Investor · Lodi, NJ · Member since 2013 · 487 posts · 179 votes
Is anybody currently investing in the Newark NJ area? I know the city has been improving and trying to drive in new businesses over for last 10 years. Just wondering if anyone has been investing in properties here recently and has seen a difference in potential..
Investor · Tampa, FL · Member since 2013 · 2k+ posts · 1k+ votes
13y
I'm not however what type of investing are you looking to do: Flip or rent out? I do have access to heat maps which show what areas of Newark have increased or decreased over the past 12 months. Just let me know.
Investor · Tampa, FL · Member since 2013 · 2k+ posts · 1k+ votes
13y
I'm not however what type of investing are you looking to do: Flip or rent out? I do have access to heat maps which show what areas of Newark have increased or decreased over the past 12 months. Just let me know.
Real Estate Consultant · Bloomfield, NJ · Member since 2010 · 2k+ posts · 1k+ votes
13y
Hi Rafael. I've been investing in Newark (in property AND in the people) for the past 13 years. Born and raised in Newark, currently invest as well as volunteer there - what would you like to discuss?
Investor · NJ · Member since 2012 · 27 posts · 15 votes
12y
I recently started coming back on bigger pockets and saw this post. I currently have 1 remaining property in Newark. Can't complain. It's been good and it's been bad to me. But looking to unload it by summertime.
Real Estate Agent · Hackensack, NJ · Member since 2014 · 321 posts · 412 votes
12y
Sorry to dig up an old thread but I am new to Bigger Pockets. What do you guys think of the section of Newark around Woodland Cemetery? It seems to be an improving section. We saw a new supermarket, a Home Depot, and newer constructions in the area. I have a deal under contract in that area and the price is cheaper than a used Ford!
Real Estate Consultant · Bloomfield, NJ · Member since 2010 · 2k+ posts · 1k+ votes
12y
Hi Kevin. I know that area. My very 1st investment, a rehab we acquired for 42k, was located on Kent st. BEFORE the Home Depot but right after an airplane took out Kentucky Fried Chicken. (Newarkers know what I'm talking about). That area is indeed improving and on purpose. Shaq has his movie theater across from HD and Applebee's. And there's a couple of banks in the same shopping district. You're really looking good if you have a 3-4 family over there.
Real Estate Agent · Hackensack, NJ · Member since 2014 · 321 posts · 412 votes
12y
Ok that's great to hear Ibrahim. We saw some properties on Kent that actually looked good, just have to figure out who to contact about them.
This particular property is a single family, but we are looking to buy some multi-families next.
We had an offer on a 2 family in Irvington, but were outbid. Irvington seems like more of a gamble and speculation at this point. Might be too risky over there because many of the neighbors are terrible were we saw 2-3 family opportunities.
Real Estate Consultant · Bloomfield, NJ · Member since 2010 · 2k+ posts · 1k+ votes
12y
@Kevin Hill - The area of Kent, Bergen etc. is coming up but still not there where you will attract professionals, graduate students etc. But if you provide a nice place and screen properly you can find some great tenants. Irvington is a much bigger gamble. Particularly on the end that borders Newark (21st street, 14th, 15th, 16th avenues etc). High taxes and high crime. It's better than it was thanks to the state/county,local police task force that has been working hard for 10 years or more bringing the crime down. But still a much bigger gamble UNLESS you're on the west end off of chancellor ave or further out towards Uppper Irvington (bordering maplewood and union). The section between 18th ave and madison ave is 'ok'.
I still don't like single families in Newark unless you're getting a great deal. You have to screen your potential tenants really well. It can take at least 3-4 mos to get a non paying tenant out. And no 1-3 remaining units to provide continued cash flow as you evict. I believe that's one of the reasons why single family rentals never really caught on in Newark unless you're in Ivy Hill, weequahic or forest hill sections. Only rental potential in most of the south ward imo as it's hard to find a owner-occ buyer for that area AND property type. Buyers usually want at least 1, preferably 2 units to help out with the rent. That's if you can find an owner occ to buy in that area. It's still not there yet imo.
Real Estate Agent · Hackensack, NJ · Member since 2014 · 321 posts · 412 votes
12y
Good to know. Definitely going to go after a multi-family in that area for the next flip. I think we are getting a good deal on the single family and should make some money, as my client is a plumber & electrician and can do the work himself with his crew.
I saw higher home values in Upper Irvington, just couldn't find anything in our budget right now. The one we had an offer on was on Montrose. But it seemed like if you only went a few blocks away, it was a warzone.
Investor · Lodi, NJ · Member since 2013 · 487 posts · 179 votes
12y
Ibrahim, great insight and much appreciated. There's a good newark investor group that gets together on Tuesdays I believe in Springfield. You probably know must of them. I'll forward you the info.
Kevin, congrats and keep working at it! I'll forward some info on groups that I've networked with that deal in those areas as well. Lots of good/bad pockets to analyze, as I'm sure you know..
Investor · NJ · Member since 2012 · 27 posts · 15 votes
12y
If any of you Newark investors are interested I have a distressed home owner in the area of S10th & Central selling his multi family. I'm early in my career where I can only do one property at a time and waiting for my current one to close. He's a former corrections officer so just trying to help him out. It's been short sale approved already.
Flipper/Rehabber · Tampa, FL · Member since 2015 · 24 posts · 1 vote
11y
@Ibrahim Hughes Recently relocated to the NJ area and looking to purchase my 1st NJ investment... what can you tell me about the area around Fabyan Place, Newark NJ ?
- Fabyan Place is classic south ward. Not the best area of Newark. Requires tough skin and an understanding of the local culture in order to navigate it successfully. Is this a rehab? Turnkey property? What do the numbers look like?
It's a 6 family apartment building (15 bed/6 bath) three 3 bedroom and three 2 bedroom.. asking price is $265k and estimated repair is $45k, ARV $450k. Haven't vetted anything, this is strictly from my contact. But I don't think it's the best deal after all.
Those numbers (20k/unit, 40k+ repairs) are very typical numbers in that area. As Ibrahim said, you need a good navigator, as the analysis is sometimes street by street. Definitely find someone with good knowledge in that area to help you figure things out.
Investor · Lodi, NJ · Member since 2013 · 487 posts · 179 votes
11y
Looks at your number again. Those numbers shoudl be close to finished units. Get some local opinions on the ARV. I would imagine at least 6 months seasoning in the area.
Real Estate Consultant · Bloomfield, NJ · Member since 2010 · 2k+ posts · 1k+ votes
11y
that's a pretty high number. Unless the place is 85% renovated. And I mean nicely. High turnover rate in that area so be careful. and I'm skeptical of any newark comps, or any inner city for that matter, where the listing agent and the buying agent are the same. Ijs.
Wholesaler · Keansburg, NJ · Member since 2013 · 41 posts · 9 votes
11y
For marc S I am a wholesaler in NJ I actually have 57 fabyan place under contract it got reduced to 185k I have it under contract for 172.5 and even at those numbers no one wants it it is a very tough section and the turn over rate is very high and the repairs are 75k I see other people marketing it for 45k in repairs and they are crazy