42-48 Lake St · East Orange, NJ 07017-1704

$599,000

24 bd · 16.0 ba · 2,500 sqft · MultiFamily · 20 Days on market

Built 1930 Good condition 7,840 sqft lot

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Why this score? — see what drove the B grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Cash flow +29.1/30.0
• DSCR +10.0/10.0
• 1% rule +8.1/10.0
• ARV discount +7.5/15.0
• Appreciation +5.0/10.0
• Condition / age +4.0/5.0
• Livability +3.7/5.0
• Rent growth +2.5/5.0
• Schools +1.6/10.0

Multi-family units

County records classify this as Multi-Family (2-4 Unit). Listing-text estimate: 4 units. confirmed

Listing remarks

Discover a fantastic opportunity to own an income-producing 3-family property with a generous amount of parking in East Orange. This property offers opportunities to investors or homeowners seeking a primary residence. The property features a total of 6 bedroom and four bathrooms across three units including a two bedroom, two bathroom multilevel unit with bonus space in the basement. The two additional units each have 2 bedrooms and one bathroom. Whether you're an experienced investor looking to add a reliable asset to your portfolio or a house-hacker looking to live in one unit and rent the others, 42-48 Lake St is positioned for success.

Key facts

• 7,840 sq ft lot
• 8 parking spots
• Built 1930

Property features AI

Finance

• Financial info: Property configured as a 3-unit building; Unit 1 rent not listed; Unit 2 rent not listed; Unit 3 rent listed at $1,550 with $1,550 security deposit; Reported gross and net operating income and operating expenses noted (see remarks)

Exterior

• Parking: 8 parking spaces; Driveway with 2-car width, additional parking, blacktop and dirt areas; driveway exclusive
• Security: Security system
• Utilities: Public water; Public sewer; Natural gas service; Cable TV available
• Home design: Triplex; Two-story unit style; Building size approximately 2,500 sq. ft.; Located on a cul-de-sac with an irregular, level lot
• Construction: Approximate year built
• Exterior features: Vinyl siding; Asphalt shingle roof; Property notes: See remarks

Interior

• Kitchen: Unit 1: Microwave oven, Gas range/oven, Refrigerator; Unit 2: Gas range/oven, Refrigerator; Unit 3: Dishwasher, Gas range/oven, Refrigerator
• Bedrooms: Unit 1: 2 bedrooms (2 levels); Unit 2: 2 bedrooms (1 level); Unit 3: 2 bedrooms (1 level)
• Flooring: Tile flooring; Wood flooring
• Bathrooms: 4 full bathrooms total; Unit 1: 2 bathrooms; Unit 2: 1 bathroom; Unit 3: 1 bathroom
• Heating & cooling: Three heating units; Baseboard hot water heating; Natural gas fuel
• Interior features: Carbon monoxide detector; Fire extinguisher; Security system; Smoke detector; Tile floors; Wood floors; Finished full basement
• Laundry & utility: Unit 1 includes a utility room; Gas water heater; Tenants pay electric, gas, heat and water for each unit

What this means for you Summary

Snapshot

• This is a 4 × 2-bed/1.3-bath units multifamily listed at $599k. Condition is rated good.

Deal economics

• At list price, monthly cash flow is $2k ($20k/yr) — positive. Per door: $408/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($8k rent vs $599k).
• Recommended offer: $590k (1.5% below list) — sets the bar for market timing.
• Cap rate 10.4% vs local median 3.0% in East Orange — 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.

Location & tenants

• Location reads 73/100 on livability (#189 in NJ) — a middle-class / working-renter tenant base. Strengths: commute A+, health & safety A, housing A-; Watch: crime D-, amenities F, cost of living D-.
• East Orange School District (suburban): math 6% / reading 31% proficiency, ranked #444 of 472 in NJ (top 94%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 63% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Wahlstrom Early Childhood Academy (137 students, 49% FRL); John L. Costley Middle School (math 3% / reading 31%, grade F, #409 of 431 statewide, top 95%, 333 students, 59% FRL); East Orange Campus High School (math 4% / reading 35%, grade F, #357 of 399 statewide, top 90%, 1,748 students, 48% FRL).
• Market conditions: 1 active listings in the ZIP; 3,364 units permitted in Essex County in 2024 (2,551 in 5+ unit buildings).

Forward outlook

• In year one you build about $22k of equity ($4k loan paydown + $18k appreciation (3.0% local appreciation)).
• Essex County population projected at +3% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At projected returns (3.0% appreciation + 3.0% rent growth), your $168k cash investment doubles in ~4 years — after that, you're playing with house money.
• By year 2, paydown + projected appreciation supports a ~$36k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Negotiation context

• It's been on market 20 days — a 2% lower offer ($590k) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Watch-outs: flood insurance adds $427/mo; built in 1930 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: in FEMA flood zone AE (mandatory federal flood insurance); major wind risk, 27% chance of damaging wind over 30y; extreme-heat days projected 7→15/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $590,015 (1.5% below list)

Questions for the listing agent

1. Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
2. What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
3. Built in 1930 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
4. What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
5. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
6. 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?
7. 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.
8. What's the recent tenant-quality profile in this submarket — average credit score on applications, eviction rate, late-payment / NSF rate, and stable-employment percentage? A property-management company in the area should have these aggregated.
9. How much new apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.

Investment metrics

• 1% rule: 1.31% ✓
• Cap rate: 10.42%
• Cash-on-cash: 14.74%
• DSCR: 1.66
• GRM: 6.4

CMA / ARV

No comps found within radius.

