42-46 Mount Prospect Pl · Newark, NJ 07104

$599,000

12 bd · 6.0 ba · 19,998 sqft · MultiFamily · 65 Days on market

Built 1837 8,276 sqft lot

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Why this score? — see what drove the B- grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Cash flow +30.0/30.0
• DSCR +10.0/10.0
• 1% rule +9.1/10.0
• ARV discount +7.5/15.0
• Rent growth +3.8/5.0
• Livability +3.4/5.0
• Condition / age +2.5/5.0
• Schools +1.4/10.0
• Appreciation +0.0/10.0

Multi-family units

County records classify this as Multi-Family (2-4 Unit). Listing-text estimate: 3 units. confirmed

Listing remarks MLS

Full renovation opportunity for investors and developers! Welcome to 42 Mount Prospect Ave, a large 2-family property in Newark that has been fully gutted and is ready for a complete transformation. This expansive building offers a massive footprint with a total of 12 bedrooms and 6 full bathrooms across two oversized units, providing a strong foundation for a high-value renovation project. The property also includes a finished basement and sits on a generous lot with skyline views and a private driveway. With its substantial size, flexible layout, and prime redevelopment potential, this property is a rare opportunity for experienced investors looking to design and rebuild a high-performing multi-family asset. Bring your vision and unlock the full potential of this major value-add project.

Key facts

• Skyline views
• Generous lot
• Private driveway

Tags

• FINISHED BASEMENT
• PRIVATE DRIVEWAY
• SKYLINE VIEWS
• GENEROUS LOT

What this means for you Summary

Snapshot

• This is a 3 × 6-bed/3.0-bath units multifamily listed at $599k.

Deal economics

• At list price, monthly cash flow is $3k ($30k/yr) — positive. Per door: $836/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($8k rent vs $599k).
• Recommended offer: $563k (6.0% below list) — sets the bar for market timing.
• Cap rate 11.3% vs local median 3.0% in Newark — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.

Location & tenants

• Location reads 67/100 on livability (#343 in NJ) — a middle-class / working-renter tenant base. Strengths: commute A+, amenities A-; Watch: schools D+, housing D+, crime F.
• Newark Public School District (urban): math 9% / reading 26% proficiency, ranked #452 of 472 in NJ (top 96%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 79% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: Rents rising fast (+5.2%/yr); 51 active listings in the ZIP; 3,364 units permitted in Essex County in 2024 (2,551 in 5+ unit buildings).
• At $8,416/mo this rent would consume 187% of the median local household income ($54k/yr) (locally 4024% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $4k of loan paydown is wiped out by about $18k of value loss. Plan a longer hold.
• Essex County population projected at +3% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At projected returns (-3.0% appreciation + 5.2% rent growth), your $168k cash investment doubles in ~6 years — after that, you're playing with house money.

Negotiation context

• It's been on market 65 days — a 6% lower offer ($563k) is reasonable based on typical stale-listing flexibility.
• 3 sale attempts since 7y ago; this cycle's ask is 3% above the opening price — seller raised mid-cycle; expect resistance to lowballs.
• Current owner paid $395k; list at $599k implies a 52% gain — meaningful room to come down on a strong offer.

Risks & watch-outs

• Watch-outs: built in 1837 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: major wind risk, 27% chance of damaging wind over 30y; extreme-heat days projected 7→15/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $563,060 (6.0% below list)

Questions for the listing agent

1. It's been on market 65 days. Have you received any prior offers? Is the seller open to a 6% concession, seller financing, or rate buy-down credit?
2. Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
3. What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
4. Built in 1837 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
5. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
6. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
7. Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
8. Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
9. 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.
10. 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.
11. How much new apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.

Investment metrics

• 1% rule: 1.41% ✓
• Cap rate: 11.32%
• Cash-on-cash: 17.95%
• DSCR: 1.80
• GRM: 5.9

CMA / ARV

No comps found within radius.

Projected returns pro-forma

-3.0% appreciation · 5.15% rent growth · sell at horizon

5-year hold

• IRR: 11.9%
• Equity multiple: 1.49×
• Total profit: $81,464
• Equity at exit: $89,313

10-year hold

• IRR: 22.5%
• Equity multiple: 3.13×
• Total profit: $356,969
• Equity at exit: $51,791

Cash invested: $167,720 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (CITY): 0 Strongly Tenant-Friendly
• State New Jersey: 21 Tenant-Leaning · D+6
• County: — inherits STATE
• City Newark: 0 Strongly Tenant-Friendly · D+59

Rent control + strict just-cause.

