71 Orange St

Marlboro, NY 12542

$519,000D+

3 bd · 2.5 ba · 1,534 sqft · Built 1950 · MultiFamily · Pending · 13 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $4,200/mo
• Mortgage (P&I): −$2,722
• Tax + insurance: −$915
• HOA: −$0
• Vac / Maint / Mgmt: −$882
• Net cashflow: $-319/mo
• Annual: $-3,829/yr
• Cap rate: 5.56%
• Cash-on-cash: -2.63%
• DSCR: 0.88
• 1% rule: 0.81%
• Cash to close: $145,320

Investor read

• This is a 2 × 3-bed/1.0-bath units multifamily listed at $519k.
• At list price, monthly cash flow is $-319 ($-4k/yr) — negative. Per door: $-160/mo.
• To cash-flow at today's rent, offer at most $463k (10.9% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $420k (19.1% below list).
• Only 13 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $420k (19.1% below list) — sets the bar for 1% rule.
• In year one you build about $50k of equity ($4k loan paydown + $47k appreciation (9.0% local appreciation)).
• Location reads 72/100 on livability (#347 in NY) — a middle-class / working-renter tenant base. Strengths: employment A+, housing A+, crime A; Watch: cost of living D+, amenities F, commute D-.
• Marlboro Central School District (suburban): math 43% / reading 55% proficiency, ranked #366 of 590 in NY (top 62%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Marlboro Elementary School (math 28% / reading 50%, grade F, #1,505 of 2,108 statewide, top 72%, 761 students, 0% FRL); Marlboro Middle School (math 36% / reading 43%, grade F, #418 of 729 statewide, top 59%, 433 students, 45% FRL); Marlboro Central High School (math 92% / reading 92%, grade A+, #171 of 1,100 statewide, top 18%, 628 students, 37% FRL) — zoned schools at 27% FRL track the district average.
• Watch-outs: built in 1950 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 56 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 464 units permitted in Ulster County in 2024 (170 in 5+ unit buildings).
• Ulster County population projected at -14% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 5 sale attempts since 4y 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.
• By year 2, paydown + projected appreciation supports a ~$80k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: extreme-heat days projected 7→15/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 5.6% vs local median 3.0% in Marlboro — 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?
• 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?
• Built in 1950 — 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 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?
• 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.