724 Daring Dr

Davenport, FL 33837

$409,000D

6 bd · 3.0 ba · 2,614 sqft · Built 2023 · SingleFamily · Active · 164 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,186/mo
• Mortgage (P&I): −$2,145
• Tax + insurance: −$773
• HOA: −$12
• Vac / Maint / Mgmt: −$669
• Net cashflow: $-413/mo
• Annual: $-4,951/yr
• Cap rate: 5.08%
• Cash-on-cash: -4.32%
• DSCR: 0.81
• 1% rule: 0.78%
• Cash to close: $114,520

Investor read

• This is a 6-bed/3.0-bath single-family listed at $409k. Condition is rated good.
• At list price, monthly cash flow is $-413 ($-5k/yr) — negative.
• To cash-flow at today's rent, offer at most $336k (17.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $319k (22.1% below list).
• It's been on market 164 days — a 12% lower offer ($360k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $319k (22.1% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $3k of loan paydown is wiped out by about $12k of value loss. Plan a longer hold.
• Location reads 70/100 on livability (#423 in FL) — a middle-class / working-renter tenant base. Strengths: crime A+, housing A+, health & safety A+; Watch: employment D+, 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: Davenport Elementary (math 36% / reading 36%, grade F, #1,670 of 2,144 statewide, top 78%, 786 students, 49% FRL); Shelley S. Boone Middle School (math 25% / reading 25%, grade F, #517 of 571 statewide, top 91%, 1,403 students, 52% FRL); Davenport High School (2,333 students, 37% FRL).
• Market conditions: Rents soft (-2.7%/yr); 2240 active listings in the ZIP; 40 comparable units currently listed for rent nearby; rentals lingering (median 42d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 50% of comp listings sitting > 30 days — soft ceiling on asking rent; solid renter incomes; 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.
• 5 sale attempts since 3y 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.
• Climate carrying-cost: severe wind risk, 99% chance of damaging wind over 30y; moderate wildfire risk; extreme-heat days projected 7→21/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 5.1% vs local median 4.1% in Davenport — meaningfully above typical; check what's discounted (condition, days-on-market, listing class) to confirm the premium yield is real.
• At $3,186/mo this rent would consume 47% of the median local household income ($81k/yr) — 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 164 days. Have you received any prior offers? Is the seller open to a 22% concession, seller financing, or rate buy-down credit?
• 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 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.