Newly Renovated Jersey City Heights
I'm looking to purchase a newly renovated 2 family home in Jersey City Heights less than a block from public transportation into the city. The home is selling for $509k I am thinking of putting in an offer for $490k (FHA). After discussion with the seller's agent, my agent mentioned the seller would probably take the offer.
First floor three bedroom, with finished basement and access to backyard is rented for $2,000
Second floor is now vacant was rented for $1650
I am thinking first floor can rent for $2200 and 2nd floor for about $1700.
My payments would be approximately:
Mortgage: $2,093
Taxes: $830
Insurance: $93
PMI: $404
Total: $3,420
I would be living there for a little over 18 months and eventually rent out. I know after the 20% of PB is paid, I stop paying the PMI. I would probably make an extra $200 monthly payment towards the mortgage, estimating to pay 20% of PB within 6 and a half year mark, and the home is in great condition newly remodeled I am not anticipating many maintenance expenses, it's in a low vacancy area, separate utilities, I would only have to pay water for both units.
IS THIS A GOOD DEAL?! I'm looking to put in the offer by tomorrow morning i would appreciate all the help in the world because i'm really on the fence about this one. (It's my first purchase) Thank you!