Househacking in the mean streets of Fordham, Bronx worth it?
Hi BPs Community,
I'm looking to house hack with FHA 3.5% in NYC. Obviously, with PMI, house hacking with 3.5% in Brooklyn or Queens most likely means I won't cash flow until I pay off 20% of the mortgage + move out into property #2. But there is one solution: house hacking in the mean streets of...the Bronx...
I'm considering an incredible property for $800k that has a 4 units. I could break even while living in 1 unit, then when I move out in year 2, I would cash flow like crazy. The property looks great and the commute to my job in Manhattan is incredibly convenient. The property is close to Fordham University near the Bronx, and I'd attract students to come rent. However, the only downside is the property is in....the Bronx. I mean, just looking at the property, it is essentially all caged out to protect the windows...
I'm just curious here: how bad/dangerous is the Bronx? Is it as horrible as my family and friends are telling me about? My family is acting like I'm considering purchasing a property in Afghanistan. I looked up the neighborhood (Fordham in the West Bronx), and the crime rate seems high, but not as high as the South Bronx, which is the most dangerous neighborhood. I've watched videos, and it seems like the Bronx is total anarchy. One stat said 1/31 people are victims of violent crimes in the area. I have a lovely wife that I'd like to protect. We would live in the property for at least 1 year per FHA rules.
I essentially grew up in Upstate New York, so never actually been to the Bronx. I'm going to walk the neighborhood next week during the day and evening.
I plan on buying and holding this property for years to come. It seems like long-term appreciation in the neighborhood is unlikely due to the bad reputation. But the cash flow potential through rentals in year 2 can offer a 20% cash on cash ROI. The numbers are amazing.
Please share your thoughts on buying property in the Bronx, you're experience investing in the Bronx (if you have), how dangerous you think it is (or isn't), and your overall impressions of the real estate market there. Thanks.