1st Out of State Deal - Help With the Numbers

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Hey everyone, 

So I have been eyeing the opportunity to buy an out of state deal for a while, mainly North Carolina. The market I live in is North Jersey and I currently have a 6 unit deal under contract here as well but with pricing being so high, another purchase and I have no more buying power left until I refinance my capital out after renovating and raising the rents. I came across an off market deal this past week and am thinking about pulling the trigger. I have been researching the market extensively and speaking with multiple property managers (one of which I will eventually use) to get a feel for the area. The neighborhood is okay, not the greatest in the world but not a war zone either but has a steadily growing job market. I think this is a good deal but since it is my first one out of state I just wanted to see what the community thought on my underwriting... Please feel free to share all thoughts and tell me where you think the numbers are slacking if they are, I'd rather have hurt feelings than a hurt wallet. 

Units: 6 (All 2 bed 1 bath)

Purchase Price: $170,000 

Price Per Unit: $28,333

Gross Income: $28,800

Vacancy: $3,000

Management: $2,580

Utilities: Tenants pays heat, water, electric. 

Insurance: $3,600

Maintenance: $3,600

Taxes: $1,524

NOI: $14,496

Cap Rate: 8.52%

From speaking with the property managers with moderate upgrades I should be able to get $500-525/month so upon turnover that is an option but for now what does everyone think about the numbers?

[Account Closed]

Alot of good advice has already been given, but having bought a property very similar to this in Virginia I would echo all of it again.  At that rent level, you are going to deal with some turnover, probably more than you'd expect.  Even if turnover is good, you are going to deal with some vacancy as you get the units prettied up for the higher rent.  Also get a better idea of what "moderate upgrades" are and figure those into your first-year expenses.  Moderate might mean $500 to you, or $5000 to the property manager.  

As noted above check on the exact PM costs and model those into your numbers.  A few hundred bucks as a placement fee might devastate your returns.  

No financing was mentioned so I'm assuming this is an all cash deal. Be mindful of exit strategies or eventual cashout refi. If you can get rents to $490 with 70% LTV, it looks good otherwise, and you'd be able to sell at a nice profit.