846 Butternut Rd

Unadilla, NY 13849

$175,000D

3 bd · 2.5 ba · 756 sqft · Built 1985 · Manufactured · Pending · 43 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,160/mo
• Mortgage (P&I): −$918
• Tax + insurance: −$389
• HOA: −$0
• Vac / Maint / Mgmt: −$244
• Net cashflow: $-390/mo
• Annual: $-4,686/yr
• Cap rate: 3.62%
• Cash-on-cash: -9.56%
• DSCR: 0.57
• 1% rule: 0.66%
• Cash to close: $49,000

Investor read

• This is a 3-bed/2.5-bath manufactured listed at $175k.
• At list price, monthly cash flow is $-390 ($-5k/yr) — negative.
• To cash-flow at today's rent, offer at most $106k (39.4% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $116k (33.7% below list).
• It's been on market 43 days — a 3% lower offer ($170k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $106k (39.4% below list) — sets the bar for cash-flow.
• In year one you build about $19k of equity ($1k loan paydown + $18k appreciation (10.0% local appreciation)).
• Location reads 60/100 on livability (#950 in NY) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: health & safety C-, employment D, crime F.
• Otego-Unadilla Central School District (rural): math 35% / reading 39% proficiency, ranked #547 of 590 in NY (top 93%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Unadilla Elementary School (math 27% / reading 37%, grade F, #1,646 of 2,108 statewide, top 80%, 348 students, 46% FRL); Unatego Middle School (math 22% / reading 37%, grade F, #550 of 729 statewide, top 77%, 188 students, 47% FRL); Unatego Junior-Senior High School (math 95% / reading 90%, grade A+, #153 of 1,100 statewide, top 14%, 250 students, 40% FRL).
• Zoned-school proficiency averages 51% at this address vs 37% district-wide (+14 pts) — the actual schools serving this property are materially stronger than the Otego-Unadilla Central School District average implies; a family-tenant draw the district grade alone would hide.
• Market conditions: 36 active listings in the ZIP; 133 units permitted in Otsego County in 2024 (10 in 5+ unit buildings).
• Otsego County population projected at -21% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• By year 2, paydown + projected appreciation supports a ~$30k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Cap rate 3.6% vs local median 5.5% in Unadilla — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.

Questions for listing agent

• What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
• It's been on market 43 days. Have you received any prior offers? Is the seller open to a 39% concession, seller financing, or rate buy-down credit?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are F-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?
• The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?
• 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.