7 Miller St

Norwich, NY 13815

$3,590,000F

5 bd · 2.0 ba · 2,324 sqft · Built 1870 · MultiFamily · Active · 119 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,619/mo
• Mortgage (P&I): −$18,826
• Tax + insurance: −$5,983
• HOA: −$0
• Vac / Maint / Mgmt: −$340
• Net cashflow: $-23,531/mo
• Annual: $-282,372/yr
• Cap rate: -1.57%
• Cash-on-cash: -28.09%
• DSCR: -0.25
• 1% rule: 0.05%
• Cash to close: $1,005,200

Investor read

• This is a 5-bed/2.0-bath multifamily listed at $3.59M.
• At list price, monthly cash flow is $-24k ($-282k/yr) — negative.
• To cash-flow at today's rent, offer at most $185k (94.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $162k (95.5% below list).
• It's been on market 119 days — a 9% lower offer ($3.27M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $162k (95.5% below list) — sets the bar for 1% rule.
• In year one you build about $384k of equity ($25k loan paydown + $359k appreciation (10.0% local appreciation)).
• Location reads 70/100 on livability (#447 in NY) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+, health & safety A+; Watch: crime D, amenities F, commute F.
• Norwich City School District (town): math 42% / reading 43% proficiency, ranked #498 of 590 in NY (top 84%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Watch-outs: built in 1870 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 84 active listings in the ZIP; 151 units permitted in Chenango County in 2024 (96 in 5+ unit buildings).
• Chenango County population projected at -26% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 2 sale attempts 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.
• Current owner paid $56k; list at $3.59M implies a 6311% gain — meaningful room to come down on a strong offer.
• By year 2, paydown + projected appreciation supports a ~$617k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Cap rate -1.6% vs local median 4.1% in Norwich — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.

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 119 days. Have you received any prior offers? Is the seller open to a 95% concession, seller financing, or rate buy-down credit?
• Built in 1870 — 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.
• Crime grade is D 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?
• 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.