183 S 7th St

Lindenhurst, NY 11757

$599,999C+

6 bd · 2.0 ba · 1,256 sqft · Built 1940 · MultiFamily · Pending · 12 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $7,193/mo
• Mortgage (P&I): −$3,146
• Tax + insurance: −$1,031
• HOA: −$0
• Vac / Maint / Mgmt: −$1,511
• Net cashflow: $1,505/mo
• Annual: $18,065/yr
• Cap rate: 9.30%
• Cash-on-cash: 10.75%
• DSCR: 1.48
• 1% rule: 1.20%
• Cash to close: $168,000

Investor read

• This is a 2 × 3-bed/3.0-bath units multifamily listed at $600k.
• At list price, monthly cash flow is $2k ($18k/yr) — positive. Per door: $753/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($7k rent vs $600k).
• Only 12 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-3.0%/yr); year-one equity from $4k of loan paydown is wiped out by about $18k of value loss. Plan a longer hold.
• Location reads 75/100 on livability (#260 in NY, #4,112 nationally) — a middle-class / working-renter tenant base. Strengths: commute A+, employment A+, housing A+; Watch: amenities D+, cost of living F, health & safety F.
• Lindenhurst Union Free School District (suburban): math 64% / reading 72% proficiency, ranked #139 of 590 in NY (top 24%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: West Gates Avenue School (math 54% / reading 74%, grade B, #591 of 2,108 statewide, top 31%, 278 students, 43% FRL); Lindenhurst Middle School (math 45% / reading 62%, grade C+, #228 of 729 statewide, top 31%, 1,284 students, 44% FRL); Lindenhurst Senior High School (math 86% / reading 95%, grade A+, #231 of 1,100 statewide, top 21%, 1,897 students, 41% FRL) — zoned schools average 43% FRL vs 21% district-wide (22 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: built in 1940 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 204 active listings in the ZIP; high-income renter base; 1,366 units permitted in Suffolk County in 2024 (216 in 5+ unit buildings).
• Suffolk County population projected to shrink 5% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• Current owner paid $255k; list at $600k implies a 135% gain — meaningful room to come down on a strong offer.
• Climate carrying-cost: major wind risk, 61% chance of damaging wind over 30y; extreme-heat days projected 7→17/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 9.3% vs local median 3.0% in Lindenhurst — 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 $7,193/mo this rent would consume 67% of the median local household income ($128k/yr) (locally 580% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• 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 1940 — 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 B-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?
• 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.
• How much new apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.