First Deal - Need Feedback

[Chris LoSapio]

Here is the deal:

2 unit rental property
Purchase price $255,000
Unit 1 rent: $1,400
Unit 2 rent: $1,100
Garage rent: $100

Property is over assessed for taxes $11,700 in annual taxes assessed at $406k (this will be appealed).

ARV is $340k. repairs of about $25k needed (all cosmetic).

I want to hold this as a rental. I want to put 20% down with one other person and operate a multi-member LLC. I have the partner and I have the money.

My questions are:

1) How should I finance this? Seller financing and subject 2 are not an option. I do not have a primary residence so HELOC is not an answer. The property is currently not occupied so investment financing is going to be very difficult since this is my first deal.

2) What do you estimate for insurance on a property like this (located in NJ). I am estimating $1200 annually.

Any answers or additional thoughts are appreciated.