Building Details

Year Built 1880

Listing Agency: Narrow Gate Real Estate LLC d***@ngremail.com Show Phone

Listed By: Dennis R Lawrence · License #RM422466 Show Phone

Source: Compass

Added: May 18 Changed: Aug 8 Last Checked: Jul 24 at 2:56PM

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Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Narrow Gate Real Estate LLC

Investment Insights

Based on property information with market context.

This c1880's masonry farmhouse, located in Perkasie Borough, features two units. Situated on the corner of 5th and Callowhill, the property occupies over 4/10ths of an acre in an in-town setting. The building offers over 2500 square feet of living area and can be used as a two-unit property, a single-family home, or as a live-in/rent-out arrangement. The property includes one two-bedroom unit and one three-bedroom unit. A detached, four-car barn/garage provides over 1000 square feet of space with separate electric service, suitable for additional income or personal use. The property also features a walk-up attic and separated basement areas. Each unit has separate electric, water, sewer, and trash services, paid by the tenants. Unit #1 was updated in 2021 with fresh paint and flooring. Unit #2 was updated with new flooring in 2021, and the electric service and meter base were updated in 2020. Additional updates include a standing seam front metal roof in 2021, a chimney liner in February 2023, and a new main roof with remaining standing seam porch roofs scheduled for replacement in July 2024. The garage/barn roof was painted and repaired in 2024, with new electric service to the garage/barn planned for December 2025 and new garage doors scheduled for February 2026. The property is located in the Pennridge School District.

Key Highlights

• Two‑unit property: live in one, rent the other, or convert to single‑family.
• Large detached 4‑car barn/garage with separate electric service offers income potential.
• Updated units: Fresh paint and flooring in Unit #1 (2021), new flooring in Unit #2 (2021), and updated electric service (2020).

Financial Insights

Estimated NOI and Cap Rate

NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).

NOI / Yr

$31,449

Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.

Cap Rate

6.69%

Suggested Prices Based on Cap Rates Cap rates vary significantly by property type, market, and asset quality. Typical U.S. stable-market ranges: Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+) Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand) Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically) Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher) Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk) Self-Storage — 5.5% to 7.5% Medical Office — 6.0% to 7.5% Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term Rules of thumb: Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%). Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C. Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI. Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.

Cap Rate 5%

$628,980 $629.0K

Cap Rate 7%

$449,271 $449.3K

Cap Rate 9%

$349,433 $349.4K

Market Conditions

NOI Build-Up for 2,540 SF Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent. EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs. OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements. NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.

Gross rent

$59.1K $23.28/SF

− Vacancy

−$2.0K −$0.77/SF

EGI

$57.2K $22.51/SF

− OpEx

−$25.7K −$10.13/SF

NOI

$31.4K $12.38/SF

Area

Bucks County, PA

Vacancy

3.30%

Lease Rate

$23.28 /SF/Yr

Expense Ratio

45.00%

Simulate Cap Rate and NOI

Suggested Prices Based on Cap Rates Cap rates vary significantly by property type, market, and asset quality. Typical U.S. stable-market ranges: Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+) Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand) Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically) Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher) Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk) Self-Storage — 5.5% to 7.5% Medical Office — 6.0% to 7.5% Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term Rules of thumb: Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%). Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C. Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI. Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.

Cap Rate 5%

$628,980

Cap Rate 7%

$449,271

Cap Rate 9%

$349,433

Alternative Uses

Best Use

Apartment 5plus

$449.3K

$393.1K – $524.2K (±1% cap)

NOI $31,449 @ 7.0% cap · market cap 6.69%

Second Best

Multifamily LT 5

$430.5K

$376.7K – $502.3K (±1% cap)

NOI $30,137 @ 7.0% cap · market cap 6.41%

Theoretical Best

Office A

$770.1K

$673.8K – $898.5K (±1% cap)

NOI $53,907 @ 7.0% cap · market cap 11.47%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Duplexes

Suggested Use

Top Pick Auto Parts Store Grocery & Convenience Store (Bike/Boat/Book/etc) Store Storage Facility Dental Office Accounting Firm

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Location Intelligence

Trade Area within ½ mile

432

Businesses Nearby

Explore this area Business Placement

Demographics for 18944, PA

26,396

Population

10,107

Households

2.6

Avg Household Size

43

Median Age

44%

College-Educated

95%

High-School Grad

45.4 sq mi

ZIP Area

581

Density / Sq Mi

$133,131

Median Household Income

$59,564

Median Earnings

$1,383

Median Rent

$411,200

Median Home Value

Market

Vacancy Rate% for Multifamily in Northeast region

4% 2022

4.6% 2023

5.3% 2024

5.6% 2025

Questions? Ask Rey

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What type of property is this? Where is this duplexes located? What is the asking price? Find similar properties ... What are key features of this property?

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Frequently Asked Questions

What type of property is this?

Duplex - c1880's farmhouse with two units and detached garage.

Where is this duplex located?

The property is located at 327 North 5th Street Perkasie, PA.

What is the asking price?

The asking price for this property is $470,000.

What are key features of this property?

This property features: Two‑unit property: live in one, rent the other, or convert to single‑family.; Large detached 4‑car barn/garage with separate electric service offers income potential.; Updated units: Fresh paint and flooring in Unit #1 (2021), new flooring in Unit #2 (2021), and updated electric service (2020).