Real Estate

Pros & Cons of 225 Gardenia Ave, Georgetown, FL 32139

Investing in real estate can be a rewarding venture, and the property at this location presents a unique opportunity for both seasoned investors and first-time buyers. With its elegant design, natural light, and picturesque views, this new construction home offers a serene retreat that could appeal to a wide range of tenants. The community amenities, including a private common area with a boat ramp and fishing dock, enhance the property's attractiveness. However, potential investors should also consider the financial metrics, such as a modest cash on cash return of 2.5% and a monthly cash flow of $89, which may not meet the expectations of all investors. Balancing these pros and cons is essential for making an informed decision.

What are the Pros of 225 Gardenia Ave, Georgetown, FL 32139?

  • Elegant new construction with modern amenities
  • Picturesque views and abundant natural light
  • Access to community features like a boat ramp and fishing dock
  • Potential for rental income with a monthly rent of $1,357
  • Cap rate of 7.2% indicating a reasonable return on investment

What are the Cons of 225 Gardenia Ave, Georgetown, FL 32139?

  • Cash on cash return of only 2.5%
  • Monthly cash flow of $89 may be low for some investors
  • HOA fees and other costs could impact overall profitability
  • Market conditions may affect rental demand
  • New construction may have unforeseen maintenance costs

What are potential Red Flags or Risks with 225 Gardenia Ave, Georgetown, FL 32139?

  • Dependence on the local rental market's stability
  • Potential for construction delays or issues
  • Economic fluctuations affecting property values
  • Regulatory changes impacting rental properties
  • Competition from other rental properties in the area

Property Details for 225 Gardenia Ave, Georgetown, FL 32139

Property Detail Name Property Detail Value
Address 225 Gardenia Ave, Georgetown, FL 32139
Property Type Single Family
Price $214,900
Price Change $0
Tax Assessed Value $3,790
Non Owner Occupied? Yes
Pre Foreclosure Auction No
Bedrooms 2.0
Bathrooms 2.0
Living Area 913.0
Lot Area 10018.8
Lot Area Unit SQFT
Year Built N/A

Weighing the Investment Potential

In conclusion, this property presents a blend of appealing features and financial considerations that potential investors must carefully evaluate. The elegant design and community amenities offer a strong selling point for attracting tenants, while the cap rate of 7.2% suggests a reasonable return on investment. However, the low cash on cash return and modest monthly cash flow may deter some investors looking for higher yields. It's crucial to consider both the positive aspects, such as the potential for rental income and the attractive location, alongside the financial metrics that may limit profitability. Ultimately, thorough due diligence and a clear understanding of the local market will be key to making a successful investment decision.

Financial Summary for 225 Gardenia Ave, Georgetown, FL 32139

Financial Metric Name Financial Metric Value
Cash on Cash Return 2.5%
Monthly Rent $1,357
Net Operating Income $1,289
Cap Rate 7.2%
Monthly Cash Flow $89
Gross Rent Multiplier 13.2
Debt Service Coverage Ratio 1.2
Principal and Interest $1,073
Tax $127
HOA Fees $4
Insurance $64
Total Payment $1,268