Why are you asking since your profile states that you are a professional licensed real estate expert?
I would buy $160,000 homes that rent for $2200 all day long in a decent neighborhood. I don't know how tenants are in New Jersey, but the properties are cheap in Memphis and the rents are not bad. The problem is; people keep telling me Memphis is the eviction capital of the world.
The numbers look great, but one problem is; we don't live in an ideal world. If everything went as planned everyone would be billionaires. So, I don't make decisions based on numbers, alone. I have to know without any doubt and if I have to ask someone whether or not an investment is good then I am not qualified to for than investment. Unless, the person I was asking was already worth hundreds of millions. I already made that mistake too many times.
Overall, the numbers look very good.
@Wayne Nash Congrats on looking to do a BRRRR deal. Here are a few thoughts to consider:
1. With an ARV of $232k, you want to try and buy at, or for less than, (ARV * 70%) - rehab costs. In your case that price would be $150k or less. At that price, under your current assumptions, you'll get most of your money back and only leave $5k in the deal.
2. Consider using a hard money lender to finance the deal. That way you only have to put up 10-20% of the total cost of the deal. Assuming a $150k or $160k purchase price, you'd be looking at only putting in $33k to $35k instead of the current $95k.
3. You're projecting a loss of $7k in Year 1. You'd need to add that to your cash needs for this deal. Try and avoid deals that have negative cash flow. Things can easily go from bad to worse in such deals, which means more outflow for you.
4. Check your rents with rentometer.com and double check your expenses with a property manager. Your cap rates are pretty low at 4-6%, so you want to be sure about your revenue and expenses.
@Wayne Nash How old is the home. I purchased a home with very similar numbers here in Arkansas and am cash flowing very well with it. My home was built in the 80s so it doesn't have all the crazyness that can come with older homes sometimes.