23 Cortlandt Manor Rd

Katonah, NY 10536

$695,000D-

3 bd · 3.0 ba · 1,758 sqft · Built 1967 · SingleFamily · Active · 24 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $4,484/mo
• Mortgage (P&I): −$3,645
• Tax + insurance: −$1,837
• HOA: −$0
• Vac / Maint / Mgmt: −$942
• Net cashflow: $-1,939/mo
• Annual: $-23,267/yr
• Cap rate: 2.95%
• Cash-on-cash: -11.96%
• DSCR: 0.47
• 1% rule: 0.65%
• Cash to close: $194,600

Investor read

• This is a 3-bed/3.0-bath single-family listed at $695k.
• At list price, monthly cash flow is $-2k ($-23k/yr) — negative.
• To cash-flow at today's rent, offer at most $371k (46.6% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $448k (35.5% below list).
• It's been on market 24 days — a 2% lower offer ($685k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $371k (46.6% below list) — sets the bar for cash-flow.
• Local home prices are declining (-3.0%/yr); year-one equity from $5k of loan paydown is wiped out by about $21k of value loss. Plan a longer hold.
• Location reads 73/100 on livability (#323 in NY) — a middle-class / working-renter tenant base. Strengths: crime A+, employment A+, commute A-; Watch: amenities F, cost of living F, health & safety F.
• Somers Central School District (suburban): math 65% / reading 74% proficiency, ranked #95 of 590 in NY (top 16%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease; only 6% free/reduced lunch — higher-income household profile.
• Zoned schools: Primrose School (527 students, 10% FRL); Somers Middle School (math 43% / reading 69%, grade B-, #205 of 729 statewide, top 29%, 569 students, 9% FRL); Somers Senior High School (math 92% / reading 87%, grade A+, #265 of 1,100 statewide, top 26%, 980 students, 10% FRL) — zoned schools at 10% FRL track the district average.
• Watch-outs: property tax is 2.7% of price.
• Market conditions: 67 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 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 22y 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.

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?
• Built in 1967 — 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 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.
• 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.