2 Ocean Rd #B · Ocean City, NJ 08226

$719,900

3 bd · 1.5 ba · 1,353 sqft · Condo · 54 Days on market

Built 1920 $532/sqft · 35% below area Est $1116k · 35% under

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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 +19.6/30.0
• ARV discount +15.0/15.0
• DSCR +6.2/10.0
• 1% rule +5.2/10.0
• Livability +4.0/5.0
• Schools +3.7/10.0
• Rent growth +2.5/5.0
• Condition / age +2.5/5.0
• Appreciation +0.0/10.0

Listing remarks MLS

Gardens second floor condominium on a corner lot, enclosed front porch for additional interior living space, renovated interior, modern kitchen, sold furnished, great rental history, lots of potential here for the interested Buyer. Year round option, a second home, or one that can be rented during the summer months.

Key facts

• Corner location
• Rear balcony
• Updated kitchen

Tags

• UPDATED KITCHEN
• ENCLOSED SUNPORCH
• REAR BALCONY
• CORNER LOCATION
• SHORT STROLL TO THE BEACH
• ENCLOSED OUTDOOR SHOWER

Property features AI

Finance

• Other: Floodplain: property is in a floodplain
• HOA & community: Managed by co-owner

Exterior

• Parking: One-car garage; Parking pad
• Utilities: Public water; Public sewer
• Home design: Multi-story building (3–5 stories); Unit on the second floor; Unit has one level; Pets allowed (subject to restrictions)
• Construction: Property over 25 years old
• Exterior features: Vinyl siding; Deck/porch; Outside shower; Corner lot

Interior

• Kitchen: Gas stove; Refrigerator
• Bedrooms: All bedrooms located on the upper level
• Flooring: Hardwood floors
• Bathrooms: One full bathroom on the upper level; One half bathroom on the upper level
• Heating & cooling: Central air conditioning; Baseboard heating; Natural gas heating; Hot water heating
• Interior features: Furnished; Dining room
• Laundry & utility: Washer; Dryer; Utility room on the upper level

What this means for you Summary

Snapshot

• This is a 3-bed/1.5-bath condo listed at $720k.

Deal economics

• At list price, monthly cash flow is $398 ($5k/yr) — positive.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($7k rent vs $720k).
• Recommended offer: $698k (3.0% below list) — sets the bar for market timing.
• Cap rate 7.7% vs local median 3.3% in Ocean City — 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 80/100 on livability (#72 in NJ, #1,762 nationally) — a professional / high-income tenant draw. Strengths: amenities A+, employment A+, health & safety A+; Watch: housing D+, cost of living F.
• Ocean City School District (urban): math 31% / reading 53% proficiency, ranked #212 of 472 in NJ (top 45%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Market conditions: 419 active listings in the ZIP; 4 comparable units currently listed for rent nearby; rentals lingering (median 44d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 100% of comp listings sitting > 30 days — soft ceiling on asking rent; 877 units permitted in Cape May County in 2024 (35 in 5+ unit buildings).

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $5k of loan paydown is wiped out by about $22k of value loss. Plan a longer hold.
• Cape May County population projected at -24% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.

Negotiation context

• It's been on market 54 days — a 3% lower offer ($698k) is reasonable based on typical stale-listing flexibility.
• 2 sale attempts since 16y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.

Risks & watch-outs

• Watch-outs: flood insurance adds $427/mo; built in 1920 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: in FEMA flood zone AE (mandatory federal flood insurance); severe wind risk, 80% chance of damaging wind over 30y; extreme-heat days projected 7→17/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $698,303 (3.0% below list)

Questions for the listing agent

1. It's been on market 54 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
2. Built in 1920 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
3. What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
4. Any open or pending special assessments — roof, HVAC, plumbing, elevator, façade? What's the per-unit balance and payoff schedule, and is the seller paying it off at close or rolling it to the buyer?
5. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
6. Schools are A-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?
7. 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.
8. 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.
9. 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: 1.02% ✓
• Cap rate: 7.67%
• Cash-on-cash: 4.91%
• DSCR: 1.22
• GRM: 8.2

CMA / ARV

• ARV (median comp): $1,115,693
• List price: $719,900
• Delta: -35.48%
• Verdict: UNDERPRICED
• Comps: 20 within 1.0 mi

Projected returns pro-forma

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

5-year hold

• IRR: -12.5%
• Equity multiple: 0.55×
• Total profit: $-90,933
• Equity at exit: $107,339

10-year hold

• IRR: -3.3%
• Equity multiple: 0.78×
• Total profit: $-45,027
• Equity at exit: $62,244

Cash invested: $201,572 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 21 Tenant-Leaning
• State New Jersey: 21 Tenant-Leaning · D+6
• County: — inherits STATE
• City: — inherits STATE

Anti-eviction Act requires just-cause statewide; rent control in 100+ municipalities; one of the most tenant-friendly states.

