125 Hildreth Ln

Bridgehampton, NY 11932

$4,100,000B+

5 bd · 2.0 ba · 2,440 sqft · Built 1976 · SingleFamily · Pending · 136 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $54,077/mo
• Mortgage (P&I): −$21,501
• Tax + insurance: −$6,833
• HOA: −$0
• Vac / Maint / Mgmt: −$11,356
• Net cashflow: $14,387/mo
• Annual: $172,639/yr
• Cap rate: 10.50%
• Cash-on-cash: 15.04%
• DSCR: 1.67
• 1% rule: 1.32%
• Cash to close: $1,148,000

Investor read

• This is a 5-bed/2.0-bath single-family listed at $4.10M.
• At list price, monthly cash flow is $14k ($173k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($54k rent vs $4.10M).
• It's been on market 136 days — a 12% lower offer ($3.61M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $3.61M (12.0% below list) — sets the bar for market timing.
• In year one you build about $438k of equity ($28k loan paydown + $410k appreciation (10.0% local appreciation)).
• Location reads 62/100 on livability (#874 in NY) — a middle-class / working-renter tenant base. Strengths: crime A+, employment A+, schools B; Watch: amenities F, commute F, cost of living F.
• Bridgehampton Union Free School District (rural): math 50% / reading 40% proficiency, ranked #511 of 755 in NY (top 68%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: 24 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 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.
• At projected returns (10.0% appreciation + 3.0% rent growth), your $1.15M cash investment doubles in ~2 years — after that, you're playing with house money.
• By year 2, paydown + projected appreciation supports a ~$705k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: severe wind risk, 80% chance of damaging wind over 30y; extreme-heat days projected 7→18/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• At $54,077/mo this rent would consume 374% of the median local household income ($174k/yr) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• It's been on market 136 days. Have you received any prior offers? Is the seller open to a 12% concession, seller financing, or rate buy-down credit?
• Built in 1976 — 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 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 for-sale + rental construction is in the pipeline within 1–3 miles? Heavy new supply typically softens prices + rents 12–24 months out; constrained supply supports both.