Projected returns pro-forma

3.0% appreciation · 3.0% rent growth · sell at horizon

5-year hold

• IRR: 18.5%
• Equity multiple: 2.05×
• Total profit: $176,548
• Equity at exit: $269,336

10-year hold

• IRR: 19.8%
• Equity multiple: 3.88×
• Total profit: $483,344
• Equity at exit: $415,079

Cash invested: $167,720 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 21 Tenant-Leaning
• State New Jersey: 21 Tenant-Leaning · D+6
• County: — inherits STATE
• City: — inherits STATE

Anti-eviction Act requires just-cause statewide; rent control in 100+ municipalities; one of the most tenant-friendly states.

Methodology + full state rankings →

ZIP-level market 07017-1704

• Active inventory: 1
• Price-to-rent: 25.4×

Monthly cashflow live

• Estimated rent: $7,847 high
• Mortgage (P&I): −$3,141
• Tax est. 1.5%: −$749 /mo · $8,985/yr
• Insurance: −$250
• Flood insurance flood zone: −$427 /mo · $5,118/yr
• HOA: −$0
• Vacancy / Maint / Mgmt: −$1,648
• Net cashflow: $1,633

Break-even live

Break-even rent $5,780

Max offer price $599,000

Occupancy floor 74%

Sensitivity live

Price	-10% $2,047	-5% $1,840	+0% $1,633	+5% $1,426	+10% $1,219
Rent	-10% $1,013	-5% $1,323	+0% $1,633	+5% $1,943	+10% $2,253
Rate	-1.0pp $1,935	-0.5pp $1,785	base $1,633	+0.5pp $1,478	+1.0pp $1,320

4-unit breakdown (identical units grouped — click to expand)

Units	Beds	Baths	Est. rent
▸ 4× units	2	1.3	$7,848
Total (4 units)			$7,847

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $149,750
• Closing costs: $17,970
• Reserves months: —
• Total cash needed: —

Listing history 3 events

1. 2026-05-15
   status Under Contract
2. 2026-04-25
   listed $599,000 Active
3. 2026-04-20
   historical $599,000

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Climate risk First Street

• 🌊 Flood 10/10 Extreme FEMA zone AE · 99% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 7/10 Severe 7 d/yr ≥100°F today · 15 d/yr by 30 yrs out
• 💨 Wind 6/10 Major 27% chance of damaging wind over 30 yrs
• 🫁 Air quality 4/10 Moderate 3 unhealthy d/yr today · 5 by 30 yrs out

Taxation est. · year 1

• Rental income: $94,164
• − Mortgage interest: −$33,553
• − Property taxes: −$8,985
• − Insurance: −$8,114
• − Repairs & maintenance: −$7,533
• − Management: −$7,533
• − Depreciation: −$17,425
• Taxable income: $11,020
• Est. tax owed @ 24.0%: −$2,645
• After-tax cash flow: $16,951/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Condition & rehab AI · 12 photos

Good 80/100 Cosmetic rehab

This 3-family property in East Orange is in good condition with cosmetic updates needed. It offers a great opportunity for investors or homeowners seeking a primary residence.

Value-add opportunities

• Both paint exterior — enhances curb appeal and resale value
• Both landscaping — improves curb appeal and rental value
• Resale update kitchen appliances — modernizes the kitchen and appeals to buyers
• Resale update bathrooms — modernizes the bathrooms and appeals to buyers

Renovation cost estimate screening

Value-add ROI direction

• Both paint exterior — enhances curb appeal and resale value ↑
• Both landscaping — improves curb appeal and rental value ↑
• Resale update kitchen appliances — modernizes the kitchen and appeals to buyers ↑
• Resale update bathrooms — modernizes the bathrooms and appeals to buyers ↑

ⓘ Cost ranges are severity-bucket heuristics (US national rule-of-thumb). Get contractor quotes + a written scope before underwriting a rehab budget.

Schools (NCES district)

• District: East Orange School District
• NCES district ID: 3404230
• Math proficiency: 6% ▼ -11.00%
• Reading proficiency: 31% ▼ -9.00%
• Median HH income: $39,490
• Composite: 15.56/100
• National rank: #9295
• State rank: #444 of 472 in NJ

Livability — East Orange

• Score: 73/100
• State rank: #189
• US rank: #5261

Category grades

Amenities F Commute A+ Cost of living D- Crime D- Employment C Housing A- Health & safety A User ratings B

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: East Orange, NJ

Population outlook (Essex County) Hauer SSP2

• Today (2025): 825,042 people
• By 2030: 834,010 · +1.1%
• By 2040: 846,221 · +2.6%
• By 2050: 850,047 · +3.0%
• By 2075: 837,009 · +1.5%
• By 2100: 784,345 · -4.9%

Not yet ingested

• Political lean: —
• Race & ethnicity: —
• Common origin: —
• Civics: —

Market trends

• HPI YoY: —
• Current HPI: —
• Rent YoY: —
• Metro: —
• State GDP YoY: ▲ 2.05%
• F500 in state: 34

Industry mix (Fortune 500 HQ in NJ)

Industry	F500 HQs	Revenue
▸Consumer Goods	3	$31B
▸Pharmaceuticals	2	$153B
▸Technology	2	$21B
▸Insurance	2	$20B
▸Healthcare	2	$19B
▸Financial Services	1	$70B

Price history

+0.0% since first listed

3 events — show timeline

• 2026-05-15 Pending — GSMLS
• 2026-04-25 Listed $599,000 GSMLS
• 2026-04-20 Coming Soon $599,000 GSMLS