226 Ellery Ave · Newark, NJ 07106-3520

$311,200

4 bd · 2.0 ba · 1,726 sqft · SingleFamily public records · 30 Days on market

Built 1927 3,484 sqft lot

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Why this score? — see what drove the C- 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 +17.8/30.0
• ARV discount +7.5/15.0
• DSCR +5.6/10.0
• Appreciation +5.0/10.0
• 1% rule +4.9/10.0
• Livability +3.4/5.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Schools +1.4/10.0

Listing remarks

Welcome to Newark, NJ. Local attractions include The Newark Museum of Art, Branch Brook Park, and Prudential Center. This home has approx. 1,726 sq. ft. and sits ona lot of 3,501 sq. ft. Build in 1927 home has a one car detached garage and an unfinished basement. If you blink at this price, it will be SOLD. Occupied Property- DO NOT DISTURB occupants. Buyers check with City, County, Zoning, Tax, and other records to their satisfaction. AS-IS SALE property. Buyer responsible for C/O ifapplicable. Visual inspection report is available.

Key facts

• 3,484 sq ft lot
• Garage
• Built 1927

What this means for you Summary

Snapshot

• This is a 4-bed/2.0-bath single-family listed at $311k.

Deal economics

• At list price, monthly cash flow is $255 ($3k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $307k (1.3% below list).
• Recommended offer: $307k (1.5% below list) — sets the bar for market timing.
• Cap rate 7.3% 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: 1 active listings in the ZIP; 29 comparable units currently listed for rent nearby; rentals at typical pace (median 17d on market — plan ~3-4 weeks tenant-placement turnaround); 3,364 units permitted in Essex County in 2024 (2,551 in 5+ unit buildings).

Forward outlook

• In year one you build about $11k of equity ($2k loan paydown + $9k appreciation (3.0% local appreciation)).
• 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 + 3.0% rent growth), your $87k cash investment doubles in ~6 years — after that, you're playing with house money.
• By year 4, paydown + projected appreciation supports a ~$39k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.

Negotiation context

• It's been on market 30 days — a 2% lower offer ($307k) is reasonable based on typical stale-listing flexibility.
• Current owner paid $105k; list at $311k implies a 196% gain — meaningful room to come down on a strong offer.

Risks & watch-outs

• Watch-outs: built in 1927 — 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 $306,532 (1.5% below list)

Questions for the listing agent

1. Built in 1927 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
2. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
3. 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?
4. 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?
5. 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.
6. 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.
7. 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.

Investment metrics

• 1% rule: 0.99% ✗
• Cap rate: 7.28%
• Cash-on-cash: 3.51%
• DSCR: 1.16
• GRM: 8.4

CMA / ARV

No comps found within radius.

Projected returns pro-forma

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

5-year hold

• IRR: 10.8%
• Equity multiple: 1.62×
• Total profit: $53,791
• Equity at exit: $139,929

10-year hold

• IRR: 13.0%
• Equity multiple: 2.94×
• Total profit: $168,856
• Equity at exit: $215,647

Cash invested: $87,136 (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 07106-3520

• Active inventory: 1
• Price-to-rent: 8.4×

Monthly cashflow live

• Estimated rent: $3,072 high
• Mortgage (P&I): −$1,632
• Tax from tax record: −$410 /mo · $4,919/yr
• Insurance: −$130
• HOA: −$0
• Vacancy / Maint / Mgmt: −$645
• Net cashflow: $255

Break-even live

Break-even rent $2,749

Max offer price $311,200

Occupancy floor 87%

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: $77,800
• Closing costs: $9,336
• Reserves months: —
• Total cash needed: —

