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Rehab Wholesale Project - Newark NJ

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Talha Shahid

Metuchen, New Jersey

Jan 13 '13, 06:26 PM


Quick and easy rehab project for the right investor.

This is a property that will Cash Flow at almost a 16% projected cap rate. It is a great property to fix and rent.

Wholesale price - $100k
Monthly Rent - $2,200 total (1,100) per unit.

Cost of Rehab left - $25,000 includes flooring, kitchen, bathroom, trim work...

2,200(monthly rent)x12(months)= 26,400 (Yearly Gross Revenue)

26,400(Gross Revenue)-
4,000 (taxes)-
2,000 (Maintenance and insurance) =

20,400

20,400/ 130,000( Purchase with rehab and closing costs)= 15.8% Cap Rate.

Postlets link: http://www.postlets.com/repb/8659205

Pics: http://tsqlink.us/newark

Call me at 732-535-7795 to schedule a showing.



Ibrahim Hughes

Real Estate Investor from Union, New Jersey

Jan 13 '13, 08:15 PM


Hi Talha:

What ward (south, east, North or west) is this? If south, is this near or on the numbered streets?

Is there a living room and dining room in each unit or just a living room?

Are the pipes still there? Is the roof new (I see that the rest of the exterior is new)?

Thanks in advance for the info.



Medium_webuynj_realestate_dotcom_2014Ibrahim Hughes, We Buy NJ Real Estate LLC
Website: http://www.WeBuyNJRealEstate.com
We Buy NJ Real Estate, LLC www.WeBuyNJRealEstate.com [email protected]


Talha Shahid

Metuchen, New Jersey

Jan 14 '13, 07:48 AM


Hey Ibrahim

I'll PM you the address.

Yes there is a living room but no dining room.

Roof and all piping is brand new.

Thanks.



Ibrahim Hughes

Real Estate Investor from Union, New Jersey

Jan 14 '13, 08:12 AM
1 vote


Hi Talha and thanks for the PM:

Shouldn't your cap rate projections include vacancy (5%) and management (10%) and water/sewer?

I haven't been able to find an existing (non new construction) 2 family (with 8 rooms) selling for more than $80k on the mls (I checked the last 4 mos) unless it's in North Newark (highest I saw there was $100k) or Ironbound (up to $172 but it's likely an owner occ property in that neighborhood - not much new owner occs in south ward, mostly rentals).

Do you have other comps I haven't seen?


Edited Jan 14 2013, 08:25 by Ibrahim Hughes


Medium_webuynj_realestate_dotcom_2014Ibrahim Hughes, We Buy NJ Real Estate LLC
Website: http://www.WeBuyNJRealEstate.com
We Buy NJ Real Estate, LLC www.WeBuyNJRealEstate.com [email protected]


Ankit Duggal

Real Estate Investor from Clifton , New Jersey

Jan 14 '13, 01:01 PM


What ward is the asset located within?



Joshua Dorkin Verified Donor

BiggerPockets Founder from Denver, Colorado

Feb 03 '13, 02:25 PM


Hey @Talha Shahid - I'd love if you could jump in and answer Ibrahim S's questions from above. Thanks!



Medium_bp-squareJoshua Dorkin, BiggerPockets
E-Mail: [email protected]
Telephone: 877-831-4704
Website: http://www.biggerpockets.com
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