1120 Chula Vista Ave

Burlingame, CA 94010

$2,300,000C+

6 bd · 6.0 ba · 3,922 sqft · Built 1914 · MultiFamily · Active · 24 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $23,249/mo
• Mortgage (P&I): −$12,061
• Tax + insurance: −$1,887
• HOA: −$0
• Vac / Maint / Mgmt: −$4,882
• Net cashflow: $4,419/mo
• Annual: $53,022/yr
• Cap rate: 8.60%
• Cash-on-cash: 8.23%
• DSCR: 1.37
• 1% rule: 1.01%
• Cash to close: $644,000

Investor read

• This is a 6-bed/6.0-bath multifamily listed at $2.30M.
• At list price, monthly cash flow is $4k ($53k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($23k rent vs $2.30M).
• It's been on market 24 days — a 2% lower offer ($2.27M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $2.27M (1.5% below list) — sets the bar for market timing.
• In year one you build about $189k of equity ($16k loan paydown + $173k appreciation (7.5% local appreciation)).
• Location reads 82/100 on livability (#36 in CA, #1,222 nationally) — a professional / high-income tenant draw. Strengths: commute A+, employment A+, health & safety A+; Watch: cost of living F.
• San Mateo Union High (suburban): math 50% / reading 70% proficiency, ranked #178 of 1,400 in CA (top 13%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease.
• Zoned schools: Roosevelt Elementary (math 67% / reading 72%, grade A-, #147 of 1,571 statewide, top 10%, 311 students, 26% FRL); Burlingame Intermediate (math 67% / reading 74%, grade A, #38 of 498 statewide, top 7%, 1,013 students, 17% FRL); Burlingame High (1,519 students, 13% FRL).
• Watch-outs: built in 1914 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents rising (+3.0%/yr); 64 active listings in the ZIP; high-income renter base; 1,019 units permitted in San Mateo County in 2024 (484 in 5+ unit buildings).
• San Mateo County population projected at +24% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• 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.
• Current owner paid $520k; list at $2.30M implies a 342% gain — meaningful room to come down on a strong offer.
• At projected returns (7.5% appreciation + 3.0% rent growth), your $644k cash investment doubles in ~3 years — after that, you're playing with house money.
• By year 2, paydown + projected appreciation supports a ~$302k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Cap rate 8.6% vs local median 0.8% in Burlingame — 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

• Built in 1914 — 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.
• 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.