Methodology + full state rankings →

ZIP-level market 07104

• Home prices YoY: -28.7%
• Rents YoY: 5.2%
• Active inventory: 51
• Price-to-rent: 17.8×

Monthly cashflow live

• Estimated rent: $8,416 medium
• Mortgage (P&I): −$3,141
• Tax est. 1.5%: −$749 /mo · $8,985/yr
• Insurance: −$250
• HOA: −$0
• Vacancy / Maint / Mgmt: −$1,767
• Net cashflow: $2,509

Break-even live

Break-even rent $5,240

Max offer price $599,000

Occupancy floor 65%

3-unit breakdown (identical units grouped — click to expand)

Units	Beds	Baths	Est. rent
▸ 3× units	6	3	$8,415
Total (3 units)			$8,416

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $149,750
• Closing costs: $17,970
• Reserves months: —
• Total cash needed: —

Listing history 15 events

1. 2026-06-09
   days on market $599,000 Active 65 DOM
2. 2026-06-08
   days on market $599,000 Active 64 DOM
3. 2026-06-07
   days on market $599,000 Active 63 DOM
4. 2026-06-04
   days on market $599,000 Active 60 DOM
5. 2026-06-03
   days on market $599,000 Active 59 DOM
6. 2026-06-02
   days on market $599,000 Active 58 DOM
7. 2026-06-01
   days on market $599,000 Active 57 DOM
8. 2026-05-31
   days on market $599,000 Active 56 DOM
9. 2026-05-12
   price $599,000 800-char remark

   Show marketing remark (800 chars)

   Full renovation opportunity for investors and developers! Welcome to 42 Mount Prospect Ave, a large 2-family property in Newark that has been fully gutted and is ready for a complete transformation. This expansive building offers a massive footprint with a total of 12 bedrooms and 6 full bathrooms across two oversized units, providing a strong foundation for a high-value renovation project. The property also includes a finished basement and sits on a generous lot with skyline views and a private driveway. With its substantial size, flexible layout, and prime redevelopment potential, this property is a rare opportunity for experienced investors looking to design and rebuild a high-performing multi-family asset. Bring your vision and unlock the full potential of this major value-add project.

10. 2026-05-12
    status Active 800-char remark

    Show marketing remark (800 chars)

    Full renovation opportunity for investors and developers! Welcome to 42 Mount Prospect Ave, a large 2-family property in Newark that has been fully gutted and is ready for a complete transformation. This expansive building offers a massive footprint with a total of 12 bedrooms and 6 full bathrooms across two oversized units, providing a strong foundation for a high-value renovation project. The property also includes a finished basement and sits on a generous lot with skyline views and a private driveway. With its substantial size, flexible layout, and prime redevelopment potential, this property is a rare opportunity for experienced investors looking to design and rebuild a high-performing multi-family asset. Bring your vision and unlock the full potential of this major value-add project.

11. 2026-04-10
    status Under Contract 800-char remark

    Show marketing remark (800 chars)

    Full renovation opportunity for investors and developers! Welcome to 42 Mount Prospect Ave, a large 2-family property in Newark that has been fully gutted and is ready for a complete transformation. This expansive building offers a massive footprint with a total of 12 bedrooms and 6 full bathrooms across two oversized units, providing a strong foundation for a high-value renovation project. The property also includes a finished basement and sits on a generous lot with skyline views and a private driveway. With its substantial size, flexible layout, and prime redevelopment potential, this property is a rare opportunity for experienced investors looking to design and rebuild a high-performing multi-family asset. Bring your vision and unlock the full potential of this major value-add project.

12. 2026-03-04
    listed $579,000 Active 800-char remark

    Show marketing remark (800 chars)

    Full renovation opportunity for investors and developers! Welcome to 42 Mount Prospect Ave, a large 2-family property in Newark that has been fully gutted and is ready for a complete transformation. This expansive building offers a massive footprint with a total of 12 bedrooms and 6 full bathrooms across two oversized units, providing a strong foundation for a high-value renovation project. The property also includes a finished basement and sits on a generous lot with skyline views and a private driveway. With its substantial size, flexible layout, and prime redevelopment potential, this property is a rare opportunity for experienced investors looking to design and rebuild a high-performing multi-family asset. Bring your vision and unlock the full potential of this major value-add project.

