HypeCity Intelligence · Developer Report · print with Cmd/Ctrl+P to save as PDF interactive version · all B2B tools
Sourced underwriting · every figure cites its legal source

Midtown Arts District — Raleigh, NC, USA

Developer Report · generated 2026-10-10 · buyer profile: nonresident foreign individual, direct ownership
Assumptions used: purchase price $400,000; 5-year hold; exit at $400,000 (no-appreciation assumption unless overridden); expected rent $26,000/yr (estimated from the neighborhood’s recorded rental yield — editable, not a sourced figure). Change any of these on the interactive page.
All-in acquisition cost
$800
0.20% of price, on top of it
Recurring cost / year
$2,860
Yield after tax, before operating costs
4.79%
rent assumption estimated from neighborhood yield
Exit cost
$21,600
Total cost of ownership (5y)
$56,633

This figure counts taxes, government fees and agent commissions only. It excludes operating costs: insurance, HOA or service charge, property management, maintenance and vacancy. Those are building-level commercial terms rather than public record, so they cannot carry a primary source, and this product does not print numbers it cannot cite.

True cost of ownership — itemised

At acquisition

ItemAmountSource
Land transfer / deed tax
North Carolina excise (revenue stamps): $1 per $500 = 0.20%; transferor (seller) pays before recording.
$800 N.C.G.S. §105-228.30 (as of 2026-07-23)
Mansion / luxury transfer tax Not available — no sourced figure —
Buyer's agent commission
Traditionally the US buyer paid no direct agent commission (the seller-paid total covered both sides).
$0 Federal Reserve Board — FEDS Note: Commissions and Omissions (NAR settlement mechanics) (as of 2026-07-20)
Legal / closing costs Not available — no sourced figure —

Every year of ownership

ItemAmountSource
Annual property tax (county effective rate)
ACS-derived EFFECTIVE property-tax rate for this county: median real-estate taxes paid (ACS table B25103, $3,023) divided by median owner-oc…
$2,860 US Census Bureau — ACS 5-Year Estimates 2023 (tables B25103 median real estate taxes paid, B25077 median home value) (as of 2023-12-31)

On rental income

ItemAmountSource
Rental income tax (federal)
§871(d) election: NRA may elect to treat US rental income as effectively connected, taxing NET income (after expenses/depreciation) at ordin…
$2,882 IRS — Taxation of nonresident aliens (as of 2026-07-20); IRS — FDAP income (W-8ECI mechanism) (as of 2026-07-20); IRS — Federal income tax rates and brackets (as of 2026-07-20)
Rental income tax (state)
North Carolina flat 4.25% (TY2025) on net NC-source rental income.
$1,105 NCDOR — Tax Rate Schedules (as of 2026-07-23)

At exit

ItemAmountSource
Capital gains tax (federal)
Under IRC §897 (FIRPTA), gain on a foreign person's disposition of US real property is treated as effectively connected income taxed at LTCG…
$0 IRS — Topic No. 409, Capital gains and losses (as of 2026-07-20); IRS — Definitions of terms and procedures unique to FIRPTA (as of 2026-07-20); Legal Information Institute — 26 U.S. Code §897 (as of 2026-07-20)
Capital gains tax (state)
North Carolina taxes the gain as ordinary income at the TY2025 flat 4.25% (scheduled to fall to 3.99% after 2025).
$0 NCDOR — Tax Rate Schedules (as of 2026-07-23)
Seller's agent commission
US total real-estate commission, encoded from the Federal Reserve's CoreLogic-MLS study: buyer's-agent side averages ~2.7% nationally, and t…
$21,600 Federal Reserve Board — FEDS Note: Commissions and Omissions: Trends in Real Estate Broker Compensation (May 2025, CoreLogic MLS data) (as of 2026-07-20)
Withholding at closing on the sale Not applicable — North Carolina has NO closing withholding on real-estate sale proceeds — only an information return (Form NC-1099NRS) filed by the buyer wit… NCDOR — Important Notice: Form NC-1099NRS (as of 2026-07-23)
State withholding at closing Not available — no sourced figure —

Thresholds & informational

ItemAmountSource
US estate-tax exposure (non-resident)
US estate tax exposure for NRA holding US real estate directly (IRC §§2101-2108): exemption is effectively $60,000 of US-situated assets ($1…
Threshold: $60,000 IRS — Some nonresidents with U.S. assets must file estate tax returns (as of 2026-07-20); IRS — Instructions for Form 706-NA (as of 2026-07-20); IRS — Estate tax for nonresidents not citizens of the United States (as of 2026-07-20)
Tax-treaty caveat
The US has income-tax treaties with ~65 countries and estate/gift-tax treaties with ~15; a treaty can lower the 30% gross rental withholding…
treaty_dependent IRS — United States income tax treaties A to Z (as of 2026-07-20); IRS — Estate & gift tax treaties (international) (as of 2026-07-20)

Not yet sourced for this jurisdiction: tax.luxury_property_pct, cost.closing_pct, tax.income_tax_on_transfer_pct — shown as gaps above, never guessed.

Permitting & construction timelines

This city does not publish permit-level application-and-issuance dates in a free public feed — a city-level issuance median cannot be computed honestly, so none is shown.

Construction timeline benchmark (South region, 2025): permit → start 1.5 mo single-family / 2.8 mo multifamily; start → completion 6.6 mo / 14.7 mo.
South Census region average, 2025 — the finest geography this survey publishes · US Census Bureau & HUD, Survey of Construction — Length of Time tables (2025 annual) (as of 2026-07-25)

Registry evidence

No active registry watch covers this neighborhood yet — registry-level sale evidence (county recorder / land-department feeds) is shown only where a live watch exists, never estimated.

Legislation watch

Closed-comp benchmark

Fewer than 5 usable closed transactions on record for this neighborhood — no benchmark is computed from a thin sample.

This is one deal on one date. Tell us where you hold and we will run your own jurisdictions, or see what has already moved in the ones you underwrote.