Real Numbers: From Tax Deed to Turnkey Rental in Orlando

A real case study: $198,100 tax deed + $120K permitted rehab = 7.1% cash-on-cash free and clear today, 18-23%/yr with appreciation

Sep 28, 2026

A $198,100 tax deed buy plus a $120,000 fully-permitted, ground-up renovation turned a distressed house into a rent-ready home generating a 7.1% cash-on-cash return free and clear today — and a projected 18%+ average annual return if held and sold in 2, 5, or 10 years. Here's exactly how the numbers work, using real figures from this deal.

Deal Snapshot

Orange Center Blvd, Orlando, FL 32805 (Clear Lake / Washington Shores area, Cooks Manor subdivision) — a 1968-built, ~1,526 sq ft home on a 0.21-acre lot, 2-car garage, acquired through an Orange County tax deed sale.

The Renovation — What $120K Rebuilt

This wasn't a paint-and-carpet flip. It was rebuilt from the ground up, permitted every step of the way, and brought to 2026 Florida building code:

New underground plumbing
New roof
New impact windows and doors
New electrical, panel to fixtures
New A/C system with all-new ductwork
New flooring throughout
Fully rebuilt kitchen — granite counters, soft-close cabinetry, stainless appliances
Rebuilt bathrooms, new fixtures
New drywall and interior/exterior paint
Block and concrete work on the garage and porch
New garage door, soffit, and landscaping

Every trade pulled a permit and passed final inspection — this home carries a clean, fully-permitted renovation history, not undocumented work that creates title and insurance problems down the road.

The Income Today — Owned Free and Clear

The home is leased for $2,600/month on a signed 2-year lease. Here's what that produces held free and clear, using the actual current insurance quote, the actual 2026 county tax bill, and a 10% property management fee.

Cash-on-cash return today: 7.1% — that's the return on the full $319,497 all-in basis, from rent alone, before a dollar of appreciation. No mortgage, no leverage risk, no bank to answer to.

Exit Scenarios — 2, 5, and 10-Year Holds

You asked to sell in 2 years at $450,000. That implies about 6% annual appreciation off today's $400,000 ARV — I carried that same pace forward to model the 5- and 10-year holds. Selling costs assume 7% of sale price (commission + closing).

All three scenarios are measured against the same $319,497 all-cash basis — no refinance, no added capital along the way. Total Net Profit = net sale proceeds minus total cash invested, plus every dollar of rental cash flow collected during the hold.

Assumptions Behind These Numbers

Purchase price, rehab spend, and closing costs are the actual dollars on this deal — not estimates.
Rent, insurance, and property tax figures are this property's actual current numbers.
Property management modeled at 10% of gross rent.
Appreciation assumed at roughly 6.1% per year, the implied rate between today's $400K ARV and the $450K two-year exit estimate — carried forward for the 5- and 10-year projections.
Selling costs assumed at 7% of sale price (commissions plus closing costs) in every exit scenario.
No debt in this analysis — this is an all-cash, free-and-clear position, so there's no mortgage payment eating into cash flow.
Rent held flat across the hold period with no annual increases, which is a conservative assumption.
Cash flow is added as simple dollars, not reinvested or compounded, to keep the math transparent.

What This Means If You Invest With Me

This is the same process I run on every deal: source it off-market (in this case, straight from the tax deed sale), underwrite it conservatively, execute a fully permitted rehab on budget, and place it with a paying tenant on a signed lease — all before the deal ever gets pitched to an investor.

The numbers above aren't a pro forma. They're a completed deal: bought, renovated, leased, and cash-flowing today. That's the standard I hold every deal to, and it's the same execution I bring to capital partners, whether you're looking to fund a deal as a private lender, come in as an equity partner on a flip or rental, or roll self-directed IRA or 401(k) funds into real estate without ever touching the day-to-day.

If you want to see the next deal before it hits the market, or talk through how a partnership like this could work for you, reach out below.