17564 State Route 22

Berlin, NY 12022

$499,000D+

9 bd · 6.9 ba · 2,425 sqft · Built 1810 · MultiFamily · Active · 80 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,898/mo
• Mortgage (P&I): −$2,617
• Tax + insurance: −$665
• HOA: −$0
• Vac / Maint / Mgmt: −$819
• Net cashflow: $-202/mo
• Annual: $-2,424/yr
• Cap rate: 5.97%
• Cash-on-cash: -1.16%
• DSCR: 0.95
• 1% rule: 0.78%
• Cash to close: $139,720

Investor read

• This is a 3 × 3-bed/?-bath units multifamily listed at $499k.
• At list price, monthly cash flow is $-202 ($-2k/yr) — negative. Per door: $-67/mo.
• To cash-flow at today's rent, offer at most $463k (7.2% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $390k (21.9% below list).
• It's been on market 80 days — a 6% lower offer ($469k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $390k (21.9% below list) — sets the bar for 1% rule.
• In year one you build about $38k of equity ($3k loan paydown + $34k appreciation (6.9% local appreciation)).
• Location reads: area grade D — affects rentability + tenant quality, not the cash-flow math above.
• Berlin Central School District (rural): math 45% / reading 50% proficiency, ranked #412 of 590 in NY (top 70%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Berlin Elementary School (math 47% / reading 52%, grade D, #1,085 of 2,108 statewide, top 56%, 273 students, 60% FRL); Berlin Middle School/High School (math 47% / reading 47%, grade D-, #1,007 of 1,100 statewide, top 93%, 360 students, 53% FRL) — zoned schools average 56% FRL vs 33% district-wide (23 pts higher); higher-poverty schools than district average — tighter screening recommended.
• Watch-outs: flood insurance adds $66/mo; built in 1810 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 8 active listings in the ZIP; 405 units permitted in Rensselaer County in 2024 (224 in 5+ unit buildings).
• Rensselaer County population projected to shrink 6% by 2050 — rents likely to lag national; underwrite the cash flow, not the appreciation.
• 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.
• By year 2, paydown + projected appreciation supports a ~$60k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: severe flood risk — expect insurance premiums to compound above CPI over the hold.

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 80 days. Have you received any prior offers? Is the seller open to a 22% 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 1810 — 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.