1708 W 12th St

New York, NY 11223

$1,990,000D-

8 bd · 4.0 ba · 3,000 sqft · Built 1930 · MultiFamily · Active · 750 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $15,835/mo
• Mortgage (P&I): −$10,436
• Tax + insurance: −$2,166
• HOA: −$0
• Vac / Maint / Mgmt: −$3,325
• Net cashflow: $-92/mo
• Annual: $-1,107/yr
• Cap rate: 6.28%
• Cash-on-cash: -0.06%
• DSCR: 1.00
• 1% rule: 0.80%
• Cash to close: $557,200

Investor read

• This is a 4 × 2-bed/1.0-bath units multifamily listed at $1.99M.
• At list price, monthly cash flow is $-92 ($-1k/yr) — negative. Per door: $-23/mo.
• To cash-flow at today's rent, offer at most $1.97M (0.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $1.58M (20.4% below list).
• It's been on market 750 days — a 12% lower offer ($1.75M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $1.58M (20.4% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $14k of loan paydown is wiped out by about $60k of value loss. Plan a longer hold.
• Location reads 75/100 on livability (#268 in NY, #4,188 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, commute A+, health & safety A; Watch: crime F, cost of living F.
• Zoned schools: Ps 97 Highlawn (The) (math 67% / reading 67%, grade B+, #525 of 2,108 statewide, top 27%, 849 students, 69% FRL); Is 98 Bay Academy (math 96% / reading 96%, grade A+, #2 of 729 statewide, top 0%, 1,488 students, 63% FRL); Midwood High School (math 94% / reading 96%, grade A+, #83 of 1,100 statewide, top 8%, 4,062 students, 73% FRL).
• Watch-outs: flood insurance adds $66/mo; built in 1930 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents rising fast (+13.1%/yr); 219 active listings in the ZIP; 10,063 units permitted in Kings County in 2024 (9,789 in 5+ unit buildings).
• Kings County population projected at +13% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• Current owner paid $685k; list at $1.99M implies a 191% gain — meaningful room to come down on a strong offer.
• Climate carrying-cost: major flood risk; major wind risk, 68% 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 6.3% vs local median 2.6% in New York — 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 $15,835/mo this rent would consume 300% of the median local household income ($63k/yr) (locally 6011% 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?
• It's been on market 750 days. Have you received any prior offers? Is the seller open to a 20% 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 1930 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
• 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.