Once the stuff dries it's not volatile.

NYC is saturated with investors and the market has dried out.

Even if the market value of my property goes down 50%, I'll still be making money.The lack of liquidity could also work in my favor during a downturn assuming I have dry powder available. 

The joists are dry-rotted, could be all of them due to no moisture barrier between the dirt floor and subfloor.

Either that or the overflow valve was "dry and cracked" so when the water did get to the overflow valve it went through the cracks in the valve and therefore dripped through to the first floor.     

The price has dropped once already primarily due to some pretty substantial deferred maintenance that the seller doesn't want to deal with (new roof, retaining wall, some dry rot).Looking at COCROI/Cap Rate and other numbers, the place looks to cash flow handsomely already – around 1k/mo with existing tenants at existing rates.

"Creative funding" is out there of course but it's rare and usually stems from, or is reserved for, someone who has a experience and deep involvement in financing/real estate investing.

Lower premiums mean more cash flow and often a more valuable property.There are Wet and Dry flood mitigation techniques that applicable in different settings.

I agree with Account Closed  I just want to add that conventional loans usually dry up after 4 properties.  

I should add that to the lease I have on one of my premier properties- the one between the dry cleaning bag warehouse and the five gallon bucket store.It is a former asbestos manufacturing facility that I was able to acquire for a song!