Best counties in NJ to invest in for house hacking?

9 Replies

Hey everyone, so I currently live in Middlesex county in NJ with my family and i’m looking to buy my first duplex in April/May of 2021.

I want to house hack, that is of course, live in one unit and let the tenant pay as much of my mortgage as possible.

I want to ask my fellow Jersey residents or Jersey investors which counties you believe are the best places to start out in investing for multifamily properties?

I am aiming for cash flow on the first property... but of course it’s always an upside to find an area that has great potential for appreciation.

Thank you for all your help.

Hi @Akhil Nagapuri ,

I'm from Northern NJ, so I would recommend Union, Essex, and Hudson counties, and sometimes Passaic County. It all depends on your criteria and what exactly you are looking for, but those counties have a solid amount of multifamily inventory and certain towns have a nice enough price-to-rent ratio to cash flow positively on the right deals.

Feel free to connect and we can discuss more.

@Kevin M. hey Kevin, really appreciate you for getting back to me. I have tried to look at North Jersey for 2-family homes, but it’s either the purchase price or the property taxes that are just too high. I was looking possibly in Middlesex county or a bit more south.

Do you have experience in multi-family investing yourself?

@Akhil Nagapuri I do have my own multi-fam investment over in Hudson County that I purchased in June '19 and it cash flows nicely. It's definitely not easy to find great or even good deals in Northern NJ because of the high prices and property taxes as you mentioned, but they are definitely out there. Depending on where you're located though, South Jersey could be a good option for you if it's feasible.

@Kevin M. Hey Kevin, lately I have been looking at areas like North Newark. South Jersey is definitely an option given the home prices are a lot lower, but the appreciation isn’t there.

Are you currently house hacking your multi family?