8794 15th Ave

New York, NY 11228

$3,058,000F

35 bd · 20.0 ba · 18,720 sqft · Built 1916 · MultiFamily · Active · 12 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $11,211/mo
• Mortgage (P&I): −$16,036
• Tax + insurance: −$5,200
• HOA: −$0
• Vac / Maint / Mgmt: −$2,354
• Net cashflow: $-12,379/mo
• Annual: $-148,552/yr
• Cap rate: 1.44%
• Cash-on-cash: -17.35%
• DSCR: 0.23
• 1% rule: 0.37%
• Cash to close: $856,240

Investor read

• This is a 3 × 12-bed/?-bath units multifamily listed at $3.06M. Condition is rated fair.
• At list price, monthly cash flow is $-12k ($-149k/yr) — negative. Per door: $-4k/mo.
• To cash-flow at today's rent, offer at most $942k (69.2% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $1.12M (63.3% below list).
• Only 12 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $942k (69.2% below list) — sets the bar for cash-flow.
• Local home prices are declining (-3.0%/yr); year-one equity from $21k of loan paydown is wiped out by about $92k of value loss. Plan a longer hold.
• 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: Ps 229 Dyker (math 67% / reading 78%, grade A, #375 of 2,108 statewide, top 18%, 1,144 students, 64% FRL); Christa Mcauliffe School (The) /Is 187 (math 94% / reading 96%, grade A+, #3 of 729 statewide, top 0%, 928 students, 76% 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 1916 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents rising fast (+8.0%/yr); 268 active listings in the ZIP; solid renter incomes; 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.
• 2 sale attempts with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• Current owner paid $150k; list at $3.06M implies a 1939% gain — meaningful room to come down on a strong offer.
• Climate carrying-cost: moderate flood risk; major wind risk, 68% chance of damaging wind over 30y; extreme-heat days projected 7→16/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 1.4% vs local median 2.6% in New York — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.
• At $3,737/mo per unit this rent would consume 54% of the median local household income ($84k/yr) (locally 16% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

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?
• 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 1916 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• 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?

Repairs flagged (vision-AI assessment)

• Major: roof — The roof appears to be in poor condition, indicating a major repair is needed.
• Moderate: exterior walls — The exterior walls show signs of wear, indicating a moderate repair is needed.
• Moderate: HVAC system — The HVAC system appears to be in fair condition, but further inspection is needed to determine the extent of the repair needed.