Positive Cash Flow in NJ?

[Alex Jacob]

I have been reading a lot recently about how hard it is to buy a property in New Jersey that produces adequate cash flow or even positive cash flow.

I am about to make an offer on a property in NJ and so this sentiment has me nervous. After running my own analysis I see this property is significantly cash flow positive but I can't help but feel i'm blatantly missing something. The numbers are as follows...

Offer Price: $275K

Units: 6

Rent per unit: $800 ($4,800 per month total)

Vacancy: $480 (10% of Gross rents); Maintenance and Repairs: $480 (10% of Gross Rents); Capex: $350; Taxes: $917; Insurance: $833

The tenants are paying for utilities separately so there's nothing budgeted for that. I am not sure what to expect for common area expenses to be fair.

Mortgage: $898

Total monthly cash flow of $842.

Any insight on what I am missing?