Five-Unit Apartment
For Sale
$574,900
671 HIGHLAND Way, Hagerstown, MD 21740
MULTI_FAMILY - Victorian, Colonial - HAGERSTOWN, MD
Property Size4,666 SF
Lot Size0.58 Acres
Price / SF$123.21
Days on Market48
Property Features for 671 HIGHLAND Way
General Information
Property type
Residential Multi Family
Property subtype
Other
Rooms
Basement
Parking
10
Parking features
Driveway
Elementary school district
WASHINGTON COUNTY PUBLIC SCHOOLS
Middle school district
WASHINGTON COUNTY PUBLIC SCHOOLS
High school district
WASHINGTON COUNTY PUBLIC SCHOOLS
Standard status
Active
Size
4,666 SF
Lot size
0.58 Acres
Taxes and HOA fees
Tax Annual Amount
4960
Utilities
Heating system
Hot Water(Heating)
Cooling system
Window Unit(s)
Building Details
Year built
1900
Number of units
4
Building materials
Brick
Architectural style
Victorian, Colonial
Listing Agency:
Real Estate Innovations · Coldwell Banker Real Estate
(301) 745-1500
Listed By:
Alice J Guy · License #80505
(717) 977-9031
Added: Jul 8
Changed: Aug 14
Last Checked: Aug 24 at 1:06AM
MLS# MDWA2038430
Copyright © 2026 Bright 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 Victorian/Colonial-style five-unit apartment building totals 4,666 square feet on a 0.58-acre lot. The property is presented as having five units fully rented. According to the listing remarks, all leases are yearly except for one unit that is month-to-month, and the ownership has remained the same for years. New rear steps are being installed now.
The property is located at 671 Highland Way in Hagerstown, Washington County, Maryland. The listing also notes it is within walking distance of Hagerstown City Park.
For buyers seeking a small multifamily asset with in-place occupancy, this building’s current leasing structure may support straightforward operations. With four units on yearly leases and one unit on a month-to-month arrangement, the tenancy mix can offer a blend of lease stability and short-term flexibility. Buyers should confirm all lease terms, unit details, and scheduled improvements directly with the broker before touring.
The property is located at 671 Highland Way in Hagerstown, Washington County, Maryland. The listing also notes it is within walking distance of Hagerstown City Park.
For buyers seeking a small multifamily asset with in-place occupancy, this building’s current leasing structure may support straightforward operations. With four units on yearly leases and one unit on a month-to-month arrangement, the tenancy mix can offer a blend of lease stability and short-term flexibility. Buyers should confirm all lease terms, unit details, and scheduled improvements directly with the broker before touring.
Key Highlights
- Brick Victorian/Colonial multi‑unit building with 5 fully rented units
- 9% cap rate reported; all leases are yearly except one month‑to‑month
- Heating: hot water; cooling: window units
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
$43,913
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
7.64%
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%
$878,260
$878.3K
Cap Rate 7%
$627,329
$627.3K
Cap Rate 9%
$487,922
$487.9K
Market Conditions
NOI Build-Up for 4,666 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
$85.7K $18.36/SF
− Vacancy
−$5.8K −$1.25/SF
EGI
$79.8K $17.11/SF
− OpEx
−$35.9K −$7.70/SF
NOI
$43.9K $9.41/SF
Area
Washington County, MD
Vacancy
6.80%
Lease Rate
$18.36 /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%
$878,260
Cap Rate 7%
$627,329
Cap Rate 9%
$487,922
Alternative Uses
Best Use
Apartment 5plus
$627.3K
$548.9K – $731.9K
NOI $43,913 @ 7.0% cap · market cap 7.64%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.04M
$905.6K – $1.21M
NOI $72,451 @ 7.0% cap · market cap 12.60%
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
Location Intelligence
Trade Area within ½ mile
412
Businesses Nearby
Explore this area
Business Placement
Demographics for 21740, MD
65,619
Population
27,002
Households
2.4
Avg Household Size
39
Median Age
20%
College-Educated
86%
High-School Grad
70.9 sq mi
ZIP Area
926
Density / Sq Mi
$59,410
Median Household Income
$42,159
Median Earnings
$1,031
Median Rent
$241,600
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Five units are fully rented, with yearly leases in place and new rear steps currently being installed.
Where is this apartment building located?
The property is located at 671 HIGHLAND Way Hagerstown, MD.
What is the asking price?
The asking price for this property is $574,900.
What are key features of this property?
This property features: Brick Victorian/Colonial multi‑unit building with 5 fully rented units; 9% cap rate reported; all leases are yearly except one month‑to‑month; Heating: hot water; cooling: window units
