1312 Butternut St #20

Syracuse, NY 13208

$3,645,000B+

45 bd · None ba · 15,717 sqft · Built 1960 · MultiFamily · Active · 80 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $56,340/mo
• Mortgage (P&I): −$19,115
• Tax + insurance: −$3,692
• HOA: −$0
• Vac / Maint / Mgmt: −$11,831
• Net cashflow: $21,702/mo
• Annual: $260,424/yr
• Cap rate: 13.44%
• Cash-on-cash: 25.52%
• DSCR: 2.14
• 1% rule: 1.55%
• Cash to close: $1,020,600

Investor read

• This is a 45-bed/?-bath multifamily listed at $3.65M.
• At list price, monthly cash flow is $22k ($260k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($56k rent vs $3.65M).
• It's been on market 80 days — a 6% lower offer ($3.43M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $3.43M (6.0% below list) — sets the bar for market timing.
• In year one you build about $390k of equity ($25k loan paydown + $364k appreciation (10.0% local appreciation)).
• Location reads 77/100 on livability (#187 in NY, #2,869 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, commute A+, cost of living A+; Watch: schools D+, crime F, employment D-.
• Syracuse City School District (urban): math 18% / reading 26% proficiency, ranked #590 of 590 in NY (top 100%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 74% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: 99 active listings in the ZIP; lower-income renter base — watch delinquency; 616 units permitted in Onondaga County in 2024 (256 in 5+ unit buildings).
• Onondaga County population projected to shrink 9% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• Current owner paid $2.25M; list at $3.65M implies a 62% gain — meaningful room to come down on a strong offer.
• At projected returns (10.0% appreciation + 3.0% rent growth), your $1.02M cash investment doubles in ~2 years — after that, you're playing with house money.
• By year 2, paydown + projected appreciation supports a ~$626k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Cap rate 13.4% vs local median 8.2% in Syracuse — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.
• At $56,340/mo this rent would consume 1512% of the median local household income ($45k/yr) (locally 1437% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• It's been on market 80 days. Have you received any prior offers? Is the seller open to a 6% concession, seller financing, or rate buy-down credit?
• Built in 1960 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
• What's the average days-on-market for RENTAL listings here right now (not sales)? A rising rental-DOM trend means longer vacancies and softer asking-rent achievability than the comps imply.
• What's the recent tenant-quality profile in this submarket — average credit score on applications, eviction rate, late-payment / NSF rate, and stable-employment percentage? A property-management company in the area should have these aggregated.