkle Way Unit C-5 in Sanibel, FL a good investment?

CashFlowRE grades it A- with a 11.3% cap rate and $1,329/mo modeled cash flow at a $419,000 list price. See the full underwriting and recommended offer on the page.

What is the cap rate for 601 Periwinkle Way Unit C-5?

The modeled cap rate is 11.3% — annual NOI divided by price, using CashFlowRE's rent and expense estimates.

What would this property rent for?

Estimated market rent is $7,297/month, from CashFlowRE's rent model.

A- Composite 82.45

Why this score? — see what drove the A- 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).

Cash flow +30.0/30.0
ARV discount +15.0/15.0
1% rule +10.0/10.0
DSCR +10.0/10.0
Schools +6.9/10.0
Condition / age +4.8/5.0
Livability +3.4/5.0
Rent growth +2.5/5.0
Appreciation +0.0/10.0

$419,000

601 Periwinkle Way Unit C-5 · Sanibel, FL 33957

2 bd · 1.0 ba · 967 sqft · Condo public records · 255 Days on market

Built 1971 Excellent condition $433/sqft · 48% below area Est $803k · 48% under $1089/mo HOA · 15% of rent

🖨 Deal sheet (PDF) 📄 Offer letter ✓ Due diligence

Listing remarks MLS

Beautiful remodeled condo located on desirable East End. Second level, corner unit has been beautifully upgraded. Relax on your lanai and take in a view of the canal and tropical landscaping. Washer/dryer in unit. Enjoy East End restaurants, shopping and easy on/off island access. Great opportunity to buy on Sanibel at a terrific price.

Key facts

Community laundry
New landscaping
Impact windows

What this means for you Summary

Snapshot

This is a 2-bed/1.0-bath condo listed at $419k. Condition is rated excellent.

Deal economics

At list price, monthly cash flow is $1k ($16k/yr) — positive.
The deal already cash-flows at list — no discount required.
Meets the 1% rule at list price ($7k rent vs $419k).
Recommended offer: $369k (12.0% below list) — sets the bar for market timing.
Cap rate 11.3% vs local median 2.6% in Sanibel — 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 67/100 on livability (#541 in FL) — a middle-class / working-renter tenant base. Strengths: crime A+, employment A+; Watch: housing D+, amenities F, commute F.
Lee (suburban): math 47% / reading 50% proficiency, ranked #42 of 73 in FL (top 58%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
Zoned schools: The Sanibel School (math 92% / reading 92%, grade A+, #5 of 2,144 statewide, top 0%, 289 students, 12% FRL); South Fort Myers High School (math 23% / reading 30%, grade F, #489 of 667 statewide, top 74%, 1,917 students, 50% FRL) — zoned schools average 31% FRL vs 57% district-wide (26 pts lower); this property's tenant base skews higher-income than the district average.
Market conditions: 582 active listings in the ZIP; 2 comparable units currently listed for rent nearby; high-income renter base; 15,411 units permitted in Lee County in 2024 (4,686 in 5+ unit buildings).
At $7,297/mo this rent would consume 71% of the median local household income ($123k/yr) — very limited rent-growth headroom before tenants either downsize or default.

Forward outlook

Local home prices are declining (-3.0%/yr); year-one equity from $3k of loan paydown is wiped out by about $13k of value loss. Plan a longer hold.
Lee County population projected at +44% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
At projected returns (-3.0% appreciation + 3.0% rent growth), your $117k cash investment doubles in ~9 years — after that, you're playing with house money.

Negotiation context

It's been on market 255 days — a 12% lower offer ($369k) is reasonable based on typical stale-listing flexibility.
3 sale attempts since 16y 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.

