14038 Rosewood Ln

This property stands out as a rare lakefront offering in Clearlake with two attached apartments, enabling multi-unit rental or owner-plus-STR configurations. The combination of private waterfront access, panoramic views, and a large, flexible floor plan positions it well for premium nightly rates and year-round demand from vacationers. Underwriting metrics indicate high cash flow potential and a strong projected cash-on-cash return, making it attractive for investors seeking income and asset appreciation. The primary caveat is that the investment thesis relies on maintaining above-average occupancy and ADR, which should be validated against local STR regulations and market trends.

Clearlake, CA is a recognized destination for lakefront recreation, attracting both vacationers and second-home buyers. The property type—a large, multi-unit lakefront home—caters to group stays and families, aligning with STR demand patterns in the region. While the market supports premium pricing for waterfront access, investor returns will depend on the ability to capture consistent bookings and manage operational costs. The high-confidence underwriting metrics suggest strong income potential, but market volatility and regulatory factors should be monitored.

The property is situated in a prime lakefront location, offering direct water access and scenic views, which are key drivers of guest appeal for STRs in Clearlake. The area is characterized by a mix of vacation homes and year-round residences, with proximity to dining, shopping, and recreational amenities. While detailed neighborhood demand signals are limited, the waterfront setting and flexible layout are likely to attract a broad range of guests, though conclusions about seasonality and competition are moderate-confidence due to limited granular data.

At a $699,000 purchase price, underwriting projects a monthly STR income of $8,909 and cash flow of $3,184, with an estimated cash-on-cash return of 27.3%. These figures are based on an estimated ADR of $505, 58% occupancy, 25% expense ratio, and 20% down payment at a 6.4% interest rate. The analysis assumes no management fee, which may not reflect all investor scenarios. The investment case is strong if these assumptions hold, but returns are sensitive to occupancy and nightly rate performance, and investors should validate local STR regulations and operational feasibility during diligence.