48 Lincoln Ave

Saratoga Springs, NY 12866

$720,000D

None bd · 3.0 ba · 2,156 sqft · Built 1960 · MultiFamily · Active · 175 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $4,757/mo
• Mortgage (P&I): −$3,776
• Tax + insurance: −$1,200
• HOA: −$0
• Vac / Maint / Mgmt: −$999
• Net cashflow: $-1,218/mo
• Annual: $-14,613/yr
• Cap rate: 4.26%
• Cash-on-cash: -7.25%
• DSCR: 0.68
• 1% rule: 0.66%
• Cash to close: $201,600

Investor read

• This is a 2 × 2-bed/?-bath units multifamily listed at $720k. Condition is rated fair.
• At list price, monthly cash flow is $-1k ($-15k/yr) — negative. Per door: $-609/mo.
• To cash-flow at today's rent, offer at most $544k (24.5% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $476k (33.9% below list).
• It's been on market 175 days — a 12% lower offer ($634k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $476k (33.9% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $5k of loan paydown is wiped out by about $22k of value loss. Plan a longer hold.
• Location reads 82/100 on livability (#83 in NY, #1,284 nationally) — a professional / high-income tenant draw. Strengths: employment A+, housing A+, health & safety A; Watch: amenities D+, cost of living F.
• Saratoga Springs City SD (suburban): math 67% / reading 72% proficiency, ranked #138 of 590 in NY (top 23%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease; only 15% free/reduced lunch — higher-income household profile.
• Zoned schools: Lake Avenue Elementary School (math 82% / reading 82%, grade A+, #138 of 2,108 statewide, top 8%, 393 students, 21% FRL); Maple Avenue Middle School (math 46% / reading 69%, grade B, #187 of 729 statewide, top 26%, 1,392 students, 27% FRL); Saratoga Springs High School (math 98% / reading 92%, grade A+, #83 of 1,100 statewide, top 8%, 1,947 students, 26% FRL).
• Market conditions: Rents rising fast (+9.2%/yr); 649 active listings in the ZIP; 40 comparable units currently listed for rent nearby; rentals leasing fast (median 6d on market — plan ~1-2 weeks tenant-placement turnaround); 48% of comp listings sitting > 30 days — soft ceiling on asking rent; solid renter incomes; 1,132 units permitted in Saratoga County in 2024 (378 in 5+ unit buildings).
• Saratoga County population projected at +4% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• Cap rate 4.3% vs local median 1.9% in Saratoga Springs — 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.

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 175 days. Have you received any prior offers? Is the seller open to a 34% 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?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• Built in 1960 — 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.

Repairs flagged (vision-AI assessment)

• Major: siding — Severe weathering
• Major: roof — Significant wear
• Major: flooring — Concrete in poor condition
• Major: interior walls — Exposed subflooring
• Major: systems — Exposed wiring and plumbing