13. 2019-09-11
    soldstatus $395,000 Sold
14. 2019-07-01
    historical
15. 2019-05-30
    listed $375,000 Active

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Climate risk First Street

• 🌊 Flood 1/10 Low FEMA zone X (unshaded) · 0% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 7/10 Severe 7 d/yr ≥99°F today · 15 d/yr by 30 yrs out
• 💨 Wind 6/10 Major 27% chance of damaging wind over 30 yrs
• 🫁 Air quality 4/10 Moderate 3 unhealthy d/yr today · 5 by 30 yrs out

Taxation est. · year 1

• Rental income: $100,992
• − Mortgage interest: −$33,553
• − Property taxes: −$8,985
• − Insurance: −$2,995
• − Repairs & maintenance: −$8,079
• − Management: −$8,079
• − Depreciation: −$17,425
• Taxable income: $21,875
• Est. tax owed @ 24.0%: −$5,250
• After-tax cash flow: $24,859/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Schools (NCES district)

• District: Newark Public School District
• NCES district ID: 3411340
• Math proficiency: 9% ▼ -17.00%
• Reading proficiency: 26% ▼ -10.00%
• Median HH income: $33,891
• Composite: 14.24/100
• National rank: #9449
• State rank: #452 of 472 in NJ

Livability — Newark

• Score: 67/100
• State rank: #343
• US rank: #11138

Category grades

Amenities A- Commute A+ Cost of living F Crime F Employment D- Housing D+ Health & safety B- User ratings F

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Newark, NJ
• County: Essex County · 825,405 people
• City population: 310,602
• Metro: New York-Newark-Jersey City, NY-NJ-PA
• Population (ZIP): 52,266
• Household income: $53,978
• Rent vs Own: 71.6% rent · 28.4% own
• Severe rent burden: 4024.0

Population outlook (Essex County) Hauer SSP2

• Today (2025): 825,042 people
• By 2030: 834,010 · +1.1%
• By 2040: 846,221 · +2.6%
• By 2050: 850,047 · +3.0%
• By 2075: 837,009 · +1.5%
• By 2100: 784,345 · -4.9%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly Hispanic (66%)
• Race & ethnicity: Hispanic / Latino 66% Black 22% Two or more races 19% White 8%
• Hispanic origin (detail): Mexican 2% Puerto Rican 29% Cuban 2% Dominican 14%
• Common ancestry: Estonian 1% Hispanic 1% Russian 1%
• Foreign-born: 30% · Canada, Jamaica
• Languages at home: 36% English-only · Spanish 56% Other Indo-European 3% French/Haitian/Cajun 1%

Political lean MEDSL · Essex

• 2024 margin: Solid D (+44.9) · D 71.7% · R 26.8% · Other 1.5%
• 2008→2024 swing: -7.7pp toward R · 2008: 52.6pp · 2024: 44.9pp
• All cycles: 2024: D+44.9 2020: D+55.4 2016: D+56.4 2012: D+55.5 2008: D+52.6

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -128.59%
• Current HPI: 320.144
• Rent YoY: ▲ 5.15%
• Metro: New York-Newark-Jersey City, NY-NJ-PA
• State GDP YoY: ▲ 2.05%
• F500 in state: 34

Industry mix (Fortune 500 HQ in NJ)

Industry	F500 HQs	Revenue
▸Consumer Goods	3	$31B
▸Pharmaceuticals	2	$153B
▸Technology	2	$21B
▸Insurance	2	$20B
▸Healthcare	2	$19B
▸Financial Services	1	$70B

Price history

+59.7% since first listed

7 events — show timeline

• 2026-05-12 Price Changed $599,000 GSMLS
• 2026-05-12 Relisted — GSMLS
• 2026-04-10 Pending — GSMLS
• 2026-03-04 Listed $579,000 GSMLS
• 2019-09-11 Sold (MLS) $395,000 GSMLS
• 2019-07-01 Delisted — GSMLS
• 2019-05-30 Listed $375,000 GSMLS