8241 State Route 52

Narrowsburg, NY 12764

$106,500D-

2 bd · 1.0 ba · 876 sqft · Built 1951 · SingleFamily · Active · 49 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $908/mo
• Mortgage (P&I): −$558
• Tax + insurance: −$406
• HOA: −$0
• Vac / Maint / Mgmt: −$191
• Net cashflow: $-247/mo
• Annual: $-2,968/yr
• Cap rate: 3.51%
• Cash-on-cash: -9.95%
• DSCR: 0.56
• 1% rule: 0.85%
• Cash to close: $29,820

Investor read

• This is a 2-bed/1.0-bath single-family listed at $106k.
• At list price, monthly cash flow is $-247 ($-3k/yr) — negative.
• To cash-flow at today's rent, offer at most $87k (18.5% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $91k (14.8% below list).
• It's been on market 49 days — a 3% lower offer ($103k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $87k (18.5% below list) — sets the bar for cash-flow.
• In year one you build about $11k of equity ($736 loan paydown + $11k appreciation (10.0% local appreciation)).
• Location reads 56/100 on livability (#1,108 in NY) — a working-class tenant base; expect higher turnover. Strengths: cost of living A+, housing A; Watch: crime F, amenities F, commute F.
• Sullivan West Central School District (rural): math 45% / reading 47% proficiency, ranked #436 of 590 in NY (top 74%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Sullivan West Elementary School (math 41% / reading 48%, grade F, #1,277 of 2,108 statewide, top 64%, 571 students, 37% FRL); Sullivan West High School At Lake Huntington (math 52% / reading 47%, grade D, #974 of 1,100 statewide, top 91%, 477 students, 39% FRL).
• Watch-outs: property tax is 4.1% of price; built in 1951 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 43 active listings in the ZIP; 739 units permitted in Sullivan County in 2024 (5 in 5+ unit buildings).
• Sullivan County population projected at -24% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 4 sale attempts; this cycle's ask has dropped $8k (7%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• By year 4, paydown + projected appreciation supports a ~$40k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Cap rate 3.5% vs local median 1.7% in Narrowsburg — 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

• 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 49 days. Have you received any prior offers? Is the seller open to a 18% concession, seller financing, or rate buy-down credit?
• Built in 1951 — 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 F-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 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?
• The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?