Risks & watch-outs

Watch-outs: flood insurance adds $427/mo.
Climate carrying-cost: in FEMA flood zone AE (mandatory federal flood insurance); severe wind risk, 99% chance of damaging wind over 30y; extreme-heat days projected 7→27/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $368,720 (12.0% below list)

Questions for the listing agent

It's been on market 255 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
Built in 1971 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
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?
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 A-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?
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 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: 1.74% ✓
Cap rate: 11.32%
Cash-on-cash: 17.95%
DSCR: 1.80
GRM: 4.8

CMA / ARV

ARV (median comp): $803,417
List price: $419,000
Delta: -47.85%
Verdict: UNDERPRICED
Comps: 20 within 1.0 mi

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
641 Periwinkle Way Unit B5	0.04mi	2/1.0	1,000 (+3%)	22mo	$340,000	$340	74
845 E Gulf Dr #121	0.73mi	2/2.0	983 (+2%)	2mo	$700,000	$712	57
671 E Gulf Dr Unit 1D3	0.47mi	2/2.0	875 (-10%)	5mo	$1,050,000	$1,200	54
845 E Gulf Dr #1342	0.68mi	2/2.0	983 (+2%)	21mo	$840,000	$855	44
805 E Gulf Dr Unit C-1	0.49mi	2/2.0	902 (-7%)	25mo	$365,000	$405	42
629 Nerita St Unit A	1.25mi	2/2.0	1,079 (+12%)	1mo	$525,000	$487	41
979 E Gulf Dr Unit C303	0.98mi	2/2.0	1,184 (+22%)	0mo	$740,000	$625	36
979 E Gulf Dr #191	1.07mi	2/2.0	1,184 (+22%)	1mo	$790,000	$667	35
1246 Fulgur St #306	1.45mi	2/2.0	1,100 (+14%)	4mo	$590,000	$536	34
979 E Gulf Dr #162	1.07mi	2/2.0	1,184 (+22%)	18mo	$880,000	$743	21
979 E Gulf Dr Unit D472	0.97mi	2/2.0	1,184 (+22%)	21mo	$855,000	$722	18
979 E Gulf Dr Unit C324	0.98mi	2/2.0	1,184 (+22%)	29mo	$870,000	$735	16

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

-3.0% appreciation · 3.0% rent growth · sell at horizon

5-year hold

IRR: 3.9%
Equity multiple: 1.15×
Total profit: $17,794
Equity at exit: $62,474

10-year hold

IRR: 13.6%
Equity multiple: 2.10×
Total profit: $128,766
Equity at exit: $36,227

Cash invested: $117,320 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

Overall (STATE): 87 Strongly Landlord-Friendly
State Florida: 87 Strongly Landlord-Friendly · R+3
County: — inherits STATE
City: — inherits STATE

3-day pay-or-quit; preempts local rent control; landlord-friendly statutes. Court speed varies by county.

Methodology + full state rankings →

Active competition Active MLS

For sale now: 0 active · 5 under contract

Closed sales set the value; these active listings set current market conditions and a practical price ceiling.

ZIP-level market 33957

Home prices YoY: -15.7%
Active inventory: 582
Price-to-rent: 4.8×

Monthly cashflow live

Estimated rent: $7,297 medium interval (Pro) →
Mortgage (P&I): −$2,197
Tax from tax record: −$548 /mo · $6,582/yr
Insurance: −$175
Flood insurance flood zone: −$427 /mo · $5,118/yr
HOA: −$1,089
Lot rent: −$0
Vacancy / Maint / Mgmt: −$1,532
Net cashflow: $1,329

Break-even live

Break-even rent $5,615

Max offer price $419,000

Occupancy floor 77%

Sensitivity live

Price	-10% $1,566	-5% $1,447	+0% $1,329	+5% $1,210	+10% $1,092
Rent	-10% $752	-5% $1,041	+0% $1,329	+5% $1,617	+10% $1,905
Rate	-1.0pp $1,540	-0.5pp $1,435	base $1,329	+0.5pp $1,220	+1.0pp $1,110

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: $104,750
Closing costs: $12,570
Club membership (one-time): —
Reserves months: —
Total cash needed: —

Loan-product check · same deal, 3 products live

Conventional

25% down · 7.5% · 30yr

Cash invested: —
Monthly P&I: —
Monthly cashflow: —
DSCR: —
Eligible?: —

Personal DTI + credit; lowest rate.

