Thoughts on Townhouse Purchase?

[Daniel A.]

Hi all, 

Pulled the trigger on my 2nd property: I bought a free-standing no driveway townhouse near cottage grove/washington corridor area for 365k-375k. late 2012 build around 2250, 3bed/3.5 bath. Used conv financing 30 year fixed 20% down. 

I plan on house hacking to where ill have one person paying ~$875/month and the other ~$900/month = ~$1775. P&I+insurance = $2285/month so ill technically only be paying $510/month for the master. 

I believe I paid a slight premium for townhouse as I saw prices in rice military/cottage grove go as low as ~$145/sq ft where I paid in the mid 160s range. However, home is newer construction, excellent condition, and has some custom features.

What do you guys think of this purchase? I mainly did it because i wanted to lock up something nice inside the loop and plan on holding. I dont think i would make my money back selling in 5-10 years as I do not foresee much appreciation in this area, especially for townhomes. However, It can rent for $2650/month, no HOA, $1250 insurance, 2.42% taxes so I would be looking at around 4% cash on cash and around 10% if i add in the principal

Thoughts?