Wanting to get thoughts on a duplex I am under contract for

[Adam Pervez]

Hi BP Community - 

I am under contract for a 2 family home in Bound Brook, NJ built in 1880. Property is in okay condition but has some leaking pipes in basement and needs  a water line for the 2nd unit to have better water pressure. There is also termite presence potentially since treatment was done and other issues that I am thinking will be around 8-10k. Electric and plumbing was modernized but there are still some galvanized pipes that have issues. My offer is 560k which is 60k over ask price. Cash to close is around 47-48k with a 5% conventional to house hack. If I have around 70k liquid cash now and I put in the 47-48k to close, I will be around 22-23k which I would need to do some repairs and maintenance around the home. Now, I can negotiate seller credits to address some of the plumbing issues and have them run a water line for the 2nd unit. I believe if I get the upstairs unit (3 bed, 2 bath) ready, I should get around $2700 per month for it plus they would cover utilities. I am looking at a 4700-4800 monthly mortgage. I would have a roommate living with me for $1000 and we would split utilities for our unit.

My concern is that with 70k liquid cash, I would get emergencies in the property that I may not be able to cover right away. What would you do if you were in my shoes?

Listing - https://www.zillow.com/homedetails/428-E-Union-Ave-Bound-Bro...