215 Quarry St

Fullerton, PA 18052

$1,500,000B-

None bd · None ba · 35,365 sqft · Built 1905 · MultiFamily · Pending · 318 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $48,517/mo
• Mortgage (P&I): −$7,866
• Tax + insurance: −$2,500
• HOA: −$0
• Vac / Maint / Mgmt: −$10,189
• Net cashflow: $27,962/mo
• Annual: $335,547/yr
• Cap rate: 28.66%
• Cash-on-cash: 79.89%
• DSCR: 4.55
• 1% rule: 3.23%
• Cash to close: $420,000

Investor read

• This is a 10×1bd/1.0ba + 18×2bd/1.0ba units multifamily listed at $1.50M.
• At list price, monthly cash flow is $28k ($336k/yr) — positive. Per door: $999/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($49k rent vs $1.50M).
• It's been on market 318 days — a 12% lower offer ($1.32M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $1.32M (12.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $10k of loan paydown is wiped out by about $45k of value loss. Plan a longer hold.
• Location reads 80/100 on livability (#227 in PA, #1,976 nationally) — a professional / high-income tenant draw. Strengths: cost of living A+, housing A+, health & safety A+; Watch: schools F, commute F.
• Whitehall-Coplay SD (suburban): math 28% / reading 50% proficiency, ranked #356 of 539 in PA (top 66%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Watch-outs: built in 1905 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 107 active listings in the ZIP; solid renter incomes; 765 units permitted in Lehigh County in 2024 (286 in 5+ unit buildings).
• Lehigh County population projected at +21% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $420k cash investment doubles in ~2 years — after that, you're playing with house money.
• At $48,517/mo this rent would consume 769% of the median local household income ($76k/yr) (locally 1172% 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 318 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?
• Built in 1905 — 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.
• 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?
• 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.