Jersey City Heights House-Hack

[Vic Medina]

Hey all,

Looking to FHA 203K a duplex / triplex in the JC area. Question is - is that the appropriate financing lever, or should I get a conventional FHA as it would be my first purchase?

The other units rents would be the only way to qualify at the $700-$800k range and then force appreciation with modernizing one of these aging properties. 

If some of you think now is an awful time to do this (re: interest rates) I'm open to being told to wait as well. Also thinking of buying a single family and then flipping it to a developer to tear down and build new multi-family that seems to be going up everywhere.

Any advice is appreciated!

Signed,

Slightly frustrated aspirational RE investor

[Thomas Santella]

Waiting for interest rates to drop is the same as waiting for prices to go up. Lower rates, more buyers in the market, more competition. The Jersey City area is extremely hot at the moment and will continue to see demand as development continues. Jersey City Heights in particular. 

Buying an older duplex/triplex and renting it out for the time being will eventually be sold as a teardown in the coming years. 

I am an agent in Hudson and Bergen County and I source off market deals to developers, especially in Jersey City area. I'd be happy to connect