1 Imlaystown Hightstown Rd

Upper Freehold, NJ 08501

$375,000D

3 bd · 1.0 ba · 1,440 sqft · Built 1906 · SingleFamily · Active · 9 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $3,601/mo
• Mortgage (P&I): −$1,967
• Tax + insurance: −$776
• HOA: −$0
• Vac / Maint / Mgmt: −$756
• Net cashflow: $102/mo
• Annual: $1,226/yr
• Cap rate: 6.80%
• Cash-on-cash: 1.80%
• DSCR: 1.08
• 1% rule: 0.96%
• Cash to close: $105,000

Investor read

• This is a 3-bed/1.0-bath single-family listed at $375k.
• At list price, monthly cash flow is $102 ($1k/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 $360k (4.0% below list).
• Only 9 days on market — expect competitive offers; lowballing is unlikely to land.
• Recommended offer: $360k (4.0% below list) — sets the bar for 1% rule.
• Local home prices are declining (-3.0%/yr); year-one equity from $3k of loan paydown is wiped out by about $11k of value loss. Plan a longer hold.
• Location reads: area grade D — affects rentability + tenant quality, not the cash-flow math above.
• Upper Freehold Regional School District (suburban): math 41% / reading 60% proficiency, ranked #100 of 472 in NJ (top 21%) — acceptable for families but not a draw, mixed tenant base, ~2y average lease; only 5% free/reduced lunch — higher-income household profile.
• Zoned schools: Newell Elementary School (math 37% / reading 57%, grade D-, #308 of 1,303 statewide, top 26%, 547 students, 7% FRL); Stonebridge Middle School (math 48% / reading 62%, grade B-, #64 of 431 statewide, top 15%, 447 students, 7% FRL); Allentown High School (math 37% / reading 60%, grade D, #111 of 399 statewide, top 29%, 1,084 students, 5% FRL) — zoned schools at 6% FRL track the district average.
• Watch-outs: flood insurance adds $56/mo; built in 1906 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 45 active listings in the ZIP; 2,840 units permitted in Monmouth County in 2024 (484 in 5+ unit buildings).
• Monmouth County population projected at -11% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• Current owner paid $85k; list at $375k implies a 341% gain — meaningful room to come down on a strong offer.
• Climate carrying-cost: severe flood risk; major wind risk, 56% 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.

Questions for listing agent

• Built in 1906 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• What's the actual annual flood-insurance premium (NFIP or private), and is the property in a SFHA with mandatory coverage?
• 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?
• 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.