DSCR

20% down · 8.5% · 30yr

Cash invested: —
Monthly P&I: —
Monthly cashflow: —
DSCR: —
Eligible?: —

No personal income docs; deal must DSCR.

Hard money

10% down · 12.0% · 12mo

Cash invested: —
Monthly P&I: —
Monthly cashflow: —
DSCR: —
Eligible?: —

Short-term bridge; refi at stabilization.

Rent comps 2 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
827 E Gulf Dr Unit G8 Sanibel, FL	2.0	2.0	1040	$10,500	$10.10	119d	1	0.64mi
849 Beach Rd Sanibel, FL	2.0	2.0	800	$2,600	$3.25	10d	1	0.84mi

Property features AI

Finance

Other: Pets allowed conditionally (owners only), maximum 2 pets
HOA & community: Homeowners association (48 units in community)Monthly association fee of $1,089Association covers management, insurance, internet, irrigation water, laundry, legal/accounting, grounds maintenance, pest control, reserve fund, sewer, trash and waterCommunity is non-gatedAssociation amenities include beach rights, boat dock, beach access, bike storage, laundry, storage and management

Exterior

Parking: Assigned covered parkingDetached carport (1 space)Guest parking available
Security: Security/high-impact doorsSmoke detector(s)
Utilities: Public water (assessment paid)Public sewer (assessment paid)Cable available
Home design: 2-story buildingEntry level: 2Resale propertyFaces east
Construction: Block, concrete and stucco constructionSlate roof
Exterior features: Lanai/porch with screened porchSprinkler/irrigation system (automatic)Zero lot lineWest exposuresCanal access waterfront

Interior

Kitchen: RangeMicrowaveDishwasherDisposalRefrigerator with icemakerIcemaker
Flooring: CarpetTileWood
Bathrooms: 1 full bathroomShower-only configuration with separate shower
Heating & cooling: Central heating (electric)Central air conditioning (electric)Ceiling fan(s)
Interior features: FurnishedLiving/Dining roomSeparate shower (shower only)Cable TVWindow treatmentsSingle hung and sliding windows with impact glass
Laundry & utility: Washer and dryer includedLaundry located inside and/or common area

HOA detail $1,089/mo · $13,068/yr condo

Likely covers: landscaping
Assessments: None detected in remarks — confirm with the listing agent.

