188-190 Charlotte St #188

Rochester, NY 14607

$529,900B+

12 bd · 4.0 ba · 6,120 sqft · Built 1895 · MultiFamily · Active · 39 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $8,674/mo
• Mortgage (P&I): −$2,779
• Tax + insurance: −$883
• HOA: −$0
• Vac / Maint / Mgmt: −$1,822
• Net cashflow: $3,190/mo
• Annual: $38,285/yr
• Cap rate: 13.52%
• Cash-on-cash: 25.80%
• DSCR: 2.15
• 1% rule: 1.64%
• Cash to close: $148,372

Investor read

• This is a 4 × 3-bed/1.0-bath units multifamily listed at $530k. Condition is rated fair.
• At list price, monthly cash flow is $3k ($38k/yr) — positive. Per door: $798/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($9k rent vs $530k).
• It's been on market 39 days — a 3% lower offer ($514k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $514k (3.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $4k of loan paydown is wiped out by about $16k of value loss. Plan a longer hold.
• Location reads 76/100 on livability (#222 in NY, #3,482 nationally) — a middle-class / working-renter tenant base. Strengths: commute A+, cost of living A+, housing A+; Watch: schools D+, crime F, employment F.
• Rochester City School District (urban): math 21% / reading 26% proficiency, ranked #589 of 590 in NY (top 100%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 82% free/reduced lunch — lower-income household profile, screen leases tightly.
• Watch-outs: built in 1895 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents rising fast (+4.6%/yr); 55 active listings in the ZIP; 1,169 units permitted in Monroe County in 2024 (591 in 5+ unit buildings).
• Monroe County population projected to shrink 6% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• At projected returns (-3.0% appreciation + 4.6% rent growth), your $148k cash investment doubles in ~5 years — after that, you're playing with house money.
• Cap rate 13.5% vs local median 9.3% in Rochester — 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 $8,674/mo this rent would consume 174% of the median local household income ($60k/yr) (locally 2034% 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 39 days. Have you received any prior offers? Is the seller open to a 3% 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?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1895 — 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 D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• Crime grade is F 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?

Repairs flagged (vision-AI assessment)

• Major: roof — The satellite image shows signs of water damage, indicating a major repair is needed.
• Major: exterior siding — The siding is peeling and the paint is chipping, indicating a major repair is needed.
• Major: HVAC/mechanicals — The overall condition suggests outdated or broken systems, indicating a major repair is needed.
• Major: landscaping — The landscaping is overgrown and unkempt, indicating a major repair is needed to improve curb appeal.