351 E Meadow Ave

East Meadow, NY 11554

$740,000D

None bd · 2.0 ba · 1,248 sqft · Built 1946 · MultiFamily · Pending · 19 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $6,034/mo
• Mortgage (P&I): −$3,881
• Tax + insurance: −$1,227
• HOA: −$0
• Vac / Maint / Mgmt: −$1,267
• Net cashflow: $-340/mo
• Annual: $-4,085/yr
• Cap rate: 5.74%
• Cash-on-cash: -1.97%
• DSCR: 0.91
• 1% rule: 0.82%
• Cash to close: $207,200

Investor read

• This is a 2 × 2-bed/1-bath units multifamily listed at $740k.
• At list price, monthly cash flow is $-340 ($-4k/yr) — negative. Per door: $-170/mo.
• To cash-flow at today's rent, offer at most $680k (8.1% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $603k (18.5% below list).
• It's been on market 19 days — a 2% lower offer ($729k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $603k (18.5% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $5k of loan paydown is wiped out by about $22k of value loss. Plan a longer hold.
• Location reads 86/100 on livability (#21 in NY, #388 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, commute A+, employment A+; Watch: cost of living F.
• East Meadow Union Free School District (suburban): math 81% / reading 77% proficiency, ranked #48 of 590 in NY (top 8%) — strong family-tenant draw, lease renewals of 3-5y typical; only 12% free/reduced lunch — higher-income household profile.
• Zoned schools: Mcvey Elementary School (math 95% / reading 79%, grade A+, #69 of 2,108 statewide, top 4%, 817 students, 34% FRL); Woodland Middle School (math 62% / reading 71%, grade A-, #114 of 729 statewide, top 16%, 1,151 students, 26% FRL); East Meadow High School (math 98% / reading 98%, grade A+, #13 of 1,100 statewide, top 2%, 1,498 students, 28% FRL) — zoned schools average 29% FRL vs 12% district-wide (17 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: built in 1946 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 145 active listings in the ZIP; 6 comparable units currently listed for rent nearby; rentals at typical pace (median 16d on market — plan ~3-4 weeks tenant-placement turnaround); high-income renter base; 824 units permitted in Nassau County in 2024 (153 in 5+ unit buildings).
• Nassau County population projected at +7% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• 3 sale attempts since 3y ago 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 $215k; list at $740k implies a 244% gain — meaningful room to come down on a strong offer.
• Climate carrying-cost: major wind risk, 60% 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 5.7% vs local median 3.0% in East Meadow — 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 $6,034/mo this rent would consume 54% of the median local household income ($134k/yr) (locally 491% 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?
• Built in 1946 — 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 A-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?
• 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?
• 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.