229 Rt-118

Yorktown Heights, NY 10598

$587,000B-

6 bd · 5.0 ba · 3,400 sqft · Built 1957 · MultiFamily · Pending · 11 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $7,725/mo
• Mortgage (P&I): −$3,078
• Tax + insurance: −$978
• HOA: −$0
• Vac / Maint / Mgmt: −$1,622
• Net cashflow: $2,046/mo
• Annual: $24,553/yr
• Cap rate: 10.48%
• Cash-on-cash: 14.94%
• DSCR: 1.66
• 1% rule: 1.32%
• Cash to close: $164,360

Investor read

• This is a 2 × 3-bed/?-bath units multifamily listed at $587k. Condition is rated fair.
• At list price, monthly cash flow is $2k ($25k/yr) — positive. Per door: $1k/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($8k rent vs $587k).
• Only 11 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-3.0%/yr); year-one equity from $4k of loan paydown is wiped out by about $18k of value loss. Plan a longer hold.
• Location reads 72/100 on livability (#343 in NY) — a middle-class / working-renter tenant base. Strengths: crime A+, health & safety A+, employment A-; Watch: amenities F, commute F, cost of living F.
• Yorktown Central School District (rural): math 67% / reading 73% proficiency, ranked #83 of 590 in NY (top 14%) — strong family-tenant draw, lease renewals of 3-5y typical; only 5% free/reduced lunch — higher-income household profile.
• Zoned schools: Mildred E Strang Middle School (math 52% / reading 73%, grade B+, #133 of 729 statewide, top 18%, 794 students, 14% FRL).
• Watch-outs: built in 1957 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 160 active listings in the ZIP; 954 units permitted in Westchester County in 2024 (649 in 5+ unit buildings).
• Westchester County population projected at +10% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At projected returns (-3.0% appreciation + 3.0% rent growth), your $164k cash investment doubles in ~8 years — after that, you're playing with house money.
• Cap rate 10.5% vs local median 1.7% in Yorktown Heights — 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

• 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 1957 — 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?
• 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.

Repairs flagged (vision-AI assessment)

• Major: kitchen cabinets — existing cabinets need replacement
• Major: bathroom fixtures — existing fixtures need replacement
• Major: roof shingles — existing shingles need replacement
• Major: exterior siding — existing siding needs repainting or replacement
• Major: landscaping — existing landscaping needs trimming and planting
• Major: HVAC system — existing HVAC system needs maintenance or replacement