House Hacking Advice in New Jersey

[Samuel Marx]

Hey everyone! New to BP and a first-time poster. Also a first-time investor, so bear with me. 

I'm looking to house hack for my first property purchase and I'm near the beach in central New Jersey, so prices are not low. My first goal is to reduce my monthly cost of living by about 50%. I currently rent for $1075/month. From there I'd like to buy a 2nd property and fully rent the first one. The cashflow while I live there is coming out to about negative $655. Close to my 50% goal. What are the deciding factors to consider on a deal like this? The neighborhood is on the rise, as everything around my area is, so does that make this a safe deal once I move out? Also what are the reasons not to just try to buy and rent out both units right away, and use that cash flow to pay for my current rent? Appreciate any advice!

Here are the details

-Multi-family, 2 separate homes, front house and carriage in the back, 2 BR 1BA each. I am looking to get it for $250k with 3.5% down on an FHA loan. Expecting to be able to rent each unit for $1,500 each, though I'd initially live in the front.

Here's my number breakdown for A (owner occupied) and B (both units rented). 

Gross Monthly Operating Income:

A - $1,440 / B - $2,880

Monthly Operating Expense (mostly based on NJ averages)(What am I missing??)

A - 930 / B - 930 (same?)

($200 maintenance/repairs, $560 real estate taxes, $82 rental property insurance, $88 utilities)

Annual NOI

A - $6,120 / B - 23,400

CAP Rate

A - 2.45% / B - 8.44%

Total Annual Debt Service

A - $13,988.59 / B - Same

Total Monthly Cashflow and ROI

A - -$655.72 / B - 784.28

A - -52.46% / B - 62.74%

Thanks!

Sam