Listing history 50 events

2026-09-24

days on market $419,000 Active 255 DOM
2026-09-23

days on market $419,000 Active 254 DOM
2026-09-22

days on market $419,000 Active 253 DOM
2026-09-21

days on market $419,000 Active 252 DOM
2026-09-17

days on market $419,000 Active 248 DOM
2026-09-14

days on market $419,000 Active 245 DOM
2026-09-13

days on market $419,000 Active 244 DOM
2026-09-13

days on market $419,000 Active 243 DOM
2026-09-11

days on market $419,000 Active 242 DOM
2026-09-05

days on market $419,000 Active 236 DOM
2026-09-04

days on market $419,000 Active 235 DOM
2026-09-03

days on market $419,000 Active 234 DOM
2026-08-31

days on market $419,000 Active 231 DOM
2026-08-28

days on market $419,000 Active 228 DOM
2026-08-26

days on market $419,000 Active 226 DOM
2026-08-24

days on market $419,000 Active 224 DOM
2026-08-23

days on market $419,000 Active 223 DOM
2026-08-21

days on market $419,000 Active 221 DOM
2026-08-20

days on market $419,000 Active 220 DOM
2026-08-19

days on market $419,000 Active 219 DOM
2026-08-18

days on market $419,000 Active 218 DOM
2026-08-16

days on market $419,000 Active 216 DOM
2026-08-15

days on market $419,000 Active 215 DOM
2026-08-13

days on market $419,000 Active 213 DOM
2026-08-11

days on market $419,000 Active 211 DOM
2026-08-10

days on market $419,000 Active 210 DOM
2026-08-09

days on market $419,000 Active 209 DOM
2026-08-06

days on market $419,000 Active 206 DOM
2026-08-05

days on market $419,000 Active 205 DOM
2026-08-04

days on market $419,000 Active 204 DOM
2026-07-28

days on market $419,000 Active 197 DOM
2026-07-26

days on market $419,000 Active 195 DOM
2026-07-24

days on market $419,000 Active 193 DOM
2026-07-23

days on market $419,000 Active 192 DOM
2026-07-22

days on market $419,000 Active 191 DOM
2026-07-21

days on market $419,000 Active 190 DOM
2026-07-18

days on market $419,000 Active 187 DOM
2026-07-18

days on market $419,000 Active 186 DOM
2026-07-16

days on market $419,000 Active 185 DOM
2026-07-15

days on market $419,000 Active 184 DOM
2026-07-13

days on market $419,000 Active 182 DOM
2026-07-13

days on market $419,000 Active 181 DOM
2026-07-12

days on market $419,000 Active 180 DOM
2026-07-10

days on market $419,000 Active 179 DOM
2026-07-10

days on market $419,000 Active 178 DOM
2026-07-07

days on market $419,000 Active 176 DOM
2026-07-06

days on market $419,000 Active 175 DOM
2026-07-05

days on market $419,000 Active 174 DOM
2026-07-02

days on market $419,000 Active 171 DOM
2026-07-01

days on market $419,000 Active 170 DOM

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

Tax reassessment forecast FL · Resets to sale price

Current annual tax: $6,582 · $548/mo
Projected year-2 tax: $6,582 · $548/mo
Expected delta: $0/yr ($0/mo · 0.0%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

Climate risk First Street

🌊 Flood 9/10 Extreme FEMA zone AE · 99% chance over 30 yrs
🔥 Wildfire 1/10 Low
🌡 Heat 10/10 Extreme 7 d/yr ≥113°F today · 27 d/yr by 30 yrs out
💨 Wind 10/10 Extreme 99% chance of damaging wind over 30 yrs
🫁 Air quality 2/10 Low 1 unhealthy d/yr today · 1 by 30 yrs out

Nearby sold comps map

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Walkable amenities ~0.75 mi

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Taxation est. · year 1

Rental income: $87,565
− Mortgage interest: −$23,471
− Property taxes: −$6,582
− Insurance: −$7,214
− Repairs & maintenance: −$7,005
− Management: −$7,005
− HOA: −$13,068
− Depreciation: −$12,189
Taxable income: $11,032

Your marginal tax rate % combined federal + state — saved on this device

Est. tax owed @ 24.0%: −$2,648
After-tax cash flow: $13,298/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 · 10 photos

Excellent 95/100 None rehab

This beautifully renovated top floor two-bedroom, one-bathroom condo is in excellent condition with no visible damage or wear. The home is move-in ready and offers a prime location with easy access to the beach and marina. The property has a well-maintained exterior and interior, and the landscaping enhances the home's overall appearance.

