Jersey Shore summer rental analysis

[William M.]

so I'm trying to learn my local market and deal analysis in general. I don't have the funds to buy anything at the moment. (Address removed)

It's a two unit 4plex. looks like it was on the market for at least 120 days. So the fact that it's on the open market is a yellow flag, and for over 4 month also makes me think the same. I would estimate at least 5,000 if not 10,000 per unit in updates and appliances. The big problem is this is in a summer town " wild wood NJ" and it doesn't look like there is air condoning and that is a must. Window shakers look trashy and will kill a utility bill. New AC for all 4 units depending on ducting would be another 5,000 per unit. I'm evaluation this as a summer vacation rental and off season rental so utility will be included.

I checked air B&B and similar property's within a 3 Block radias look to be going for around 125 a night just about as is for the 2 larger units and 100 for the two smaller units as is. With the repairs I would expect (paint, vinal floors through out, tile bathroom, cheaper solid surface counter top, paint or reface cabnets, update needed furneture.) I see comparable rentals for 175-200 a night for the larger and 150-165 a night for the smaller. 

All in 225 purchase 40k repairs not including AC possibly use window units for two sessions before a second overall. 265,000

ARV my estimate 295k please someome correct me if I'm wrong and tell me why because I'm only guessing.

Cash flow

175 a night X2 + 150 a night X2 = 650 a night 

90 days of summer session I know it's longer than that but i'm building in vacancy and discount days to fill rooms. 90X650= 58,500

Figure in an off session rental of 6 months at 900 and 700 per month. 900X2X6 + 700X2X6 = 19,200

Year total 77,700

Now I'm not sure how to figure out expenses and finance fees like mortgage for this type of property. 

I used asking price and the higher repair cost and lower rent cost as to not artificially inflate the numbers to make a non deal into a deal. Of course lowering the price and repair cost would help.

Please help me figure out if I'm even in the right ball park and help finish this evaluation with a proper expense formula