Hey guys I'm looking to use the Brrrr strategy in Newark NJ. Wondering what neighborhoods I should be looking at, and what ones to stay away from. I'm looking at a property in Vailsburg, is that an ok neighborhood? I realize that people's definition of 'ok' are going to vary. I'm looking for 1-3 families. Any investors that want to share their experience or wholesalers with inventory, I want to hear from you.
the city varies block by block.. as a whole i stay away from vailsburg but that's just me. look into north newark, parts of Roseville, ironbound, downtown, weequahic closer to the park.
Im a big fan of the wad and generally stay away from anything south of 280 unless its near downtown. That being said parts of weequahic are decent but i dont like vailsburg.
John, I too have been shopping in Newark (and the rest of eastern essex county) for the right BRRR deal. Vailsburg isn't too bad, not the greatest. South Ward is rough. One of my best clients for my oil tank sweep business buys around 150 homes a year in the south ward, all extremely distressed, you see some crazy stuff. It all comes down to what you want to deal with. My plan is to section 8 the rents and have a property manager, so as long as the numbers work on the BRRR deal I don't really care where the house is. I see you're a home inspector, I'm going to shoot you a message. Would love to speak with you on how we can help each other in our business's and with our investments.
Thanks fellas, I take it all in heed.
i have to disagree with @Peter Kane . you do want to be concerned where your properties are. there are a lot of good residents in newark but the good ones will not want to be in bad areas. why would you want a property in a heavy drug and crime area? a property manager and their contractors are not going to want to deal with that. in the past people would go the section 8 route in newark because that was where they received the most income for their rentals but that is not necessarily the case anymore. Also not all section 8 is the same. if the tenant's portion is $600 out of $1000 (sect 8 pays $400) and they are always late, is it worth it? you can't collect late fees in court for sect 8 tenants.
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