Components & finishes AI

Roof tile · good Flooring hardwood Counters granite Appliances stainless steel HVAC central · new lt5

Value-add opportunities

Both Landscaping improvements — Enhanced landscaping can improve curb appeal and attract potential buyers or renters. ↑
Both Painting exterior — Fresh paint can improve the home's curb appeal and make it more attractive to potential buyers or renters. ↑

C Composite school gradezoned avg 68/100

Zoned Schools

Elementary The Sanibel School A+ FL #5/2,144 Nat'l #94/41,679 High Cypress Lake High School D- FL #228/667 Nat'l #6,809/17,239

Schools (NCES district)

District: Lee
NCES district ID: 1201080
Math proficiency: 47% ▼ -11.00%
Reading proficiency: 50% ▼ -4.00%
Median HH income: $49,518
Composite: 41.49/100
National rank: #3458
State rank: #42 of 73 in FL

C Composite livability gradescore 67/100

Livability — Sanibel

Score: 67/100
State rank: #541
US rank: #10166

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

Census place: Sanibel, FL
County: Lee · 871,946 people
City population: 6,402
Metro: Cape Coral-Fort Myers, FL
Population (ZIP): 6,402
Household income: $122,730
Rent vs Own: 8.4% rent · 91.6% own
Severe rent burden: 3% of renters

Population outlook (Lee County) Hauer SSP2

Today (2025): 871,946 people
By 2030: 955,468 · +9.6%
By 2040: 1,113,587 · +27.7%
By 2050: 1,256,891 · +44.1%
By 2075: 1,560,270 · +78.9%
By 2100: 1,726,848 · +98.0%

Race, ethnicity, and origin ACS 2023

Neighborhood character: Predominantly White (95%)
Race & ethnicity: White 95% Two or more races 2% Asian 1%
Common ancestry: Italian 4% Romanian 4% Slovak 2%
Foreign-born: 5% · Canada, China
Languages at home: 96% English-only · German/W. Germanic 1% Spanish 1% French/Haitian/Cajun 1%

Political lean MEDSL · Lee

2024 margin: Strong R (+28.4) · D 35.5% · R 63.9%
2008→2024 swing: -18.0pp toward R · 2008: -10.4pp · 2024: -28.4pp
All cycles: 2024: R+28.4 2020: R+19.2 2016: R+20.4 2012: R+16.6 2008: R+10.4

Not yet ingested

Civics: —

Market trends

HPI YoY: ▼ -93.08%
Current HPI: 501.0
Rent YoY: —
Metro: —
State GDP YoY: ▲ 3.28%
F500 in state: 36

Industry mix (Fortune 500 HQ in FL)

Industry	F500 HQs	Revenue
Industrial Technology	2	$29B
#159 Carrier Global Palm Beach Gardens $22.2B #376 Roper Technologies Sarasota $6.8B
Insurance	2	$17B
#348 Fidelity National Financial Jacksonville $12.1B #494 Brown & Brown Daytona Beach $4.6B
Retail	1	$60B
#71 Publix Super Markets Lakeland $60.2B
Technology Distribution	1	$58B
#73 TD Synnex Clearwater $58.5B
Homebuilding	1	$35B
#185 Lennar Miami $35.4B
Technology Manufacturing	1	$35B
#122 Jabil St. Petersburg $34.7B

Price history

+1745.8% since first listed

14 events — show timeline

2026-01-12 Listed $419,000 FORTMLS
2022-04-08 Sold (Public Records) $591,000 Public Records
2022-03-30 Sold (MLS) $591,000 FORTMLS
2022-02-15 Pending — FORTMLS
2022-02-09 Listed $549,000 FORTMLS
2015-03-02 Price Changed $219,000 FORTMLS
2010-05-12 Listing Removed — FORTMLS
2010-03-15 Sold (MLS) $220,000 FORTMLS
2010-01-11 Listed $219,000 FORTMLS
2002-10-04 Sold (Public Records) $216,000 Public Records
2002-08-28 Price Changed $229,000 FORTMLS
2002-08-26 Sold (MLS) $216,000 FORTMLS
1995-05-02 Sold (Public Records) $106,000 Public Records
1971-10-01 Sold (Public Records) $22,700 Public Records

Property tax history

+10.0%/yr

Latest (2025): $6,582 · +1248.3% YoY. Source: county tax records.

Cash-flow waterfall

monthly

Sold comps — $/sqft

last 12 mo · ≤1 mi

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