Realistic Numbers in NJ?

[Kevin Izquierdo]

Good morning BP Community. I live in Union County NJ, I'm looking into purchasing my first property and I was looking for some feedback on how I inputted these numbers.

I'm familiar with what the terms mean, but the things that I don't fully grasp are the actual numbers.

Any feedback is appreciated :)

https://www.biggerpockets.com/calculators/shared/3...

[Jaysen Medhurst]

Hi, @Kevin Izquierdo, I live in NYC, so I know how crazy things are around her right now. A few things about your analysis:

Vacancy is probably a bit high. 8% is pretty standard.
Bump your repairs maintenance to 7%
What about shared utilities (like hallway lights), lawncare, snow removal?
Is flood insurance required?
Management is usually 10%
Taxes are killing you, which I'm sure you know. Very high for that price point. Have you confirmed them with the town?

You need to account for appreciation in your full analysis. Right now you have the value flat over 30 years.

I think the real question is, how are you adding value? You don't plan to make improvements, increase rents or lower expenses. You can't expect to generate cash flow without adding value and only putting down 5%.