I have about 10 rental properties in Philly.
I am thinking about exploring into Camden and buying 1 rental property to see how it is. I have a property in contract for 14k, a little work needed.
I see 4 inspections are needed. Building, Plumbing, Electrical and fire. Are they strict on these inspections?
Are there any Camden investors out there that think Camden is more lucrative than Philly?
Property taxes in NJ seem to kill any buy and hold deal. I prefer buying rentals in Philly with low property taxes and higher returns.
@Dan Red in addition to the point made by @Jeremy Chaudet , consider that if you already have 10 rentals in one county, and therefore presumably know at least decently well how things work in terms of licenses, permits, taxes, utilities, public records, landlord-tenant laws... and have at least some network of contractors, lawyers, property managers, lenders... is it really worth while to try to learn all of that and create a new network in a different county and state, with its own way of doing things?
Unless you are testing out the waters because you think you will buy another 10 in Camden, my personal preference is to stick with what you know and not be distracted by the 'shiny objects' across the river. Think about your economies of scale by sticking with one location, it just so happens that you started with Philly, if you had started in Camden then I would say the same thing. I believe that money can be made in any market with the right investment strategy, but there is so much power to having local knowledge that I think that far outweighs any potential increase in the ROI.
Taxes in Camden are around 2k a year generally. Those numbers surely would not kill a rental property. Camden is a winner regardless of what anybody tells you. The stigma overshadows the truth. My team and I have 130+ properties there, we wouldn't invest there if it was a loser.
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