What should I actually pay for this rental?

Work backwards from your goal, not the seller's list price. Start at the breakeven price — where rent exactly covers every cost, the mortgage included — then lower it for each dollar of monthly cash flow you want. A lender's DSCR floor (typically 1.25), and for cash buyers a minimum acceptable return, cap the price further. The Deal Analyzer solves this maximum offer for a 1–4 unit Florida long-term rental.

DSCR (debt-service coverage ratio) is the property's net operating income divided by its mortgage payment. Lenders require a cushion — typically 1.20 to 1.25 — before they will fund a deal, so they won't lend all the way to breakeven, where coverage sits near 1.0. That floor caps your financed offer at the price where coverage meets your lender's minimum.

Florida caps how fast a property's assessed value can rise while one owner holds it, but a sale resets that cap: the property is reassessed to roughly your purchase price the January after closing. The tax figure the seller or county quotes reflects the seller's old, capped basis — your year-one bill, especially on a non-homestead investment property, is typically far higher. The analyzer estimates the tax you'll actually owe.

No. It gives a broker-reviewed investment estimate for informational purposes only — it is not an appraisal, a tax opinion, or a loan commitment. Confirm tax, insurance, and lender figures with the Martin County Property Appraiser, a licensed insurer, and your lender, and consult a licensed real estate broker before writing an offer.