127 Drake Rd

South Lansing, NY 14882

$199,799C+

4 bd · 1.0 ba · 1,067 sqft · Built 1930 · SingleFamily · Pending · 242 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $2,402/mo
• Mortgage (P&I): −$1,048
• Tax + insurance: −$585
• HOA: −$0
• Vac / Maint / Mgmt: −$504
• Net cashflow: $265/mo
• Annual: $3,178/yr
• Cap rate: 7.88%
• Cash-on-cash: 5.68%
• DSCR: 1.25
• 1% rule: 1.20%
• Cash to close: $55,944

Investor read

• This is a 4-bed/1.0-bath single-family listed at $200k.
• At list price, monthly cash flow is $265 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($2k rent vs $200k).
• It's been on market 242 days — a 12% lower offer ($176k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $176k (12.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $1k of loan paydown is wiped out by about $6k of value loss. Plan a longer hold.
• Location reads: area grade C — affects rentability + tenant quality, not the cash-flow math above.
• Lansing Central School District (rural): math 53% / reading 62% proficiency, ranked #244 of 590 in NY (top 41%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease; only 19% free/reduced lunch — higher-income household profile.
• Zoned schools: Raymond C Buckley Elementary School (math 37% / reading 67%, grade C-, #988 of 2,108 statewide, top 49%, 405 students, 32% FRL); Lansing Middle School (math 47% / reading 60%, grade C+, #228 of 729 statewide, top 31%, 366 students, 33% FRL); Lansing High School (math 98% / reading 70%, grade A, #409 of 1,100 statewide, top 39%, 383 students, 30% FRL).
• Watch-outs: property tax is 3.0% of price; built in 1930 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 29 active listings in the ZIP; 382 units permitted in Tompkins County in 2024 (208 in 5+ unit buildings).
• Tompkins County population projected at +17% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• Cap rate 7.9% vs local median 2.2% in South Lansing — 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.

Questions for listing agent

• It's been on market 242 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Built in 1930 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Property tax is high relative to price — has the assessment been appealed recently, and will the sale trigger a re-assessment?
• 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.
• 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.
• How much new for-sale + rental construction is in the pipeline within 1–3 miles? Heavy new supply typically softens prices + rents 12–24 months out; constrained supply supports both.