11 Laverack Ave

Depew, NY 14086

$319,900B+

8 bd · 4.0 ba · 4,430 sqft · Built 1900 · MultiFamily · Active · 121 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $5,727/mo
• Mortgage (P&I): −$1,678
• Tax + insurance: −$625
• HOA: −$0
• Vac / Maint / Mgmt: −$1,203
• Net cashflow: $2,222/mo
• Annual: $26,663/yr
• Cap rate: 14.63%
• Cash-on-cash: 29.77%
• DSCR: 2.32
• 1% rule: 1.79%
• Cash to close: $89,572

Investor read

• This is a 4 × 2-bed/1.0-bath units multifamily listed at $320k.
• At list price, monthly cash flow is $2k ($27k/yr) — positive. Per door: $555/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($6k rent vs $320k).
• It's been on market 121 days — a 12% lower offer ($282k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $282k (12.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $10k of value loss. Plan a longer hold.
• Location reads 71/100 on livability (#408 in NY) — a middle-class / working-renter tenant base. Strengths: housing A+, cost of living A-, health & safety A-; Watch: crime F, amenities F, commute F.
• Depew Union Free School District (suburban): math 39% / reading 50% proficiency, ranked #461 of 590 in NY (top 78%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Cayuga Heights Elementary School (math 22% / reading 32%, grade F, #1,786 of 2,108 statewide, top 86%, 864 students, 41% FRL); Depew Middle School (math 27% / reading 47%, grade F, #448 of 729 statewide, top 63%, 427 students, 49% FRL); Depew High School (math 92% / reading 98%, grade A+, #93 of 1,100 statewide, top 10%, 545 students, 50% FRL).
• Watch-outs: built in 1900 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 153 active listings in the ZIP; solid renter incomes; 1,244 units permitted in Erie County in 2024 (563 in 5+ unit buildings).
• 2 sale attempts since 5y ago; this cycle's ask has dropped $30k (9%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $205k; list at $320k implies a 56% gain — meaningful room to come down on a strong offer.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $90k cash investment doubles in ~5 years — after that, you're playing with house money.
• Cap rate 14.6% vs local median 3.7% in Depew — 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 $5,727/mo this rent would consume 69% of the median local household income ($99k/yr) (locally 513% 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 121 days. Have you received any prior offers? Is the seller open to a 12% 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?
• Built in 1900 — 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 B-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
• 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?