If you're comparing the Northeast to other areas of the country, you'd be insane to stay here in the Northeast if you had the ability to invest elsewhere.I've found that in terms of indicators/metrics, you can quickly go down a rabbit hole because there are a ton of different indicators, from general economic to real estate specific.So I've tried to take a step back and say, in the end it does come down to supply and demand.

I have no moral or logistical problem with people smoking pot, especially if they're outside - I just told them no smoking indoors and left it at that.

And people will drive your car like a rental and will inevitably smoke in it too.

As you know, inflation is a combination of money supply and velocity. 

You should be focusing that energy on getting your new listing up, making sure supplies are ready and really trying to figure out how your rental model is going to be better than the previous owners.

Or realize with the change in ownership you have to bring items up to code (my state requires a walk through from the fire marshal - I remember just updating smoke detectors to hard wired, and putting in fire rated doors cost me a few thousand, on a 5 unit place).

I'd recommend finding a local investor or real estate agent with knowledge of the student housing market to learn where Waterloo is on the supply-demand curve and in which direction it is presently headed.

Due to mortgage interest, depreciation, repairs, supplies, maint fee, etc.

Northern NJ's supply overall of homes is low and is anticipated to keep getting lower because demand is there, and the amount of homes on the market is limited. 

Counting the principal pay down as income before you sell or refinance to pull it out is smoke and mirrors math.