Three-Bedroom Residential Income
For Sale
$399,000
563 Mill Pond Dr 563, San Jose, CA 95125
2017-built home with an open layout, island kitchen, primary suite, and indoor laundry hookups.
Property Size1,573 SF
Price / SF$253.66
Days on Market107
Property Features for 563 Mill Pond Dr 563
General Information
Standard status
Active
Size
1,573 SF
Property subtype
Commercial
Units
Unit Mix
1 x 3BR/2BA
Multifamily Units
1
Amenities
center island
pantry
laminate flooring
vinyl flooring
central heat and A/C
ceiling fans
walk-in closet
dual-sink vanity
indoor laundry hookups
Building Details
Building Size
1,573 SF
Year Built
2017
Listing Agency:
Alliance Manufactured Homes Inc
Listed By:
Alex Chow
(626) 252-1110
Source:
Elliman
Added: May 21
Changed: Aug 30
Last Checked: Aug 31 at 3:35PM
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 Alliance Manufactured Homes Inc
Investment Insights
Based on property information with market context.
This 1,573-square-foot residential income property, built in 2017, offers three bedrooms and two bathrooms within an open floor plan. The kitchen includes a center island with sink, pantry, and ample cabinetry, with direct flow into the family room and adjoining dining area. Laminate and vinyl flooring, central heat and A/C, ceiling fans, and indoor laundry hookups are also included.
The primary suite features a walk-in closet and dual-sink vanity. The home is located at 563 Mill Pond Dr in San Jose, California, within Millpond Mobile Home Park. Walk Score is 63, Bike Score is 75, and Transit Score is 48.
The primary suite features a walk-in closet and dual-sink vanity. The home is located at 563 Mill Pond Dr in San Jose, California, within Millpond Mobile Home Park. Walk Score is 63, Bike Score is 75, and Transit Score is 48.
Key Highlights
- 1,573‑square‑foot home with 3 bedrooms and 2 bathrooms
- Built in 2017
- Open floor plan connecting the kitchen, family room, and dining area
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
$32,821
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
8.23%
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%
$656,420
$656.4K
Cap Rate 7%
$468,871
$468.9K
Cap Rate 9%
$364,678
$364.7K
Market Conditions
NOI Build-Up for 1,573 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
$62.3K $39.60/SF
− Vacancy
−$2.6K −$1.66/SF
EGI
$59.7K $37.94/SF
− OpEx
−$26.9K −$17.07/SF
NOI
$32.8K $20.87/SF
Area
ZIP 95125
Vacancy
4.20%
Lease Rate
$39.60 /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%
$656,420
Cap Rate 7%
$468,871
Cap Rate 9%
$364,678
Alternative Uses
Best Use
Apartment 5plus
$468.9K
$410.3K – $547.0K
NOI $32,821 @ 7.0% cap · market cap 8.23%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$950.0K
$831.2K – $1.11M
NOI $66,499 @ 7.0% cap · market cap 16.67%
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
429
Businesses Nearby
Explore this area
Business Placement
Demographics for 95125, CA
54,000
Population
22,151
Households
2.4
Avg Household Size
41
Median Age
56%
College-Educated
91%
High-School Grad
7.3 sq mi
ZIP Area
7,397
Density / Sq Mi
$148,422
Median Household Income
$77,440
Median Earnings
$2,394
Median Rent
$1,646,000
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Residential income property - 2017-built home with an open layout, island kitchen, primary suite, and indoor laundry hookups.
Where is this residential income property located?
The property is located at 563 Mill Pond Dr 563 San Jose, CA.
What is the asking price?
The asking price for this property is $399,000.
What are key features of this property?
This property features: 1,573‑square‑foot home with 3 bedrooms and 2 bathrooms; Built in 2017; Open floor plan connecting the kitchen, family room, and dining area
