145 PALISADE Ave

Cliffside Park, NJ 07010

$1,200,000B

28 bd · 16.0 ba · — sqft · Built — · MultiFamily · Active · 9 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $18,033/mo
• Mortgage (P&I): −$6,293
• Tax + insurance: −$2,000
• HOA: −$0
• Vac / Maint / Mgmt: −$3,787
• Net cashflow: $5,953/mo
• Annual: $71,438/yr
• Cap rate: 12.25%
• Cash-on-cash: 21.26%
• DSCR: 1.95
• 1% rule: 1.50%
• Cash to close: $336,000

Investor read

• This is a 4 × 7-bed/4.0-bath units multifamily listed at $1.20M.
• At list price, monthly cash flow is $6k ($71k/yr) — positive. Per door: $1k/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($18k rent vs $1.20M).
• Only 9 days on market — expect competitive offers; lowballing is unlikely to land.
• Local home prices are declining (-3.0%/yr); year-one equity from $8k of loan paydown is wiped out by about $36k of value loss. Plan a longer hold.
• Location reads 78/100 on livability (#104 in NJ, #2,706 nationally) — a middle-class / working-renter tenant base. Strengths: crime A+, commute A+, employment A+; Watch: cost of living F.
• Cliffside Park School District (suburban): math 25% / reading 46% proficiency, ranked #275 of 472 in NJ (top 58%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: School #4 (math 26% / reading 43%, grade F, #582 of 1,303 statewide, top 49%, 482 students, 45% FRL); School #6/Middle School (math 28% / reading 49%, grade F, #210 of 431 statewide, top 50%, 696 students, 58% FRL); Cliffside Park High School (math 21% / reading 47%, grade F, #243 of 399 statewide, top 63%, 1,240 students, 44% FRL) — zoned schools at 49% FRL track the district average.
• Market conditions: Rents rising (+1.8%/yr); 120 active listings in the ZIP; solid renter incomes; 3,488 units permitted in Bergen County in 2024 (1,610 in 5+ unit buildings).
• Bergen County population projected at +20% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 5 sale attempts since 5y ago 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.
• At projected returns (-3.0% appreciation + 1.8% rent growth), your $336k cash investment doubles in ~7 years — after that, you're playing with house money.
• Cap rate 12.2% vs local median 1.9% in Cliffside Park — 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.
• At $18,033/mo this rent would consume 232% of the median local household income ($93k/yr) (locally 1161% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

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?
• 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 apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.