Updated Corner Residential Income
For Sale
$329,000
Pending
16657 E GUNSIGHT Drive 181, Fountain Hills, AZ 85268
Two-bedroom, two-bath corner condominium with a lower-level layout, private patio, and remodeled kitchen.
Property Size865 SF
Days on Market136
Property Features for 16657 E GUNSIGHT Drive 181
General Information
Standard status
Pending
Size
865 SF
Property subtype
Apartment
Additional Details
Multifamily Units
1
Taxes and HOA fees
Annual Taxes
$549
Amenities
heated pool
spa
Building Details
Building Size
865 SF
Year Built
1986
Listing Agency:
eXp Realty
Listed By:
Jason L Penrose · License #BR518159000
(602) 738-9943
Source:
Jcluxuryresidential
Added: Apr 24
Changed: Aug 25
Last Checked: Sep 5 at 8:10AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of eXp Realty
Investment Insights
Based on property information with market context.
Built in 1986, this lower-level corner condominium offers two bedrooms, two bathrooms, and a layout without stairs. The residence has been updated with travertine flooring in the main living areas, new carpet in the bedrooms, crown molding, recessed lighting, and fresh interior paint. A remodeled kitchen includes granite countertops, knotty alder cabinetry, a walk-in pantry, and GE appliances, with direct connection to the dining area and private patio.
Both bathrooms feature granite counters, Moen brushed-nickel fixtures, and Kohler toilets. The primary bedroom includes a walk-in closet, while the office and patio have new ceiling fans. A new A/C system is installed with a 10-year compressor warranty. Community amenities include a heated pool and spa, with roofing and landscaping maintained by the HOA. The property is located in Fountain Hills near Fountain Park, golf courses, dining, hiking trails, and local art festivals.
Both bathrooms feature granite counters, Moen brushed-nickel fixtures, and Kohler toilets. The primary bedroom includes a walk-in closet, while the office and patio have new ceiling fans. A new A/C system is installed with a 10-year compressor warranty. Community amenities include a heated pool and spa, with roofing and landscaping maintained by the HOA. The property is located in Fountain Hills near Fountain Park, golf courses, dining, hiking trails, and local art festivals.
Key Highlights
- Two‑bedroom, two‑bath corner condominium in a lower‑level, no‑stairs setting
- New A/C system with a 10‑year compressor warranty
- Remodeled kitchen with granite counters, knotty alder cabinetry, pantry, and GE appliances
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$9,762
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
2.97%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$195,240
$195.2K
Cap Rate 7%
$139,457
$139.5K
Cap Rate 9%
$108,467
$108.5K
Market Conditions
NOI Build-Up for 865 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$18.7K $21.60/SF
− Vacancy
−$934 −$1.08/SF
EGI
$17.7K $20.52/SF
− OpEx
−$8.0K −$9.23/SF
NOI
$9.8K $11.29/SF
Area
Maricopa County, AZ
Vacancy
5.00%
Lease Rate
$21.60 /SF/Yr
Expense Ratio
45.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$195,240
Cap Rate 7%
$139,457
Cap Rate 9%
$108,467
Alternative Uses
Best Use
Apartment 5plus
$139.5K
$122.0K – $162.7K
NOI $9,762 @ 7.0% cap · market cap 2.97%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$267.6K
$234.1K – $312.2K
NOI $18,730 @ 7.0% cap · market cap 5.69%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Residential units
Location Intelligence
Trade Area within ½ mile
869
Businesses Nearby
Explore this area
Business Placement
Demographics for 85268, AZ
24,031
Population
13,429
Households
1.8
Avg Household Size
61
Median Age
50%
College-Educated
97%
High-School Grad
20.5 sq mi
ZIP Area
1,172
Density / Sq Mi
$105,288
Median Household Income
$55,054
Median Earnings
$1,781
Median Rent
$576,700
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Residential income property - Two-bedroom, two-bath corner condominium with a lower-level layout, private patio, and remodeled kitchen.
Where is this residential income property located?
The property is located at 16657 E GUNSIGHT Drive 181 Fountain Hills, AZ.
What is the asking price?
The asking price for this property is $329,000.
What are key features of this property?
This property features: Two‑bedroom, two‑bath corner condominium in a lower‑level, no‑stairs setting; New A/C system with a 10‑year compressor warranty; Remodeled kitchen with granite counters, knotty alder cabinetry, pantry, and GE appliances
