Skip to content

Head-to-Head

The three markets’ best representative live deals, run through the identical pro-forma (7.0% rate, 18% management, market-specific taxes, full cost stack). This one table is the report in miniature.

Duck Corolla Nags Head
Property 110 Station Bay Dr 1469 Ocean Pearl Rd 6927 S Va Dare Trail
Tier 4BR oceanfront 10BR oceanfront 8BR oceanfront
Price $1,799,000 $2,250,000 $2,550,000
Gross rent (proj.) ~$120,000 $215,000 ~$271,000
ERP 6.7% 9.6% 10.6%
Cost stack −$64.4k −$96.5k −$107.3k
NOI $55.6k $118.6k $163.7k
Unlevered yield 3.1% 5.3% 6.4%
vs. 8.0% constant deep negative negative mild negative
Cash flow @ 20% down −$4,940/mo −$2,100/mo ≈ +$70/mo
Down for cost-neutral ~61% ~34% ~20%

HIGH on prices/taxes (verified live) · MED on gross-rent projections (advertised, not booked actuals; Duck’s is a market estimate).

  1. The verdict tracks ERP almost perfectly. As ERP climbs 6.7% → 9.6% → 10.6%, the down payment for cost-neutral falls 61% → 34% → 20%. Yield is destiny.

  2. The most expensive house is the easiest to break even on. The $2.55M Nags Head home is cost-neutral at ~20% down; the $1.8M Duck home needs ~61%. Price is not the obstacle — yield is. A newcomer’s instinct (“buy cheaper to break even”) is exactly backwards.

  3. “Nice place to be” has a price. Duck’s premium — the very thing that makes it lovely — is what buries its yield. You’re paying, in required equity, for quiet and prestige.

  4. Only the value-market, high-bedroom oceanfront clears the bar at normal leverage. Everything else is a “bring more equity or subsidize it” decision.

Nags Head’s near-neutral result rests on a $271k agent projection — haircut it 15% to ~$230k and the down payment for neutral rises toward ~30%. That’s still dramatically better than Duck, and it’s the right way to underwrite: the ranking is robust even if the absolute numbers soften. Buy yield, demand real booking history, and treat projections as sales copy.

Dig into any of them: Duck models → · Corolla models → · Nags Head models →.