308 5th Ave

New Rochelle, NY 10801

$1,125,000C+

9 bd · 3.9 ba · 3,600 sqft · Built 1950 · MultiFamily · Active · 323 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $11,454/mo
• Mortgage (P&I): −$5,900
• Tax + insurance: −$1,875
• HOA: −$0
• Vac / Maint / Mgmt: −$2,405
• Net cashflow: $1,274/mo
• Annual: $15,288/yr
• Cap rate: 7.65%
• Cash-on-cash: 4.85%
• DSCR: 1.22
• 1% rule: 1.02%
• Cash to close: $315,000

Investor read

• This is a 3 × 3-bed/?-bath units multifamily listed at $1.12M. Condition is rated fair.
• At list price, monthly cash flow is $1k ($15k/yr) — positive. Per door: $425/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($11k rent vs $1.12M).
• It's been on market 323 days — a 12% lower offer ($990k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $990k (12.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $8k of loan paydown is wiped out by about $34k of value loss. Plan a longer hold.
• Location reads 69/100 on livability (#487 in NY) — a middle-class / working-renter tenant base. Strengths: employment A+, crime A, amenities B+; Watch: housing D+, commute F, cost of living F.
• New Rochelle City School District (suburban): math 63% / reading 66% proficiency, ranked #171 of 590 in NY (top 29%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Watch-outs: built in 1950 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents rising (+1.4%/yr); 138 active listings in the ZIP; solid renter incomes; 954 units permitted in Westchester County in 2024 (649 in 5+ unit buildings).
• Westchester County population projected at +10% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• 4 sale attempts since 8y ago; this cycle's ask has dropped $75k (6%) from the opening price — seller is motivated, your offer sets the floor, not the list.
• Current owner paid $860k; 31% above their basis — modest negotiation headroom, anchor on the comps not their cost.
• Cap rate 7.7% vs local median 4.5% in New Rochelle — 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 $11,454/mo this rent would consume 161% of the median local household income ($86k/yr) (locally 2797% 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 323 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?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1950 — 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.
• 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.

Repairs flagged (vision-AI assessment)

• Major: kitchen cabinets — dated and in poor condition
• Major: bathroom fixtures — outdated and cluttered
• Major: roof shingles — visible wear and tear
• Major: exterior siding — appears aged
• Major: HVAC unit — visible rust and potential inefficiency