161-163 Exchange St

Geneva, NY 14456

$119,000B+

6 bd · 2.0 ba · 2,244 sqft · Built 1918 · MultiFamily · Pending · 4 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,226/mo
• Mortgage (P&I): −$624
• Tax + insurance: −$334
• HOA: −$0
• Vac / Maint / Mgmt: −$677
• Net cashflow: $1,591/mo
• Annual: $19,092/yr
• Cap rate: 22.34%
• Cash-on-cash: 57.30%
• DSCR: 3.55
• 1% rule: 2.71%
• Cash to close: $33,320

Investor read

• This is a 2 × 3-bed/1.0-bath units multifamily listed at $119k.
• At list price, monthly cash flow is $2k ($19k/yr) — positive. Per door: $795/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($3k rent vs $119k).
• Only 4 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-3.0%/yr); year-one equity from $823 of loan paydown is wiped out by about $4k of value loss. Plan a longer hold.
• Location reads 78/100 on livability (#177 in NY, #2,760 nationally) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: crime D+, employment D, amenities F.
• Geneva City School District (town): math 36% / reading 43% proficiency, ranked #528 of 590 in NY (top 90%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: North Street Elementary School (math 28% / reading 35%, grade F, #1,679 of 2,108 statewide, top 80%, 595 students, 75% FRL); Geneva Middle School (math 21% / reading 42%, grade F, #522 of 729 statewide, top 73%, 452 students, 68% FRL); Geneva High School (math 92% / reading 98%, grade A+, #93 of 1,100 statewide, top 10%, 613 students, 63% FRL) — zoned schools average 69% FRL vs 51% district-wide (17 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Zoned-school proficiency averages 53% at this address vs 40% district-wide (+13 pts) — the actual schools serving this property are materially stronger than the Geneva City School District average implies; a family-tenant draw the district grade alone would hide.
• Watch-outs: property tax is 2.9% of price; built in 1918 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 123 active listings in the ZIP; 284 units permitted in Ontario County in 2024 (69 in 5+ unit buildings).
• Ontario County population projected to shrink 6% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• Current owner paid $85k; 40% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $33k cash investment doubles in ~2 years — after that, you're playing with house money.
• Cap rate 22.3% vs local median 5.0% in Geneva — 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

• 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 1918 — 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?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are D-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 D 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?
• 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.