16 Canfield Ave

Kenvil, NJ 07803-3008

$429,000B-

3 bd · 1.5 ba · 1,820 sqft · Built 1926 · SingleFamily · Under Contract · 17 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $4,680/mo
• Mortgage (P&I): −$2,250
• Tax + insurance: −$831
• HOA: −$0
• Vac / Maint / Mgmt: −$983
• Net cashflow: $616/mo
• Annual: $7,392/yr
• Cap rate: 8.02%
• Cash-on-cash: 6.15%
• DSCR: 1.27
• 1% rule: 1.09%
• Cash to close: $120,120

Investor read

• This is a 3-bed/1.5-bath single-family listed at $429k.
• At list price, monthly cash flow is $616 ($7k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($5k rent vs $429k).
• It's been on market 17 days — a 2% lower offer ($423k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $423k (1.5% below list) — sets the bar for market timing.
• In year one you build about $16k of equity ($3k loan paydown + $13k appreciation (3.0% local appreciation)).
• Location reads 63/100 on livability (#437 in NJ) — a middle-class / working-renter tenant base. Strengths: crime A+, employment A-, schools B+; Watch: health & safety D, amenities F, commute F.
• Mine Hill Township School District (suburban): math 55% / reading 65% proficiency, ranked #233 of 612 in NJ (top 38%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease; only 18% free/reduced lunch — higher-income household profile.
• Watch-outs: built in 1926 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 1 active listings in the ZIP; 1 comparable units currently listed for rent nearby; 2,357 units permitted in Morris County in 2024 (1,496 in 5+ unit buildings).
• Morris County population projected at +6% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At projected returns (3.0% appreciation + 3.0% rent growth), your $120k cash investment doubles in ~5 years — after that, you're playing with house money.
• By year 3, paydown + projected appreciation supports a ~$39k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Questions for listing agent

• Built in 1926 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are B-rated — typically a magnet for longer-tenancy family renters. What's the average tenant stay here, and is there a school-zone premium baked into asking?
• What's the average days-on-market for RENTAL listings here right now (not sales)? A rising rental-DOM trend means longer vacancies and softer asking-rent achievability than the comps imply.
• What's the recent tenant-quality profile in this submarket — average credit score on applications, eviction rate, late-payment / NSF rate, and stable-employment percentage? A property-management company in the area should have these aggregated.
• How much new for-sale + rental construction is in the pipeline within 1–3 miles? Heavy new supply typically softens prices + rents 12–24 months out; constrained supply supports both.