Methodology + full state rankings →

ZIP-level market 08226

• Active inventory: 419
• Price-to-rent: 8.2×

Monthly cashflow live

• Estimated rent: $7,341 medium
• Mortgage (P&I): −$3,775
• Tax est. 1.5%: −$900 /mo · $10,798/yr
• Insurance: −$300
• Flood insurance flood zone: −$427 /mo · $5,118/yr
• HOA: −$0
• Vacancy / Maint / Mgmt: −$1,542
• Net cashflow: $398

Break-even live

Break-even rent $6,837

Max offer price $719,900

Occupancy floor 90%

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: $179,975
• Closing costs: $21,597
• Reserves months: —
• Total cash needed: —

Rent comps 4 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
710 Battersea Rd Unit 1309016P Ocean City, NJ	3.0	2.0	1291	$8,042	$6.23	44d	1	0.10mi
101 West Ave Unit 1309011P Ocean City, NJ	3.0	1.0	990	$5,019	$5.07	44d	1	0.22mi
935 Ocean Ave Ocean City, NJ	1.0–3.0	1.0–2.5	1112	$8,500	$7.64	44d	1	1.02mi
1142 Simpson Ave Unit 1308992P Ocean City, NJ	3.0	2.0	1097	$7,788	$7.10	44d	1	1.29mi

HOA detail condo

• Monthly dues: $0 · $0/yr
• Assessments: None detected in remarks — confirm with the listing agent.

Listing history 18 events

1. 2026-06-18
   days on market $719,900 Under Contract 54 DOM
2. 2026-06-17
   days on market $719,900 Under Contract 53 DOM
3. 2026-06-16
   days on market $719,900 Under Contract 52 DOM
4. 2026-06-15
   days on market $719,900 Under Contract 51 DOM
5. 2026-06-13
   days on market $719,900 Under Contract 49 DOM
6. 2026-06-12
   days on market $719,900 Under Contract 48 DOM
7. 2026-06-09
   days on market $719,900 Under Contract 45 DOM
8. 2026-06-08
   days on market $719,900 Under Contract 44 DOM
9. 2026-06-07
   days on market $719,900 Under Contract 43 DOM
10. 2026-06-07
    days on market $719,900 Under Contract 42 DOM
11. 2026-06-04
    days on market $719,900 Under Contract 39 DOM
12. 2026-06-02
    days on market $719,900 Under Contract 38 DOM
13. 2026-06-01
    days on market $719,900 Under Contract 37 DOM
14. 2026-05-31
    days on market $719,900 Under Contract 36 DOM
15. 2026-05-18
    historical Under Contract 978-char remark
16. 2026-04-20
    listed $719,900 Active 978-char remark
17. 2010-11-30
    historical 317-char remark

    Show marketing remark (317 chars)

    Gardens second floor condominium on a corner lot, enclosed front porch for additional interior living space, renovated interior, modern kitchen, sold furnished, great rental history, lots of potential here for the interested Buyer. Year round option, a second home, or one that can be rented during the summer months.

18. 2010-05-29
    listed $393,500 317-char remark

    Show marketing remark (317 chars)

    Gardens second floor condominium on a corner lot, enclosed front porch for additional interior living space, renovated interior, modern kitchen, sold furnished, great rental history, lots of potential here for the interested Buyer. Year round option, a second home, or one that can be rented during the summer months.

ⓘ 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 8/10 Severe FEMA zone AE · 99% chance over 30 yrs
• 🔥 Wildfire 1/10 Low
• 🌡 Heat 8/10 Severe 7 d/yr ≥98°F today · 17 d/yr by 30 yrs out
• 💨 Wind 8/10 Severe 80% chance of damaging wind over 30 yrs
• 🫁 Air quality 2/10 Low 1 unhealthy d/yr today · 2 by 30 yrs out

Taxation est. · year 1

• Rental income: $88,095
• − Mortgage interest: −$40,326
• − Property taxes: −$10,798
• − Insurance: −$8,718
• − Repairs & maintenance: −$7,048
• − Management: −$7,048
• − Depreciation: −$20,943
• Taxable loss: −$6,785
• Est. tax savings @ 24.0%: +$1,628
• After-tax cash flow: $6,404/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: Ocean City School District
• NCES district ID: 3411970
• Math proficiency: 31% ▼ -12.00%
• Reading proficiency: 53% ▼ -9.00%
• Median HH income: $60,444
• Composite: 37.07/100
• National rank: #4506
• State rank: #212 of 472 in NJ

Livability — Ocean City

• Score: 80/100
• State rank: #72
• US rank: #1762

Category grades

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

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Ocean City, NJ
• City population: 11,260
• Population (ZIP): 11,260

Population outlook (Cape May County) Hauer SSP2

• Today (2025): 88,234 people
• By 2030: 84,144 · -4.6%
• By 2040: 75,146 · -14.8%
• By 2050: 67,389 · -23.6%
• By 2075: 55,732 · -36.8%
• By 2100: 44,972 · -49.0%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (86%)
• Race & ethnicity: White 86% Hispanic / Latino 9% Black 2% Two or more races 2%
• Hispanic origin (detail): Mexican 7% Puerto Rican 1%
• Common ancestry: Romanian 6% Slovak 2% Scotch-Irish 1%
• Foreign-born: 7% · Canada
• Languages at home: 89% English-only · Spanish 8% Russian/Polish/Slavic 2% Other Indo-European 2%

Political lean MEDSL · Cape May

• 2024 margin: R (+19.2) · D 39.7% · R 58.9% · Other 1.4%
• 2008→2024 swing: -10.6pp toward R · 2008: -8.7pp · 2024: -19.2pp
• All cycles: 2024: R+19.2 2020: R+15.9 2016: R+19.9 2012: R+8.9 2008: R+8.7

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -381.90%
• Current HPI: 389.3687
• 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

+82.9% since first listed

4 events — show timeline

• 2026-05-18 Contingent — SJSRMLS
• 2026-04-20 Listed $719,900 SJSRMLS
• 2010-11-30 Listing Removed — SJSRMLS
• 2010-05-29 Listed $393,500 SJSRMLS