Residential Income
For Sale
$349,900
18881 FORGOTTEN HARBOR COURT #204, Rehoboth Beach, DE 19971
Three-bedroom condominium with vaulted ceilings, a sunroom, split-bedroom design, and attached garage.
Property Size1,880 SF
Days on Market246
Property Features for 18881 FORGOTTEN HARBOR COURT #204
General Information
Standard status
Active
Size
1,880 SF
Total Parking Spaces
1
Property subtype
Apartment
Units
Unit Mix
1 x 3BR/2BA
Multifamily Units
1
Building Details
Building Size
1,880 SF
Year Built
2009
Listing Agency:
Berkshire Hathaway HomeServices PenFed Realty
Listed By:
Lee Ann Wilkinson · License #RA-0002064
(302) 645-6661
Source:
Teamtimmons.kw
Added: Jan 5
Changed: Aug 31
Last Checked: Sep 8 at 3:27AM
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 Berkshire Hathaway HomeServices PenFed Realty
Investment Insights
Based on property information with market context.
This 2009 condominium offers three bedrooms and two bathrooms within an open-concept layout. Vaulted ceilings complement the connected kitchen, dining, and living areas, while an L-shaped sunroom adds flexible interior space and natural light. The split-bedroom arrangement separates the primary suite from two secondary bedrooms, and the primary suite includes a private bathroom and walk-in closet. A one-car garage provides parking and additional storage.
Located in the Woods Cove community at 18881 Forgotten Harbor Court #204 in Rehoboth Beach, the property is close to shopping, dining, and area beaches. The residence combines a defined bedroom layout with low-maintenance condominium living.
Located in the Woods Cove community at 18881 Forgotten Harbor Court #204 in Rehoboth Beach, the property is close to shopping, dining, and area beaches. The residence combines a defined bedroom layout with low-maintenance condominium living.
Key Highlights
- Three‑bedroom, two‑bath condominium built in 2009
- Vaulted ceilings and open kitchen, dining, and living areas
- L‑shaped sunroom provides additional flexible living space
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
$18,468
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
5.28%
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%
$369,360
$369.4K
Cap Rate 7%
$263,829
$263.8K
Cap Rate 9%
$205,200
$205.2K
Market Conditions
NOI Build-Up for 1,880 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
$35.6K $18.96/SF
− Vacancy
−$2.1K −$1.10/SF
EGI
$33.6K $17.86/SF
− OpEx
−$15.1K −$8.04/SF
NOI
$18.5K $9.82/SF
Area
Sussex County, DE
Vacancy
5.80%
Lease Rate
$18.96 /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%
$369,360
Cap Rate 7%
$263,829
Cap Rate 9%
$205,200
Alternative Uses
Best Use
Apartment 5plus
$263.8K
$230.9K – $307.8K
NOI $18,468 @ 7.0% cap · market cap 5.28%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$516.6K
$452.1K – $602.7K
NOI $36,164 @ 7.0% cap · market cap 10.34%
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
512
Businesses Nearby
Explore this area
Business Placement
Demographics for 19971, DE
14,348
Population
16,948
Households
0.8
Avg Household Size
60
Median Age
55%
College-Educated
96%
High-School Grad
18.0 sq mi
ZIP Area
797
Density / Sq Mi
$103,301
Median Household Income
$49,905
Median Earnings
$1,383
Median Rent
$561,300
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Residential income property - Three-bedroom condominium with vaulted ceilings, a sunroom, split-bedroom design, and attached garage.
Where is this residential income property located?
The property is located at 18881 FORGOTTEN HARBOR COURT #204 Rehoboth Beach, DE.
What is the asking price?
The asking price for this property is $349,900.
What are key features of this property?
This property features: Three‑bedroom, two‑bath condominium built in 2009; Vaulted ceilings and open kitchen, dining, and living areas; L‑shaped sunroom provides additional flexible living space
