Hi BP Family. I am new to the community and excited to learn from the ton of experiences, and knowledge among the members here.
If this post is too familiar, i apologize but this is my first time looking to buy a property and would like to leverage the experiences, best practice, and network of this community
I am originally from Newark NJ, and looking to purchase a 3 units or more multi-family home (with live in occupancy option) in either Northern or Central NJ (Flexible).
1) what are some of the best locations?
2) Any advice on how to best approach this process?
I trust that many of you have gone through this and probably remember it clearly. looking for your friendly feedback and guidance
@Ikenna Okoli Congrats and best of luck! NJ can be tough for finding good deals (like many cities), especially when they're listed on public sites like Zillow. If you have not read up on the concept of "wholesaling", I recommend you look into it. Contacting wholesalers and other investors who solely spend their time reaching out to homeowners in search of motivated sellers typically have an inventory of off market properties that you may be able to get for a much better deal and not pay real estate agent commissions.
@Ikenna Okoli welcome Ikenna! I'm also looking to acquire my first small multifamily property with the intentions of house hacking one of the units.
If you haven't done so yet, I would recommend you start by getting linked up with an agent in your area who has experience with investors and multifamily properties. They'll get you set up with a search on the mls that will send you a list of all the properties that match your criteria. Next, you can start analyzing these properties by using the rental calculators here on BP to make sure you're buying a good deal.
I would also recommend checking out some of the BP books. I personally have read and enjoyed Set For Life by @Scott Trench and The Book on Rental Property Investing by @Brandon Turner
Best of luck as you get started on your real estate journey!
@Ikenna Okoli Congrats and best of luck! NJ can be tough for finding good deals (like many cities), especially when they're listed on public sites like Zillow. If you have not read up on the concept of "wholesaling", I recommend you look into it. Contacting wholesalers and other investors who solely spend their time reaching out to homeowners in search of motivated sellers typically have an inventory of off market properties that you may be able to get for a much better deal and not pay real estate agent commissions.
I would recommended really ironing out what your investment criteria are and speaking to as many people who have invested in properties that you are currently looking for.
Jersey can be a tough market for cash flow with taxes being so high, but the more south or west you go, the numbers can get better. You will see strong rental demand anywhere along the NJ Transit lines, as many people in this state as you know commute into NYC.
Are you looking to put any work into the prospective property? This may be a good route to take in regards to forcing equity into the home and being able to cash some of your money out once you refinance, especially if you are living in the property (FHA loan, 3.5% down).