Rent comps 29 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
161 Franklin Ter Maplewood, NJ	3.0	2.0	1700	$3,500	$2.06	25d	1	0.40mi
79-81 Oakland Ter Newark, NJ	4.0	1.0	1100	$2,750	$2.50	17d	1	0.57mi
73 Franklin Ter Unit 2 Irvington, NJ	3.0	2.0	1500	$2,300	$1.53	21d	1	0.65mi
1181 Clinton Ave Unit 2nd Irvington, NJ	3.0	1.0	1450	$2,499	$1.72	3d	1	0.67mi
150 Norwood St Unit 1 Newark, NJ	4.0	1.0	1500	$2,750	$1.83	25d	1	0.69mi
22 Cummings St Unit 3 Irvington, NJ	3.0	2.0	1200	$2,500	$2.08	25d	1	0.71mi
307 Irvington Ave Unit 2B South Orange Village, NJ	3.0	3.5	2000	$3,300	$1.65	44d	1	0.80mi
22 Rockland Ter Newark, NJ	5.0	3.0	1440	$4,495	$3.12	1d	1	0.81mi
13 Garwood Pl Unit 2 Irvington, NJ	3.0	1.5	1900	$2,650	$1.39	25d	1	0.81mi
165 W End Ave Newark, NJ	4.0	1.5	1350	$2,395	$1.77	1d	1	0.83mi
285 Columbia Ave #2 Irvington, NJ	4.0	1.0	1600	$2,350	$1.47	15d	1	0.86mi
1422 Springfield Ave Unit 2 Irvington, NJ	3.0	1.0	1200	$2,300	$1.92	5d	1	0.89mi
82 Park PL #2	4.0	2.0	1973	$4,800	$2.43	44d	1	0.96mi
223 S Munn Ave Unit 2L Irvington, NJ	3.0	1.0	1200	$2,250	$1.88	10d	1	1.01mi
100 Smith St Unit 2B Newark, NJ	4.0	2.0	2000	$2,495	$1.25	22d	1	1.08mi
117 3rd St South Orange, NJ	3.0	2.0	1200	$3,275	$2.73	44d	1	1.10mi
52 Stockman Pl Unit 2L Irvington, NJ	3.0	1.0	1200	$1,950	$1.62	25d	1	1.11mi
76 Halstead St Newark, NJ	3.0	1.0	1100	$2,450	$2.23	5d	1	1.15mi
91 S Munn Ave Unit 2nd flr Newark, NJ	4.0	1.5	1350	$2,999	$2.22	25d	1	1.19mi
116 Valley St #2 South Orange Village, NJ	3.0	2.0	1636	$4,650	$2.84	3d	1	1.22mi
124 Ellis Ave Irvington, NJ	3.0	1.0	1050	$2,695	$2.57	4d	1	1.27mi
14 2nd St Unit 3D South Orange Village, NJ	3.0	3.0	2119	$7,250	$3.42	1d	1	1.28mi
136 Bedford St East Orange, NJ	1.0–3.0	1.0–1.5	1200	$2,195	$1.83	13d	1	1.28mi
21 Chelsea Ave Newark, NJ	5.0	1.5	1500	$3,000	$2.00	14d	1	1.35mi
138 22nd St Unit 2 Irvington, NJ	3.0	2.0	1200	$2,400	$2.00	25d	1	1.35mi
307 21st St Unit 2 Irvington, NJ	3.0	1.0	1114	$2,500	$2.24	25d	1	1.35mi
524 Grove St Irvington, NJ	3.0	1.0	1200	$2,045	$1.70	10d	1	1.45mi
752 S 19th St Newark, NJ	3.0	1.5	1200	$2,095	$1.75	17d	1	1.45mi
511 Scotland Rd South Orange, NJ	3.0	2.5	1688	$5,500	$3.26	10d	1	1.49mi

Listing history 6 events

1. 2026-04-02
   status Under Contract
2. 2026-03-20
   price $311,200
3. 2026-03-03
   listed $344,500 Active
4. 1991-12-13
   soldstatus $105,000
5. 1986-12-17
   soldstatus $86,000
6. 1981-12-01
   soldstatus $48,000

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

Tax reassessment forecast NJ · Partial reset (capped growth)

• Current annual tax: $4,919 · $410/mo
• Projected year-2 tax: $6,334 · $528/mo
• Expected delta: +$1,415/yr (+$118/mo · 28.8%)

ⓘ Screening estimate from a state-policy table — verify with the county assessor before closing.

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 ≥100°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 4 unhealthy d/yr today · 5 by 30 yrs out

Taxation est. · year 1

• Rental income: $36,859
• − Mortgage interest: −$17,432
• − Property taxes: −$4,919
• − Insurance: −$1,556
• − Repairs & maintenance: −$2,949
• − Management: −$2,949
• − Depreciation: −$9,053
• Taxable loss: −$1,998
• Est. tax savings @ 24.0%: +$480
• After-tax cash flow: $3,540/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

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%

Not yet ingested

• Political lean: —
• Race & ethnicity: —
• Common origin: —
• Civics: —

Market trends

• HPI YoY: —
• Current HPI: —
• Rent YoY: —
• Metro: —
• 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

+548.3% since first listed

6 events — show timeline

• 2026-04-02 Pending — GSMLS
• 2026-03-20 Price Changed $311,200 GSMLS
• 2026-03-03 Listed $344,500 GSMLS
• 1991-12-13 Sold (Public Records) $105,000 Public Records
• 1986-12-17 Sold (Public Records) $86,000 Public Records
• 1981-12-01 Sold (Public Records) $48,000 Public Records

Property tax history

+3.2%/yr

Latest (2025): $4,919 · +5.2% YoY. Source: county tax records.