Three-Bedroom Duplex Investment
For Sale
$495,000
425 Pearce Avenue, Wake Forest, NC 27587
Residential Income, Wake Forest, NC
Property Size2,721 SF
Lot Size0.91 Acres
Price / SF$181.92
Days on Market211
Property Features for 425 Pearce Avenue
General Information
Property type
Residential Multi Family
Property subtype
Duplex
Zoning
UR
Bedrooms
6
Bathrooms
4
Full bathrooms
4
Rooms
Bedroom 4, Bedroom 3, Bathroom 1, Bathroom 3, Bathroom 4, Bedroom 6, Bedroom 5, Bedroom 1, Bedroom 2, Bathroom 2
Parking features
Driveway, Open
Patio and Porch features
Patio, Porch
Interior features
Ceiling Fan(s), Laminate Counters, Open Floorplan
Appliances
Dishwasher, Electric Range, Free-Standing Electric Range, Range
Subdivision
Not in a Subdivision
Elementary school
Wake - Heritage Elementary
Middle school
Wake - Heritage Middle
High school
Wake - Wake Forest High School
Standard status
Active
APN
184119614694000 0325145
Size
2,721 SF
Lot size
0.91 Acres
Taxes and HOA fees
Tax Year
2025
Tax Description
Lo3 Todd Fields & Joe Seigler Bm2001-00333
Tax Annual Amount
4146
Legal Description
Lo3 Todd Fields & Joe Seigler Bm2001-00333
Utilities
Sewer type
Public Sewer
Heating system
Heat Pump (Heating)
Cooling system
Heat Pump, Central Air
Water source
Public
Building Details
Year built
2003
Floors in Building
2
Number of units
2
Flooring type
Wood, Hardwood, Carpet, Linoleum, Vinyl
Building materials
Vinyl Siding
Roof type
Shingle
Listing Agency:
Coldwell Banker Advantage · Coldwell Banker Real Estate
(919) 847-2222
Listed By:
Melissa Gordon
(919) 614-6878
Added: Jan 21
Changed: Aug 19
Last Checked: Aug 20 at 9:06PM
MLS# 10142426
Copyright © 2026 Doorify MLS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This duplex-focused offering includes two fully leased duplexes and one tenant-occupied single-family home. The combined offering comprises three parcels totaling approximately 1.67 acres. Each duplex contains spacious 3-bedroom, 2-full-bath units with two bedrooms on the main level and one bedroom upstairs, designed to serve a broad range of tenants.
The duplex located on a nearly 1 acre lot provides access to Pearce Avenue and currently shares a driveway with the neighboring duplex. The properties are zoned UR (Urban Residential). Construction materials include vinyl siding, with a shingle roof, and the homes are served by public water and public sewer.
Built in 2003, the units are heated with heat pump systems and cooled with central air/heat pumps. Interior features include ceiling fans, an open floorplan, and laminate counters. Appliances listed include a dishwasher and electric ranges. One unit has recently been updated with new flooring, cabinets, countertops, appliances, and paint.
The duplex located on a nearly 1 acre lot provides access to Pearce Avenue and currently shares a driveway with the neighboring duplex. The properties are zoned UR (Urban Residential). Construction materials include vinyl siding, with a shingle roof, and the homes are served by public water and public sewer.
Built in 2003, the units are heated with heat pump systems and cooled with central air/heat pumps. Interior features include ceiling fans, an open floorplan, and laminate counters. Appliances listed include a dishwasher and electric ranges. One unit has recently been updated with new flooring, cabinets, countertops, appliances, and paint.
Key Highlights
- Two fully leased duplexes plus one tenant‑occupied single‑family home
- Three parcels totaling approximately 1.67 acres
- UR (Urban Residential) zoning
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
$31,418
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
6.35%
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%
$628,360
$628.4K
Cap Rate 7%
$448,829
$448.8K
Cap Rate 9%
$349,089
$349.1K
Market Conditions
NOI Build-Up for 2,721 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
$47.3K $17.40/SF
− Vacancy
−$2.5K −$0.90/SF
EGI
$44.9K $16.50/SF
− OpEx
−$13.5K −$4.95/SF
NOI
$31.4K $11.55/SF
Area
Wake County, NC
Vacancy
5.20%
Lease Rate
$17.40 /SF/Yr
Expense Ratio
30.00%
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%
$628,360
Cap Rate 7%
$448,829
Cap Rate 9%
$349,089
Alternative Uses
Best Use
Multifamily LT 5
$448.8K
$392.7K – $523.6K
NOI $31,418 @ 7.0% cap · market cap 6.35%
Second Best
Apartment 5plus
$397.9K
$348.2K – $464.2K
NOI $27,854 @ 7.0% cap · market cap 5.63%
Theoretical Best
Specialty Retail
$776.9K
$679.8K – $906.4K
NOI $54,384 @ 7.0% cap · market cap 10.99%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
5
Residential units
100%
Occupancy
Multi-tenant
Tenancy
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
766
Businesses Nearby
Explore this area
Business Placement
Demographics for 27587, NC
76,647
Population
30,571
Households
2.5
Avg Household Size
40
Median Age
56%
College-Educated
96%
High-School Grad
105.1 sq mi
ZIP Area
729
Density / Sq Mi
$125,607
Median Household Income
$59,006
Median Earnings
$1,415
Median Rent
$452,400
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Duplex - Two fully leased duplexes plus a tenant-occupied single-family home in UR zoning with public water and sewer.
Where is this duplex located?
The property is located at 425 Pearce Avenue Wake Forest, NC.
What is the asking price?
The asking price for this property is $495,000.
What are key features of this property?
This property features: Two fully leased duplexes plus one tenant‑occupied single‑family home; Three parcels totaling approximately 1.67 acres; UR (Urban Residential) zoning
