1225 KENNEDY Blvd Unit 5F

Bayonne, NJ 07002

$219,000F

1 bd · 1.0 ba · 725 sqft · Built — · Condo · Active · 62 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $1,853/mo
• Mortgage (P&I): −$1,148
• Tax + insurance: −$365
• HOA: −$767
• Vac / Maint / Mgmt: −$389
• Net cashflow: $-816/mo
• Annual: $-9,797/yr
• Cap rate: 1.82%
• Cash-on-cash: -15.98%
• DSCR: 0.29
• 1% rule: 0.85%
• Cash to close: $61,320

Investor read

• This is a 1-bed/1.0-bath condo listed at $219k. Condition is rated fair.
• At list price, monthly cash flow is $-816 ($-10k/yr) — negative.
• To cash-flow at today's rent, offer at most $101k (53.9% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $185k (15.4% below list).
• It's been on market 62 days — a 6% lower offer ($206k) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $101k (53.9% below list) — sets the bar for cash-flow.
• Local home prices are declining (-3.0%/yr); year-one equity from $2k of loan paydown is wiped out by about $7k of value loss. Plan a longer hold.
• Location reads 75/100 on livability (#147 in NJ, #3,845 nationally) — a middle-class / working-renter tenant base. Strengths: commute A+, health & safety A, employment A-; Watch: cost of living F.
• Bayonne School District (suburban): math 17% / reading 41% proficiency, ranked #354 of 472 in NJ (top 75%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Woodrow Wilson Community School (math 12% / reading 46%, grade F, #766 of 1,303 statewide, top 59%, 727 students, 61% FRL); Bayonne High School (math 19% / reading 48%, grade F, #251 of 399 statewide, top 64%, 2,656 students, 57% FRL).
• Watch-outs: HOA is 41% of rent.
• Market conditions: Rents flat; 337 active listings in the ZIP; 40 comparable units currently listed for rent nearby; rentals lingering (median 70d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 68% of comp listings sitting > 30 days — soft ceiling on asking rent; solid renter incomes; 5,310 units permitted in Hudson County in 2024 (4,154 in 5+ unit buildings).
• Hudson County population projected at +29% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• Cap rate 1.8% vs local median 3.4% in Bayonne — below-typical yield; the buyer is paying a premium for something (appreciation thesis, condition, location) that the cap rate doesn't capture.

Questions for listing agent

• What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
• It's been on market 62 days. Have you received any prior offers? Is the seller open to a 54% concession, seller financing, or rate buy-down credit?
• Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
• What does the HOA fee cover, when was the last increase, and are there any pending special assessments or reserve-fund shortfalls?
• 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?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?

Repairs flagged (vision-AI assessment)

• Minor: kitchen cabinets — Light wear and tear.
• Major: bathroom tiles — Pink tiles appear outdated and in poor condition.
• Minor: kitchen appliances — White appliances in good condition.
• Major: bathroom fixtures — Outdated and possibly in need of replacement.
• Major: flooring — Worn tiles in both kitchen and bathroom.
• Minor: paint — Painted walls in fair condition, but could be refreshed for a fresh look.