20 Old Farm Rd

Lake Success, NY 11020

$1,888,000D-

5 bd · 2.0 ba · 2,883 sqft · Built 1951 · SingleFamily · Active · 57 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $6,702/mo
• Mortgage (P&I): −$9,901
• Tax + insurance: −$2,319
• HOA: −$0
• Vac / Maint / Mgmt: −$1,407
• Net cashflow: $-6,925/mo
• Annual: $-83,100/yr
• Cap rate: 1.89%
• Cash-on-cash: -15.72%
• DSCR: 0.30
• 1% rule: 0.35%
• Cash to close: $528,640

Investor read

• This is a 5-bed/2.0-bath single-family listed at $1.89M.
• At list price, monthly cash flow is $-7k ($-83k/yr) — negative.
• To cash-flow at today's rent, offer at most $665k (64.8% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $670k (64.5% below list).
• It's been on market 57 days — a 3% lower offer ($1.83M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $665k (64.8% below list) — sets the bar for cash-flow.
• In year one you build about $136k of equity ($13k loan paydown + $123k appreciation (6.5% local appreciation)).
• Location reads 79/100 on livability (#124 in NY, #2,004 nationally) — a middle-class / working-renter tenant base. Strengths: schools A+, crime A+, commute A+; Watch: amenities F, cost of living F.
• Great Neck Union Free School District (suburban): math 86% / reading 83% proficiency, ranked #30 of 590 in NY (top 5%) — strong family-tenant draw, lease renewals of 3-5y typical; only 9% free/reduced lunch — higher-income household profile.
• Watch-outs: built in 1951 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 37 active listings in the ZIP; 4 comparable units currently listed for rent nearby; rentals leasing fast (median 3d on market — plan ~1-2 weeks tenant-placement turnaround); 824 units permitted in Nassau County in 2024 (153 in 5+ unit buildings).
• Nassau County population projected at +7% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• By year 2, paydown + projected appreciation supports a ~$218k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: major wind risk, 27% chance of damaging wind over 30y; extreme-heat days projected 7→15/yr by 2055 (HVAC capex compounding) — 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 57 days. Have you received any prior offers? Is the seller open to a 65% concession, seller financing, or rate buy-down credit?
• Built in 1951 — 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 A-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?
• 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.
• 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.