1203 8th Ave

New York, NY 11215

$2,400,000D-

16 bd · 8.0 ba · 6,712 sqft · Built 1920 · MultiFamily · Active · 77 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $11,935/mo
• Mortgage (P&I): −$12,586
• Tax + insurance: −$4,000
• HOA: −$0
• Vac / Maint / Mgmt: −$2,506
• Net cashflow: $-7,157/mo
• Annual: $-85,887/yr
• Cap rate: 2.71%
• Cash-on-cash: -12.78%
• DSCR: 0.43
• 1% rule: 0.50%
• Cash to close: $672,000

Investor read

• This is a 5 × 3-bed/?-bath units multifamily listed at $2.40M. Condition is rated fair.
• At list price, monthly cash flow is $-7k ($-86k/yr) — negative. Per door: $-1k/mo.
• To cash-flow at today's rent, offer at most $1.36M (43.2% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $1.19M (50.3% below list).
• It's been on market 77 days — a 6% lower offer ($2.26M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $1.19M (50.3% below list) — sets the bar for 1% rule.
• In year one you build about $257k of equity ($17k loan paydown + $240k appreciation (10.0% local appreciation)).
• Location reads 75/100 on livability (#268 in NY, #4,188 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, commute A+, health & safety A; Watch: crime F, cost of living F.
• Zoned schools: Elm Tree Elementary School (math 27% / reading 52%, grade F, #1,444 of 2,108 statewide, top 71%, 806 students, 94% FRL); Ms 51 William Alexander (math 67% / reading 92%, grade A+, #32 of 729 statewide, top 5%, 1,026 students, 61% FRL); Midwood High School (math 94% / reading 96%, grade A+, #83 of 1,100 statewide, top 8%, 4,062 students, 73% FRL).
• Watch-outs: built in 1920 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents rising fast (+5.7%/yr); 349 active listings in the ZIP; high-income renter base; 10,063 units permitted in Kings County in 2024 (9,789 in 5+ unit buildings).
• Kings County population projected at +13% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• By year 2, paydown + projected appreciation supports a ~$412k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wind risk, 65% chance of damaging wind over 30y; extreme-heat days projected 7→14/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• This rent per unit is only 15% of the median local income ($186k/yr) — well below the 30% rent-burden line; pricing power to push rent on renewal without tenant pushback.

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 77 days. Have you received any prior offers? Is the seller open to a 50% concession, seller financing, or rate buy-down credit?
• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1920 — 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.

Repairs flagged (vision-AI assessment)

• Moderate: kitchen cabinets — dated and in need of updating
• Minor: bathroom fixtures — standard fixtures
• Minor: flooring — tiled floors in need of fresh paint